Bosnia and Herzegovina: EIB representation in Sarajevo marks five years of successful operation

This article is published in association with European Investment Bank.

• The EIB local office has helped BiH access the financial and technical support available under the Team Europe initiative.
• By working closely with the EU Delegation, the EIB has been able to sign over €900 million in financing for new sustainable projects since 2019, supporting connectivity, climate action and the country’s EU accession.

The representation of the European Investment Bank (EIB) in BiH is celebrating the fifth anniversary since its opening. With over €900 million allocated to new investments since 2019, the EIB has provided favourable financial conditions to projects across the country, often combined with grants from the European Union channelled through the Western Balkans Investment Framework (WBIF). The lion’s share of the funds have been allocated to the transportation sector (€590 million), as well as to support for small and medium companies (€155 million) through favourable credit lines, followed by investments in the water, energy, healthcare and education sectors. In terms of technical support, the Bank has provided some €3 million in grants from its own Economic Resilience Initiative (ERI), while €10.5 million of advisory services have been delivered through the WBIF. These funds have backed the preparation and implementation of projects.

Over the last five years, the EIB Global has worked closely with the EU Delegation in BiH and the EU institutions in Brussels to deliver financial and technical support for key projects leading to faster economic development and improved living conditions. These projects include the construction of new sections along the Corridor Vc, for which the EIB has already invested over €1 billion, complemented with over €300 million in grants. The Bank has signed over €40 million in EU investment grants under the European Union’s Water and Sanitation (WATSAN) programme, including under the Instrument for Pre-accession Assistance (IPA) and the Swedish International Development Cooperation Agency (SIDA). In the water sector, the Bank has provided financial assistance for the reconstruction of flood protection infrastructure and implementation of prevention measures.

Some of the projects the Bank signed in 2023 included a €75 million loan for the rehabilitation of healthcare units and the construction of a new medical campus at the University Clinical Centre of Banja Luka, as well as €36 million for the construction of the Vlašić wind farm. Finally, EU initiatives such as the Economic and Investment Plan, COVID-19 recovery support, 2022 Energy Support Package and, most recently, the Growth Plan enabled Bosna and Herzegovina to move forward with its connectivity, environmental protection and green transition targets on its path towards the European Union.

“Together with our local and Team Europe partners, we have achieved tangible improvements in everyday lives and opened new development opportunities that the country has been able to attain. Thanks to our financial and technical support, people across the country are already benefiting from improved water supply and sanitation services. Earlier this year, new cutting-edge trams arrived in Sarajevo, 40 years after they were last replaced. And on the pivotal transportation route – Corridor Vc, currently under construction, road users will benefit from reduced travel time and better road safety.”, said EIB Vice-President Robert de Groot, who is responsible for the Bank’s operations in the Western Balkans.

“When the EIB representation office was launched in Sarajevo back in 2019, our goal was to strengthen partnerships on the ground and increase our advisory support for our local partners. Not without a sense of pride, I can rightfully say that the EIB teams from the Western Balkans and Luxembourg have been able to help BiH benefit from the available EU opportunities,” said EIB representative for BiH Sandrine Friscia,whose mandate expired as of September 1^st.

Miha Švent, who was previously an advisor with the EIB’s Public and Infrastructure Finance Advisory, will take on the position of the Bank’s representative for BiH in the coming months.

Background information

About the EIB and EIB Global

The EIB is the long-term financing institution of the European Union, owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals. The EIB supports projects in four priority areas: infrastructure, innovation, climate and environment, and small and medium-sized enterprises (SMEs). EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance, and a key partner of the Global Gateway. We aim to support €100 billion of investment by the end of 2027 – around one-third of the overall target of this EU initiative. Within Team Europe, EIB Global fosters strong, focused partnerships alongside fellow development finance institutions and civil society. EIB Global brings the EIB Group closer to local people, companies and institutions through our offices around the world.

About the EIB in the Western Balkans

The EIB is one of the leading international financiers in the Western Balkans. Since 2009, the Bank has financed projects in the region totalling over €11 billion. 

About EIB in BiH

The EU bank has been active in BiH since 1977. To date, it has invested €3.4 billion, mostly in support of the transportation sector and small and medium businesses.