The Morava Corridor Motorway Project consists of a greenfield 112 km dual-carriageway tolled motorway within a 900-meter right of way, located approximately 200 km south of Belgrade in a low-level floodplain running east-west along the West Morava River Valley. The project includes (i) above-ground structures such as interchanges, bridges, culverts, and overpasses/underpasses; (ii) a telecommunication network supported by power lines and communication cables to connect the telecom stations within the motorway and manage traffic through various traffic control, surveillance, and tolling systems; and (iii) river regulation works intended to protect the project and its surrounding areas from flooding.

In 2022 and 2023, MIGA provided Non-Honoring of Sovereign Financial Obligation guarantees to six international banks for their non-shareholder loans to the Government of Serbia to develop the Morava Corridor Motorway Project. 

In February 2025, CAO received a complaint from a community member and her family in Krusevac, Serbia, raising concerns related to the land expropriation process, valuation and compensation, stakeholder engagement, resettlement impacts, and the company’s grievance mechanism, in connection with the expropriation of their land and property for the construction of the Kosevi interchange and access roundabout of the Morava Corridor Motorway project. 

In April 2025, CAO found the complaint eligible and initiated an assessment. During the assessment, the parties did not reach an agreement to resolve the issues through a CAO-facilitated dialogue, therefore, in accordance with the CAO Policy, the case was transferred to CAO’s Compliance function for an appraisal of MIGA’s environmental and social performance. 

The Assessment Report is available in English and Serbian. 

In December 2025, CAO completed its compliance appraisal and determined that a compliance investigation was not merited. The appraisal identified preliminary indications of potential MIGA noncompliance with its Sustainability Policy obligations in relation to the complainants’ concerns regarding land expropriation, valuation, compensation, and resettlement impacts. However, as no preliminary indications of harm or potential harm to the complainants were found, CAO concluded that a plausible link between the alleged harm and MIGA’s potential noncompliance could not be established. 

With respect to the complaint issues of stakeholder engagement, community outreach, and the project grievance mechanism, CAO found preliminary indications of harm but did not find preliminary indications of MIGA noncompliance with its Sustainability Policy obligations. As a result, CAO concluded that no plausible link could be established between the alleged harm and potential MIGA noncompliance. 

The Appraisal Report is available in English and Serbian.