China Road and Bridge Corporation

BEIJING - Serbia and China signed several bilateral documents in Beijing on Tuesday with a view to advancing their cooperation.

Montenegrin Government and CRBC officials at the Bar Boljare highway first phase opening ceremony. Photo: Government of Montenegro

According to a government report published on Wednesday outgoing Finance Minister Aleksandar Damjanovic and CRBC official Hei Shiquiang met on July 3 about potential cooperation on the construction of the second and third phases of the highway.

BELGRADE - Serbian PM Ana Brnabic and China Road and Bridge Corporation (CRBC) General Manager Du Fei met on Friday in Belgrade to discuss the company's projects that are successfully underway in Serbia and future plans for cooperation.

The first phase of the Montenegrin Bar-Boljare highway. Photo: Government of Montenegro

On July 13, Prime Minister Dritan Abazovic opened the first section of the highway, seven years after the Chinese-financed project started, and drove up Montenegro's public debt to 90.85 per cent of GDP.

Montenegrin officials at the opening of Bar-Boljare highway first section. Photo: Government of Montenegro.

On Wednesday, Prime Minister Dritan Abazovic opened the first section of the highway, seven years after the Chinese-financed project started and drove up Montenegro's public debt to 90.85 per cent of GDP.

The first stretch of the Bar-Boljare highway in Montenegro. Photo: Government of Montenegro

According to a feasibility study by URS Infrastructure and Environment, a British engineering consultancy, the first phase of the highway should cost $803 million euros, while a study by another British consultancy, Scott Wilson Group, said it should cost $570 million.

The first phase of Bar Boljare highway in Montenegro. Photo: Government of Montenegro

The Chinese loan for the first phase of Bar-Boljare highway has imposed a heavy burden on Montenegro's public finances.

Minister of Finance and Social Care Milojko Spajic said an arrangement was made with two unnamed US banks and one from France, converting the loan from US dollars to euros.

The UNESCO protected Tara river has been damaged during construction of Bar-Boljare highway. Photo: MANS

The main constructor of the first phase of the highway sought permission from the country's Agency for Nature and Environmental Protection to repair the damage done to 500 meters of riverbank near the town of Kolasin.

Construction workers on the first phase of Bar-Boljare highway, Montenegro. Photo: Government of Montenegro

Spajic explained that the government was looking for ways to finance its largest infrastructure project under more favourable conditions.

The construction of Bar-Boljare highway near Kolasin, Montenegro. Photo:Government of Montenegro