Azerbaijani President Ilham Aliyev has approved an agreement which is to grant Serbia a EUR 308 million loan for construction of Corridor 11 section towards the Adriatic Sea from Ljig to Preljine.

Aliyev's decision was released in the official gazette, reading that reimbursement period is 15 years, grace period three years and fixed interest rate four percent, the Moscow-based news agency Interfax reported.

The main building contractor is Azerbaijani company AzVirt, while the works are also to engage Serbian construction companies.

The Ljig-Preljine highway project is to include over 60 bridges and five tunnels, and once this section opens it will take around half an hour to get from one point to the other.

The Azerbaijani president visited in Serbia in 2011 when he signed the total of 12 agreements on cooperation with Serbia in the areas of agriculture, investment incentives, emergency assistance, sport and culture.