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MINISTER: BOSNIA SHOULD FINANCE FEASIBILITY STUDY FOR CORRIDOR 5C

SARAJEVO, Sept 6 (Hina) - Bosnia's Transport and Communications Minister Branko Dokic has for the first time openly advocated the announcement of a tender for the drawing up of a feasibility study for the section of the future Budapest-Ploce highway running through Bosnia-Herzegovina.
SARAJEVO, Sept 6 (Hina) - Bosnia's Transport and Communications Minister Branko Dokic has for the first time openly advocated the announcement of a tender for the drawing up of a feasibility study for the section of the future Budapest-Ploce highway running through Bosnia-Herzegovina. #L# In an interview with Saturday's issue of Sarajevo's "Oslobodjenje" daily, Dokic said that the position of the country's authorities was changing and that the private company "Bosmal" was far from being chosen to build the corridor section. "Due to the position of the public and current political comments I believe it would be more useful if Bosnia-Herzegovina, rather than Bosmal, financed the feasibility study," Dokic said. The World Bank previously offered the country's authorities an interest-free loan to finance the study, which is estimated at 7-9 million euros, however, the Council of Ministers flatly rejected the offer. The World Bank explained its offer with the need to avoid conflict of interest which would be unavoidable if the feasibility study was financed by Bosmal, which is directly interested in the highway project. Dokic also warned that numerous previous studies had shown that the construction of the highway was not a profitable investment and that it was up to Bosmal to decide if it wanted to bid for the project. Dokic reiterated that Bosmal had not met the basic requirement set by the Council of Ministers, namely to obtain bank guarantees worth 300 million euros. In a letter to the Council of Ministers, Bank Islam Malaysia Berhad only expressed readiness to finance preparatory projects for the construction of the highway, which Dokic says is only one step in the acquisition of bank guarantees. At a meeting representatives of this bank and Bosmal held earlier this week, the Malaysian bank required additional information to insure against any risk. Responding to the statement Dokic gave in Banja Luka on Friday, the Bosmal management issued a statement claiming that it had met all requirements. The company claims that the letter of the Bank Islam Malaysia Berhad proves that the bank is ready to provide 300 million euros but not before Bosmal is granted a concession to build the highway. Bosmal is now setting conditions and demanding a concession in advance for a job worth three billion euros, although it has no proof that it is capable of completing such a big financial plan. (hina) rml

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