Serbia Awards RSD 1.49 Billion Road Rehabilitation Contract for Strategic IB-21 Corridor

Serbia has awarded a major road infrastructure contract for the rehabilitation and upgrading of a key section of the State Road IB-21 corridor in western Serbia. The project, valued at RSD 1.49 billion, has been awarded by Putevi Srbije to EK-PET İnşaat Sanayi Taahhüt ve Ticaret Limited Şirketi.

Signed on 8 April 2026, the contract covers the preparation of the main design and execution of heavy maintenance works along the Valjevo (Bypass) - Kaona - Kosjerić section of State Road IB-21. The investment is expected to improve road safety, traffic flow, and regional connectivity while supporting Serbia’s broader transport modernization objectives.

Contract Details and Scope

The awarded tender (Reference No. EIB-GtP/RRSP/RRW-IB21VK/2024-03, Notice Ref. 242696-2026, TOT Ref No. 25591774) has a total contract value of RSD 1,490,854,430.

The project involves both engineering design services and construction works under an integrated design-build model.

Project Overview

The contract covers:

• Preparation of the main engineering design

• Heavy maintenance and rehabilitation works

• Upgrading of State Road IB-21

• Reconstruction of pavement structures

• Road safety improvements

• Drainage and roadside infrastructure enhancements

• Associated civil engineering works

The rehabilitation will be carried out on the section between Valjevo Bypass, Kaona, and Kosjerić, extending from km 153+200 to km 173+200, with a total length of 20 kilometers.

Entities Involved

The contracting authority, Putevi Srbije, is responsible for the management, maintenance, and development of Serbia’s national road network.

The winning contractor, EK-PET İnşaat Sanayi Taahhüt ve Ticaret Limited Şirketi, is a Turkish engineering and construction company with experience in transportation and infrastructure projects across international markets.

The procurement was conducted in accordance with the European Investment Bank (EIB) Guide to Procurement, reflecting international standards for transparency and competitiveness.

Strategic Importance for Serbia

The State Road IB-21 serves as an important regional transport corridor connecting communities, businesses, and economic centers in western Serbia.

The project aims to:

• Improve road quality and driving conditions

• Enhance traffic safety along the corridor

• Reduce vehicle operating and maintenance costs

• Improve regional accessibility and connectivity

• Support economic development and trade

• Extend the operational lifespan of road infrastructure

Upgrading strategic road corridors remains a key component of Serbia’s infrastructure development strategy and regional integration efforts.

Economic and Transport Impact

The RSD 1.49 billion investment is expected to generate both immediate and long-term benefits.

Expected Benefits

• Creation of construction and engineering jobs

• Improved transportation efficiency

• Enhanced logistics and freight movement

• Better access for local communities and businesses

• Reduced travel times and congestion

• Increased reliability of regional road infrastructure

Improved road networks play a vital role in attracting investment and supporting economic growth throughout Serbia.

Technical and Engineering Significance

Heavy maintenance projects involve comprehensive rehabilitation rather than routine repairs. Typical activities may include:

• Pavement reconstruction and strengthening

• Geotechnical improvements

• Drainage system rehabilitation

• Road marking and signage upgrades

• Roadside safety barrier installation

• Structural repairs where required

The integrated design-and-build approach enables closer coordination between engineering design and construction execution, helping improve efficiency and project delivery timelines.

Conclusion

The award of the RSD 1.49 billion State Road IB-21 rehabilitation contract marks an important milestone in Serbia’s transport infrastructure modernization program. By upgrading the 20-kilometer Valjevo-Kaona-Kosjerić section, the project will enhance safety, improve mobility, and strengthen regional connectivity in western Serbia.

As implementation moves forward, the investment is expected to deliver lasting benefits for road users, local communities, and the broader Serbian economy while supporting the country's long-term transportation development objectives.

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