The municipality of Tivat has not repaid even half of the already taken multimillion-dollar loans for the construction of sewage and water infrastructure and the purchase of firefighting vehicles, and the local DPS-SDP government recently decided to borrow another 11 million.
This is shown by the data on the status and repayment of long-term obligations of the Municipality, which the Secretariat for Finance, Budget and Economic Development forwarded to the councilors.
The municipality of Tivat borrowed around 6,28 million euros based on three loans from 2006, 2008 and 2010. Of that, about 30 million was returned by September 2,4 of this year, and about 3,87 million remained to be repaid.
The first loan, in the amount of EUR 1.297.440, was taken by the Municipality from the German Development Bank KfW for the implementation of Phase II of the project to improve the water supply and sewage infrastructure on the Montenegrin coast. This loan has 24 semi-annual installments, the last of which is due on May 30, 2020. A total of 650.794 euros remains to be returned to the Germans on this basis.
KfW Bank is the creditor of the second loan, in the total amount of 3.513.000 euros, which was taken for Phase III of the implementation of the project to improve the water supply and sewerage infrastructure. The loan is paid in 24 semi-annual installments, the last of which is due on November 30, 2022. On this basis, the people of Tiv still need to pay 2.341.585 euros. The third loan returned by the residents of the municipality of Bokelje is worth 1.474.141 euros and was taken in 2010 through the Ministry of Finance from the Austrian bank "Steiermarkische und Sparkassen AG" for the purchase of four modern firefighting "Mercedes". The loan is repaid in 20 half-yearly installments, the last of which is due on January 15, 2021, and EUR 884.492 remains to be repaid on that basis.
A new loan of 11 million is planned for the construction of sewerage and water supply infrastructure.
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