USAID Helps Serbian Community Achieve Economic Growth
While on a visit to USAID missions in the Balkans, USAID Assistant Administrator for Europe and Eurasia Dr. Douglas Menarchik officially opened a reconstructed bridge and road project in the municipality of Arilje, in western Serbia. Arilje’s mayor, Zoran Micovic, was also on hand to inaugurate the jointly implemented project, which is expected to drive economic progress in the region.
Arilje is a progressive, business-oriented municipality, but over the past two decades, basic infrastructure had deteriorated due to lack of funds for new investments and maintenance. Citizens and local government leaders recognized this as an obstacle to economic growth for the municipality. Mayor Micovic noted, “Respecting the idea of body salvation first and soul salvation later, we needed to reconstruct the infrastructure….Those are the elementary things.”
Arilje boasts 90 farms that grow apples, plums, potatoes, and raspberries, and 14 companies involved in food production and wood processing. But getting their products to market has been a serious problem. So when USAID’s Community Development through Democratic Action implementers discussed priorities with the community, the people of Arilje identified the poor state of the agriculture area road section Mirosaljci-Latvica-Kotraza as a top priority. Arilje is linked to the rest of Serbia only by road transport; this road represents the shortest route to markets.
![Menarchik meets village elder at historic mill](https://webarchive.library.unt.edu/eot2008/20081011041923im_/http://www.usaid.gov/locations/europe_eurasia/images/success/2007-08-prog.jpg) |
Menarchik meets village elder at historic mill |
With stakeholders in agreement about the project’s importance, the American people provided $290,000 and the Arilje municipality provided $270,000 to reconstruct the road and a bridge over the Moravica River. The improved link means that producers can get their products to market faster and cheaper than ever before—achieving cost-savings for agricultural growers throughout Arilje and the surrounding region.
But the construction of new roads isn’t all that is pushing development in Arilje. The municipality of Arilje is among the first communities in Serbia to creatively launch a local economic development strategy based on modern principles of citizen participation and economic development. And to drive local growth, a municipal Local Economic Development office, also supported with training and equipment by USAID, was opened in March 2007.
Since July 2001, the people of Arilje have undertaken 37 projects together with USAID. The American people have contributed $1.6 million to supplement the $1.2 million invested by the municipality. The estimated additional income generated from these activities has been approximately $5.6 million and the increase in agricultural sales has been approximately $2 million.
In addition to the road works, some of the most important projects that were implemented in Arilje include the introduction of intensive blueberry growing, marketing of Arilje apples in Russia, obtaining international standards certification for textile and food processing companies, and improvements in the water supply network.
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