Minister of Transport Milutin Mrkonjić discussed today with representatives of Russian and Serbian Railways projects that are being financed by the loan of the Government of the Russian Federation. He said that work procedure is going quite well so far and that the project implementation is expected. Serbian Minister said that funds from the Russian loan in the amount of $800 million for railways will not be redirected for other needs, these funds will be exclusively used for their purpose.

It was specified that €50 million will be invested in construction of the second track of railway line Beograd-Pancevo, €55 million in reconstruction of 6 sections of Corridor 10 and €100 million in purchase of DMUs. For the construction of railway line Valjevo-Loznica €275 million is necessary, and for railway line Beograd-Bar approx. €200 million. The President of the General Meeting of Shareholders of “Serbian Railways”, Zoran Andjelkovic, said that works on the railway line Beograd-Pancevo should begin this fall. The Ministry of Finance should provide funds for land expropriation until that time, and a positive mark from the Ministry of Construction is also being expected. “Serbian Railways” are willing to accelerate all works and to take over all responsibilities.

It remains for the Ministry of Finance to confirm and ratify financial debt contract, while “Serbian Railways” and appropriate Ministry should arrange the first phase of construction works on the Beograd-Pancevo project, first works on sections of Corridor 10, agreement and shipment of new DMUs. The second phase represents continuation of works on the one-track railway line Valjevo-Loznica, pointed out Milovan Markovic, Director General of “Serbian Railways”.

-Our partners and experts from Russia are willing to come and to visit the railway line Valjevo-Loznica in order to determine the track condition, especially the condition of tunnels. Reconstruction of the railway line Beograd-Bar is last on the list of the project that is being implemented. Project documentation is to be arranged, but the project will be started next year, said Markovic. The Russian Ambassador in Serbia Aleksandar Konuzin pointed out at the meeting that Serbia can count on additional financial support from Russia, beside the $800 million loan provided for Serbian Railways.

-That´s what is being discussed, of course, we should hear first what the needs of Serbia are, and than we should together define possibilities for the solving of these problems, said Konuzin and expressed his expectation to see concrete results very soon.

Mr Mrkonjic accepted Konuzin´s proposal that says, that Serbian and Russian railway experts should make some strategic activities in the region and he announced that funds from the budget of his Ministry will be provided for that purpose.