Completion of infrastructure works for the Business Zone Buljme in Udbina

Jun 28, 2013

Business zone Podudbina-Buljme has a favourable location. It follows the state road D1, and its distance from the highway A1 and rail road Zagreb-Split is only 15 km.

Municipality of Udbina, in partnership with the Lika-Senj development agency LIRA completed the project of construction and equipping of the business zone “Buljme”. Business zone Buljme has 10 hectares and is a part of a larger whole, the business zone Podudbina sized 100 ha. By securing infrastructural preconditions in the business zone, conditions will be secured for arrival of production-oriented companies and for securing jobs, and therewith, for long-term economic development of the Udbina Municipality. The project was co financed through the EU precession fund IPA. These funds were used to construct the 1,5 km road, introduce the public electricity, sewage, water supply, phone lines, everything that one business zone should have.

UNDP’s field offices in Zadar co-financed and provided assistance in preparation of technical documentation as well as full application for the project of construction of business zone Buljme for EU funding. The total value of the project documentation was HRK 570,000. Municipality of Udbina secured HRK 420,000 and UNDP contributed with the remaining HRK 150,000.   

Obstacle to development of economy in Udbina Municipality and to the arrival of investors is primarily the inadequate infrastructure that does not provide conditions necessary for starting the production.

Udbina Municipality is one of the biggest local governments in Croatia. Because of war destructions and economic underdevelopment it belongs to Areas of Special State Concern. The biggest problems of the municipality are the lack of employment opportunities and emigration of young people to bigger cities in search for jobs. According to population census in 2001, Udbina Municipality counts 1649 inhabitants, out of which only 200 are employed, mostly in non-production sector and public services. With exception of one processing company that employs 20 people, in Udbina Municipality there are no production firms. This lack of jobs is the cause of continuous trend of depopulation. Namely, in 1991, in Udbina Municipality there lived 4543 inhabitants, with more than 1000 employed people.

More info about the Business Zone on: