Road to the EU: Bosnia and Herzegovina speeds up highway construction

The Western Balkan country hopes to build not only a road but also closer ties to the EU in hopes of joining the bloc in the future and stronger relationships with companies in the region.

Bosnia and Herzegovina is working on one of the biggest infrastructure projects of the Western Balkans: transport corridor Vc.

The highway connects the Croatian port of Ploče with the Bosnian capital Sarajevo, and industrial cities clustered along the north-south line.

Thus, Bosnia-Herzegovina upgrades its ties not only with its neighbours in the Balkans but also enables better traffic interconnections of the whole region with the European markets.

The 336-kilometre-long Bosnian highway project crossing through the Balkan peninsula mountains is a huge challenge for engineers and is becoming increasingly expensive.

It was launched 23 years ago, but delays piled up. That’s why Euronews tried to get answers to two questions: does Bosnia-Herzegovina really need such a mammoth project, and why is the European Union paying for a good chunk of it?

Closer to the European Union

Bosnia has long wanted to become an EU member.

A growing number of European companies are opening production sites in the country because of lower labour costs. But without good roads, delivering products to European customers takes time.

Bosnia cannot finance such a huge project on its own. There are €870 million in grants from the EU and cheap loans from the European Investment Bank and the European Bank for Reconstruction and Development, handing out €1 billion each.

Along this transport corridor, industrial parks are mushrooming. That means jobs, growth and economic welfare.

Although planning has been ongoing for decades, just half of it has been built. But construction is speeding up: some 60 kilometres of tunnels, bridges, and road sections are currently under construction.

Bosnia is doing better today than 20 years ago. The country has launched reforms, supported by the EU, upgrading infrastructure and competitiveness. But, companies such as NCMC, a global market leader producing rack warehouses, are complaining about poor transport links.

‘The Iron Heart of Bosnia’

The region has a long-standing tradition of iron processing and manufacturing. Nevertheless, it is difficult to find workers in “the iron heart of Bosnia” — because many Bosnians have emigrated to high-wage countries of the EU.

NCMC employs 120 people locally and is looking for more welders, mechanical engineers and project managers. Next year, 40 new employees are to be recruited.

“Our company is a 100% export company”, supply chain director Mensur Pilav says. “We are planning to double the production line in the next year. Today, we have 500 trucks per year, and next year we will have at least 1,000 trucks per year.”

Transport of metal racks would be 10 times cheaper by rail. But Bosnia’s railway network is outdated. If there were enough freight trains, the company would switch. But as the motorway is being built first, the company is sticking with lorries for the time being.

“Basically, we have to face two challenges”, says Mensur Pilav. “First of all, in terms of lead time because the roads are not good. And the second one is that we are not yet part of the European Union and that’s why we have a loss of time during the border crossing towards Croatia, going to the European Union.”

Truck driver Armin Mević agrees. He is in favour of joining the EU as soon as possible. He has already experienced a lot, especially at the EU’s external borders: “Once it was so crowded, that we had to wait for 24 hours from Bosnia to the European Union. The highway will make our job much easier. I am glad that it is being built and that we finally have at least the biggest cities in BiH connected by the highway.”

Armin and his colleagues wonder why the motorway expansion is not progressing faster. Euronews handed this question to Ferdinand Koenig, head of communication at the EU Delegation to Bosnia and Herzegovina in Sarajevo.

“It can take more than two years from the time that an EU grant is approved, for that grant to be ratified by the authorities here! Due to weaknesses in public administration, certain procedures take longer than they could,” Koenig said.

“As this country moves further on the EU path, these elements will be strengthened. Not just infrastructure but also the rule of law, fighting against corruption.”

Euronews: What can you do to ensure that EU money does not end up in the wrong pockets?

Koenig: “The fight against corruption is one of the most important things that Bosnia-Herzegovina needs to do if it wishes to join the European Union, including strengthening protection for whistleblowers and implementing anti-corruption legislation such as the conflict-of-interest-law, which was adopted last year.”

Euronews: Why should European taxpayers’ money be spent to build infrastructure in Bosnia-Herzegovina – which is not (yet) part of the European Union?

Koenig: “We want to integrate this region into the European Single Market. This is a priority as part of what we call the growth plan for the Western Balkans. The more growth there is here and in the rest of the region, the better it is for all of us across our continent. So, this is a good investment.”

Euronews: When will this highway be ready?

Koenig: “The authorities set a target of 2030.”

There are doubts on the ground as to whether this goal is realistic. After all, Bosnia-Herzegovina is still a deeply divided country. It is a question of political will.

But if the country’s three main ethnic groups, Bosniaks, Croats, and Serbs, stick together, bridges can be built for a better future and maybe even a highway to Europe.

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