BUSINESS

Špirić Signed Agreement with EBRD: Water Supply to Čapljina With Loan of Five Million Euros

capljina_001The Deputy Chairman of the BiH Council of Ministers and the Minister of Finance and Treasury Nikola Špirić and the Executive Director of the European Bank for Reconstruction and Development for Southeast Europe Jean-Marc Peterschmitt signed today an agreement worth five million euros intended for the project for the water supply in municipality Čapljina.

On the basis of this agreement, it would be possible to finance the expansion of the water infrastructure in suburban areas of municipality Čapljina and to replace outdated water meters.

After the signing of the agreement, Minister Špirić said that this project is extremely important for the citizens of municipality Čapljina.

“This project would solve long-standing problems in the water supply network for the citizens of Čapljina. It is planned for the works to be finished by the end of June 2015, which would significantly reduce water losses in the existing water supply network, and will create the conditions for the connection of new customers for a public water supply system’’, said Minister Špirić.

The approved funds, from which 4,5 million KM have been provided from IPA funds of the EU, would be used by the public company “Komunalno” in Čapljina.

“With the support of the EBRD, “Komunalno” will comply their services with international standards and strengthen their operative efficiency’’, said Peterschmitt.

Minister Špirić said that EBRD is the most important financier in BiH, and recalled that through this bank around 1,3 billion euros through 97 projects have been invested until now, and which are primarily based on improving life standards in local communities.

Peterschmitt warned that more than half of the approved funds are not used, and expressed hope that the withdrawal of money and realization of selected projects would accelerate.

The BiH Minister of Finance and Treasury assessed that steps have to be taken as soon as possible so that BiH would not waste extra money to pay for the reservation of funds for selected projects that borrowers have not realized.

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