EIB and EU Provide €192.5 M to Strengthen Serbia’s Healthcare and Sanitation

The investment underscores the EU’s long-standing commitment to Serbia’s development and European integration, while strengthening public health and environmental protection across the country.


Devdiscourse News Desk | Updated: 04-11-2025 13:46 IST | Created: 04-11-2025 13:46 IST
EIB and EU Provide €192.5 M to Strengthen Serbia’s Healthcare and Sanitation
The project aims to upgrade hospital infrastructure, introduce advanced medical technology, and improve patient care capacity. Image Credit: ChatGPT

 The European Investment Bank (EIB Global), in partnership with the European Union (EU), has announced a new €192.5 million financing package to enhance Serbia’s healthcare infrastructure and sanitation systems. The investment underscores the EU’s long-standing commitment to Serbia’s development and European integration, while strengthening public health and environmental protection across the country.


Transforming Serbia’s Healthcare System

The EIB will extend a €157 million loan to fund the reconstruction, modernization, and expansion of four key clinical centers located in Belgrade, Novi Sad, Kragujevac, and Niš. These facilities serve as the backbone of Serbia’s healthcare network, providing specialized medical services to millions of citizens.

The project aims to upgrade hospital infrastructure, introduce advanced medical technology, and improve patient care capacity. It will support the second phase of Serbia’s national healthcare investment program, complementing previous EU-backed upgrades and contributing to higher efficiency and accessibility within the public health system.

EIB Vice-President Robert de Groot, who signed the agreements in Belgrade, highlighted the project’s transformative scope:

“These investments will improve access to care and enhance the wellbeing of Serbian citizens. The result will be more efficient healthcare services and a cleaner environment.”

Serbian Minister of Finance Siniša Mali emphasized the strategic importance of this investment for the country’s health system, stating:

“Strengthening and modernizing healthcare institutions is of strategic importance for the Government of Serbia. With the help of the European Investment Bank, we continue investing in major clinical centers, marking the start of a new phase of Serbia’s healthcare transformation.”


EU Grant for Improved Sanitation in Belgrade

In addition to the healthcare investments, the EU has provided a €35.5 million grant under the Western Balkans Investment Framework (WBIF) to support the construction of a modern sewerage network in Palilula, a municipality on the left bank of the Danube in Belgrade. This project—co-financed through a €35 million EIB loan and €14.9 million from the City of Belgrade—represents a total investment of €85.4 million.

The new infrastructure will bring safe and reliable sanitation services to approximately 86,000 residents, marking a major step forward in environmental protection and public health. Once completed, treated wastewater will be safely discharged into the Danube, improving water quality and reducing pollution in one of Europe’s most vital river systems.

EIB’s Vice-President de Groot called the initiative a “clean water and health partnership,” while Plamena Halacheva, Deputy Head of the EU Delegation to Serbia, added:

“Clean water, healthy communities, and a greener future — this project brings much-needed infrastructure to a community that currently lacks a sewer network. It’s a win for Belgrade and for the Sava and Danube, two of Europe’s most important waterways.”


Strengthening Serbia’s EU Integration and Regional Development

The financing aligns with the EU’s Global Gateway and Green Agenda for the Western Balkans, designed to promote sustainable growth, environmental protection, and health resilience in EU partner countries. The loan for healthcare modernization is backed by an EU guarantee under the European Fund for Sustainable Development Plus (EFSD+), while the sanitation project benefits from grant support under the WBIF.

Minister for European Integration Nemanja Starović emphasized that these projects advance Serbia’s EU accession goals and domestic reforms:

“Our strategic goal is EU membership, and reforms on this path drive both the country’s development and improvements in citizens’ living conditions. This agreement is a strong contribution to our joint efforts to meet European standards.”

Mira Radenović Bojić, National IPA Coordinator and State Secretary at the Ministry of European Integration, added that the Palilula project will also generate over 200 new jobs during construction and operations, providing a local economic boost while addressing urgent sanitation needs.


EIB Global’s Longstanding Partnership with Serbia

EIB Global has been a key financial partner for Serbia’s development, committing nearly €8 billion to date across diverse sectors including transport, energy, education, research, digitalization, and private enterprise. The bank’s continuous support has helped Serbia modernize critical infrastructure and align with EU standards in social and environmental policy.

EIB Global’s new commitments underscore the institution’s focus on inclusive, green, and sustainable investment in the Western Balkans. Through cooperation with the Serbian government and EU partners, these projects will not only improve living standards but also advance regional cohesion and resilience.


Investing in Health, Environment, and European Solidarity

The combined healthcare and sanitation projects demonstrate the EU and EIB’s shared vision for a healthier, cleaner, and more resilient Serbia. By upgrading medical centers, expanding sanitation coverage, and creating sustainable jobs, the initiatives embody the European Union’s principle of solidarity — ensuring that economic development goes hand in hand with social progress and environmental care.

As Serbia continues on its path toward EU membership, such strategic investments will remain crucial for achieving lasting transformation, supporting both national development and regional integration.

 

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