EBRD financing for port of Sibenik in Croatia

The EBRD is supporting the development of regional transport infrastructure and tourism network in Croatia with a €12 million loan to finance the expansion of the Port of Sibenik, located on the Croatian coast, 80 kilometres north of Split.
 

Tourism is one of the most important sectors of the Croatian economy, accounting for 22 per cent of the country's GDP and for over 40 per cent of its foreign currency earnings. Building on the benefits of the Adriatic, Croatian government is aiming to diversify tourism opportunities by promoting lesser-known destinations.

Managed by the state-owned Sibenik port Authority, Sibenik port is located in a deep bay, one of the most naturally protected harbours on the Adriatic coast. It is a popular destination offering access to two national parks and ferry access to the neighbouring islands, and is an attractive mid-cruise stop for medium-sized ships operating in the Adriatic area of the Mediterranean.

The EBRD loan, guaranteed by the Croatian government, will finance the rehabilitation of the Sibenik port's infrastructure by expanding the berthing area. The project will increase the port's capacity, addressing the congestion that occurs during the summer months as a result of increased traffic, and also allowing for the entry of larger-sized cruise ships into the port area.

Following the expansion of the quay, Sibenik port will pursue the construction of passenger terminal facilities.

The project is supported by grant financing from the Portuguese Technical Cooperation Fund and from the EBRD Shareholder Special Fund which will be used for the institutional strengthening of the Sibenik Port Authority, project implementation support and works supervision.

"The EBRD investment will support the modernisation of Sibenik port, an important project for the further development of tourism in Croatia. The improved infrastructure will help raise the visibility of Sibenik, its surroundings and nearby islands as holiday destinations," said Thomas Maier, EBRD Managing Director for Infrastructure.

"The project is an important step in supporting the modernisation of the Croatian port infrastructure as outlined in the Croatian EU Pre-Accession maritime strategy of the Republic of Croatia and, as stipulated by the programmes of the Republic of Croatia, it is intended to improve the port system, islands connectivity to the main land and the quality of tourist services. It will also support the Government initiatives aiming at expansion of the Croatian tourism offer as well as increasing the connectivity along the Croatian coast with the local island communities," said Mario Babic, State secretary in the Ministry of Sea, Tourism and Infrastructure of Croatia.

Since the beginning of its operations in Croatia, the EBRD has committed €2.2 billion in various sectors of the country's economy, including close to €400 million for the modernisation of transport infrastructure, and mobilising additional investments worth €3 billion from other sources.