600 THOUSAND EUROS FROM THE EU FOR DEVELOPMENT OF SOUTH SERBIA

4. November 2011.

Vranje – As part of the European Partnership with Municipalities Program „Progress” , a non-refundable aid of 600 thousand euros was approved for the implementation of several new projects in South and Southwestern Serbia. The EU and the Swiss Government are going to finance five major infrastructural projects with the sum of around half a million euros. The Medvedja-based “Termovent” plant is going to be reconstructed, so that it could be enabled to manufacture briquette. The city of Vranje, as well as the municipalities of Presevo, Crna Trava and Ivanjica, are also going to receive the funds, which will be used for improving the rural infrastructure, as well as for the renovation of schools and day – nurseries.

A portion of the approved funds will be used for modernizing Tax Administration Offices in over 10 municipalities and cities, including those in the municipalities of Bujanovac and Presevo. The said modernization includes installation of the appropriate IT equipment and the setting up of a comprehensive database. Around 10 per cent of the costs will be born by the municipalities and cities themselves. In addition, the Business Incubator Centers projects in Vranje and Prokuplje were approved. The Incubator Center in Vranje will be getting financial assistance for employing returnees on the basis of the readmission process, while the establishment of the Toplica Fruit-Growing Cluster in Prokuplje will be made possible.

“It is important that the municipalities honor the commitments stemming from the agreements on allocation of non-refundable financial resources. That is how we will manage to implement the approved projects for the benefit of the citizens, while the municipalities will be ready to provide new non-refundable financial resources from donor, primarily European pre-accession funds”, said Graeme Tyndall, Manager of “Progress”. The “Progress” Development Program Fund exceeds 18 million euros. The European Union earmarks over 14 million euros, the Swiss Government 2.5 million euros and the Serbian Government a million and a half euros. The program is aimed at economic and social development of 25 municipalities and cities in South and Southwestern Serbia.