European Commission announces new financial support package for the Western Balkans: No funds for Serbia

EU Commissioner for Enlargement Marta Kos said that investing in the EU’s Western Balkan partners is essential for bringing them closer to the Union

The European Commission announced a 171 million Euro support package aimed at boosting infrastructure development and the private sector in the Western Balkans.

The funds will be allocated to Bosnia and Herzegovina, Montenegro, Albania, and North Macedonia. As the Commission emphasized, the financial package strengthens the EU’s commitment to sustainable growth and regional connectivity in the Western Balkans.

The new support package includes funding from several EU financing instruments: contributions from the Instrument for Pre-Accession Assistance (IPA III) for a project in Bosnia and Herzegovina, contributions from bilateral donors through the Western Balkans Investment Framework (WBIF) for a project in Montenegro, and contributions from the Reform and Growth Facility (RGF) for projects in Albania, Montenegro, and North Macedonia.

EU Commissioner for Enlargement Marta Kos said that investing in the EU’s Western Balkan partners is essential for bringing them closer to the Union.

“For more than two years since the adoption of the Growth Plan for the Western Balkans, we have been working, among other things through the Western Balkans Investment Framework, to turn commitments into action. From improving infrastructure to fostering business development, these investments create real opportunities for citizens,” the Commissioner said.

Of the total amount, 91.8 million Euro is earmarked for infrastructure projects in the four EU partners in the Western Balkans. These funds are expected to mobilize total investments of 263 million Euro for seven projects in priority sectors, including digitalization, clean energy, human capital, transport, and the environment.

Specifically, the projects include the implementation of broadband infrastructure in Albania, upgrades to the electricity transmission system in North Macedonia, the construction and energy-efficient renovation of educational institutions in North Macedonia and Montenegro, the electrification of the Durrës-Tirana railway line in Albania, and drinking water and wastewater treatment projects in Bosnia and Herzegovina.

The Commission stated that these projects will be implemented by Western Balkan EU partners in cooperation with international financial institutions.

In addition, 2.9 million Euro has been allocated for four technical assistance projects in Albania and Bosnia and Herzegovina to stimulate future investments in energy, water, innovation, and research.

The second part of the package, worth 76.3 million Euro, consists of contributions to programs supporting the private sector, including the Western Balkans Advance Program, the “Go Green” Small and Medium-Sized Enterprises Program, the Western Balkans Opportunities pilot program for non-traditional financing (W-BOND), as well as strengthening public-private partnership and governance capacities in Bosnia and Herzegovina.