(E) Upgrading of municipal infrastructure in Croatia
EIB finances upgrading of municipal infrastructure in Croatia
The European Investment Bank (EIB), the European Union's financing institution, is advancing a EUR 50 million loan to the Republic of Croatia, via the Ministry of Finance and the Ministry of Public Works, Reconstruction and Construction (“PWRC”) to support post-war reconstruction in Croatia. The proposed Framework Loan is for the financing of small to medium-sized municipal infrastructure projects in Areas of Special State Concern (“ASSC”), i.e those areas in Croatia most devastated by the wars in the 1990's and amongst the poorest and least developed in the country. The operation is aimed at reversing the negative economic consequences of the recent conflicts, accelerating the return of the displaced population, stimulating demographic and economic progress, and ensuring a more balanced development of the ASSC when compared with the rest of the country. During the period 2003-05, the Ministry's overall rehabilitation investment expenditure in the ASSC areas is expected to amount to some EUR 450 m.