Serbia Plans Independent Review of Major Infrastructure Contracts and Project Costs

Serbia’s proposed infrastructure reforms could bring major public investments, procurement procedures and construction contracts under independent scrutiny, with the Morava Corridor, Belgrade Metro and Expo 2027-related projects among those identified for review.

The programme, developed by the election-winning Students’ List, envisages an independent expert commission, greater transparency of government contracts and stronger oversight of construction companies and professionals. Contracts found through appropriate legal procedures to involve corruption or unjustified expenditure could face termination, while projects meeting the required standards would continue.

The measures remain policy proposals, not adopted government decisions. Their implementation would depend on legislation, administrative capacity, contractual obligations and individual investigations.

Expert commission to assess public investments

The proposed commission would include independent specialists and report its findings to the government every three months. Approximately 20 experts contributed to the programme, which envisages initial measures within six to twelve months.

Reviews would cover project costs, procurement procedures, construction standards and whether investments continue to meet their stated objectives. This could include examining feasibility studies, technical designs, contract amendments, subcontractor appointments, supervision records and final payments. The assessment would need to distinguish legitimate cost increases caused by design changes, ground conditions, inflation or additional technical requirements from avoidable expenditure and potentially improper contracting.

Morava Corridor and Belgrade Metro among projects under scrutiny

The Morava Corridor motorway has been identified for reassessment, particularly regarding cost increases and the conclusion of major construction contracts before sufficiently detailed technical documentation is completed.

A review could examine the original contract scope, subsequent amendments, additional works, certified quantities, payment records and the allocation of risks between the public investor and contractors.

The Belgrade Metro would also be assessed, including whether its selected technical solution provides sufficient transport benefits relative to its cost. Changes to project sequencing could affect procurement packages, financing needs, equipment deliveries and construction risks. Any revision would also need to account for existing contracts, completed design work and supplier commitments.

Expo commitments retained, related investments reassessed

The proposed programme envisages honouring Serbia’s international commitments for Expo 2027, while reviewing the scope and justification of investments associated with the exhibition.

The wider Leap into the Future – Serbia 2027 programme was presented with planned investment of approximately €17.8 billion across infrastructure, education, healthcare, energy, technology and other sectors. This figure covers a broader national investment programme rather than the standalone construction cost of the Expo exhibition.

The review would distinguish projects required to host the event from other investments included in the wider programme, assessing their costs and longer-term economic justification.

Procurement rules and contractor eligibility

The proposed reforms include suspending or revising special legislation that allows individual projects to follow procedures outside ordinary procurement and planning rules.

Another measure would establish a register of construction companies found to have breached legal or professional requirements. The programme also envisages stronger disciplinary procedures through the Serbian Chamber of Engineers.

Any procurement exclusion or professional licence withdrawal would require a legal basis, documented evidence, proportionate sanctions and the possibility of appeal. The proposed framework would need to distinguish individual professional misconduct from company-level violations and subcontractor responsibilities.

Contract termination carries legal and financial risks

Contracts established through appropriate procedures to involve corruption or unjustified costs could face termination. However, the financial and legal consequences would depend on governing legislation, contractual provisions, evidence and dispute-resolution mechanisms.

Potential claims could involve completed works, materials, equipment, subcontractors, bank guarantees and financing commitments. Projects supported by international loans may also be subject to additional requirements concerning procurement, changes to project scope and the use of funds. A review would therefore require independent engineering assessments, financial analysis and project-specific legal advice.

Construction supply chains and lenders exposed to changes

Major infrastructure projects support domestic subcontractors, materials suppliers, equipment companies, transport operators, engineering consultants and supervisory organisations.

Suspensions or contract restructuring could affect work volumes, payment schedules and financing needs across these supply chains. Banks could also face exposure through working-capital facilities, equipment loans and guarantees issued to construction companies. Particular attention would be needed for subcontractors that have completed certified works but are awaiting payment, so that procurement investigations do not unnecessarily disrupt legitimate contractual obligations.

The proposed reforms ultimately envisage more transparent project budgets, independent technical assessments, competitive procurement, documented contract changes and regular public reporting. Their impact will depend on how investigations are conducted and whether justified investments and lawful contractual rights are protected.