EIB Global Invests €25 Million to Modernize Air Navigation in Serbia and Montenegro, Boosting Efficiency and Sustainability

EIB Global Invests €25 Million to Modernize Air Navigation in Serbia and Montenegro, Boosting Efficiency and Sustainability

(IN BRIEF) The European Investment Bank (EIB Global) has committed €25 million to upgrade the air navigation control system in Serbia and Montenegro, a project aimed at enhancing safety, efficiency, and environmental performance. This investment will fund the development of advanced software and equipment, ensuring that SMATSA can meet the rigorous standards of the Single European Sky initiative. The project focuses on integrating state-of-the-art digital solutions that align with Eurocontrol and the Digital European Sky strategy, which will help SMATSA—currently managing 9% of European flights—improve connectivity among its control centers in Belgrade, Podgorica, Tivat, Batajnica, Kraljevo, and Niš. By optimizing flight routes, reducing operational costs, shortening flight times, and minimizing CO₂ emissions, the project is expected to bring significant benefits to air traffic management. This initiative is co-financed by the EBRD and is a key component of the European Commission’s Economic and Investment Plan for the Western Balkans. EIB Global’s previous investments of €6.6 billion in the region’s transport sector further underscore its dedication to building safer and more sustainable transport networks.

(PRESS RELEASE) LUXEMBOURG, 18-Mar-2025 — /EuropaWire/ — The European Investment Bank (EIB Global), the lending arm of the European Union, is set to inject €25 million into a transformative project aimed at upgrading the air navigation control system in Serbia and Montenegro. This strategic investment will fund the development and implementation of cutting-edge software and state-of-the-art equipment, enabling SMATSA—the air navigation service provider in these countries—to achieve the highest levels of operational safety and efficiency in line with the Single European Sky initiative. By ensuring interoperability and optimizing flight routes, the project is poised to enhance air traffic management, reducing delays and CO₂ emissions, while simultaneously improving connectivity both within the Western Balkans and with the European Union.

The €25 million loan will specifically support the creation of a new software solution for air traffic management that meets the rigorous standards set by Eurocontrol and aligns with the Digital European Sky strategy. This initiative will allow SMATSA, which currently manages around 9% of all European flights, to integrate advanced digitalization and automation technologies across its control centers in Belgrade, Podgorica, Tivat, Batajnica, Kraljevo, and Niš. The anticipated benefits include lower operational costs, shorter flight times, and a significant reduction in environmental impact through decreased emissions.

This project is co-financed by the European Bank for Reconstruction and Development (EBRD) and forms a key part of the European Commission’s Economic and Investment Plan, which is designed to foster connectivity and regional integration. Notably, EIB Global has already invested a total of €6.6 billion in the transport sector throughout the Western Balkans, reinforcing its commitment to creating safer and more sustainable transport networks across the region.

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SOURCE: European Investment Bank