Background Maximum amount: 300 000 EUR
Regional disparities in the Republic of Serbia are among the highest in Europe. While Belgrade is currently enjoying the Gross Domestic Product (GDP) per capita of almost 180% of the national average and generates the largest share of GDP, the Southern and Eastern Serbia region stand on 63% of national average and contribute to GDP with less than 15%. According to the Regulation on the Single List of Development of regions and local self-governments for 2013 (Official Gazette of the Republic of Serbia No. 107/2012), adopted by the Government of the Republic of Serbia in November 2012, 46 of 150 municipalities are extremely underdeveloped (development level less than 60% of the national average), with 23 classified as devastated (development levels lower than 50% of the national average).
Opportunities for any wide and sustainable economic growth in these underdeveloped municipalities are severely hampered by stagnant and opaque local regulations, depleted and inadequate capacities of local administrations and their officials, obsolete and/or run-down infrastructure, lowered levels of education and other investments in human capital, which all result in unfavourable business environment. In turn this influences the ability to attract new direct foreign and domestic investments. These obstacles are underpinned by other elements of poor governance practices resulting in general inability to implement national reforms at the local level.
Objectives
The global objective of this Call for Proposals is to contribute to sustainable development of underdeveloped areas of Serbia by creating more favorable environment for business and infrastructure growth, thus increasing employability and social inclusion.
The specific objective of this Call for Proposals is to improve local infrastructure facilities in target municipalities. The activities will cover improvement of living conditions and economic infrastructure.
The priorities have been identified based on the main strategic documents for the Competitiveness sector, which are presented in National priorities for international assistance (NAD) 2014-2017 with projections until 2020. Namely, dynamic and stable economic growth based on increase in investments. Economic growth and increase in competitiveness of the economy represent a realistic basis for increase in employment and living standard of the population.
Eligibility
In order to be eligible for a grant, the applicant must:
- be a legal person and
- be a non-profit making and
- be a municipality, city municipality or city (hereinafter referred to as municipality) and
- be established in a Member State of the European Union or in a country covered by the Article 19 of the IPA Regulation and
- be directly responsible for the preparation and management of the action with the co-applicant(s) and affiliated entity(ies), not acting as
an intermediary.
Budget
Total amount of funds that will be given through this project is EUR 3,500,000.00 divided in two lots:
Lot 1: Local infrastructure projects aiming at improvement of living conditions
Size of grants: EUR 100,000–200,000
Lot 2: Local infrastructure projects contributing to economic development
Size of grants: EUR 100,000–300,000
Deadline: 28 April 2015
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