The road network in Serbia represents a major asset for the country; but the condition of the network is far below European standards.

In addition, the level of injuries and fatalities caused by traffic accidents is a growing social and economic cost for the country. The government recognized the integration of the Serbian transport network with the core regional network as a key policy objective for the economic and social development of the country.

Serbia's geographic position puts it at the crossroads of the two important Pan-European transport infrastructure networks. One is connecting Budapest with Bulgarian capital Sofia, the other linking Greece to the north. This network is known as Corridor X. However, despite their importance, nationally and internationally, currently not all sections of Corridor X in Serbia are of Motorway Standard. The key missing links on Corridor X on the road network in Serbia:

• The construction of the second 2-lane carriageway on 118 km of motorway between HorgoÅ¡ - Novi Sad (Corridor Xb);
• The construction of a motorway on 98 km of the section of corridor between NiÅ¡ and the border with Bulgaria at Dimitrovgrad (Corridor Xc);
• The construction of a motorway on the corridor between Grabovnica and the border with FYR Macedonia (Corridor Xd); and
• The completion of Sections 1-6 of Belgrade Bypass, which would form an important section of Corridor X.

In order to improve this corridor, the Government asked the World Bank to act as a lead partner amongst the donors in the preparation of the Corridor X program, and contribute in parallel to the financing of the program. The total cost of the Corridor X program is estimated at EUR 1.3 billion, before taxes and contingencies, of which the World Bank will be contributing EUR 275.2 million (US$388 million equivalent). This loan amount represents the largest ever World Bank loan to Serbia.

The World Bank funded project will consist of the four components:

• Component 1 - The M-1 road to FYR of Macedonia (E-75) – Corridor Xd. This component involves the construction of two sections of motorway totaling 31.9 km between Grabovnica and Grdelica, and between Vladicin Han and Donji Neradovac (Corridor Xd);
• Component 2 - The M 1-12 Road to Bulgaria (E-80) – NiÅ¡ – Dimitrovgrad - Corridor Xc. This component involves the construction of 8.67 km of motorway on a section of the corridor between Dimitrovgrad and the border with Bulgaria;
• Component 3 - Road Safety: This component, inter alia, will support the establishment of a Lead Agency in the form of the National Road Safety Council (NRSC), the development of a national road safety strategy, and the creation of a road safety performance framework; and
• Component 4 - Implementation Assistance and Institutional Support: This component will provide assistance to the implementation entity, K10DOO, involving, inter alia, the supervision of the civil works, the supervision of the environmental and expropriation aspects of the project, independent technical audit of the works, and other necessary operational expenses. Further technical assistance will be provided to develop a reform action plan for the reform of PEPS, and after approval, support to implement it.

Map of the Project

View Serbia Corrior X Highway Project in a larger map