EU Transfers EUR51.7 Million to Serbia Under Growth Plan

European union

The European Commission transferred EUR51.7 million in favorable loans to Serbia’s state budget on June 20 as part of the pre-financing process provided for by the EU Growth Plan for the Western Balkans, the EU Delegation to Serbia has announced.

An additional EUR59 million provided for pre-financing purposes in the form of grants and loans, will be directed through the Western Balkans Investment Framework to improve infrastructure across the country, the EU Delegation said in a release, adding that the disbursements would follow the ratification of the instrument agreement and the loan agreement by the Parliament of Serbia under the Reform and Growth Facility.

“Future disbursements from the Reform and Growth Facility for the Western Balkans will be made upon the fulfillment of reform steps arranged between the European Commission and the Government of Serbia through the Reform Agenda, providing that the applicable preconditions and general conditions are met. The European Commission is currently assessing the implementation of the first set of reform steps related to fundamental freedoms and the rule of law, the business environment and private sector development, as well as the green and digital transition,” the statement said.

The pre-financing is seven percent of the total financial support allocated to Serbia under the EU Growth Plan for the period from 2024 to 2027, which will provide two billion euros in grants and four billion euros in favorable loans to the Western Balkans region. The aim of the Plan is to stimulate economic growth in the region, accelerate the socio-economic convergence of the Western Balkans with the EU, and support the implementation of reforms on the path toward EU membership.