The first Eco-Industrial Park in the Western Balkans is set to be developed in Šabac, Serbia, thanks to a partnership between the European Union (EU), the International Finance Corporation (IFC), and local authorities. This milestone initiative aims to accelerate sustainable industrial development, aligning with EU environmental standards and the Green Agenda for the Western Balkans.

Backed by a €3.6 million EU grant through the Western Balkans Investment Framework, the programme will demonstrate the feasibility of EIPs through four pilot projects, showcasing how industries can cut pollution, optimize resources, and boost economic performance. The Šabac Greenfield EIP will serve as a flagship model for low-carbon industrial development, helping the region transition away from fossil fuels and strengthen its competitiveness in EU markets.

“Hosting Serbia’s first Eco-Industrial Park is a proud moment for our city. This initiative strengthens our local economy and sets a precedent for sustainable growth,” said Aleksandar Pajić, Mayor of Šabac.

The EIP initiative, led by IFC in partnership with the EU, seeks to attract sustainable investments and integrate the region into European value chains. Alongside pilot projects, it also includes developing policy frameworks and engaging the private sector to drive investments in green technologies.

“This project is a major step in the Western Balkans’ green transition,” said Plamena Halacheva, Deputy Head of the EU Delegation to Serbia. “By launching the Eco-Industrial Park initiative, we are driving innovation and advancing the circular economy as part of our commitment to achieving net-zero emissions by 2050.”

Scaling Up Sustainable Industry

The Šabac Greenfield EIP is one of two pilot projects in Serbia, alongside MIND Park Brownfield EIP, which focuses on retrofitting an existing industrial zone with sustainable solutions. In total, five pilot projects across the Western Balkans will serve as benchmarks for the region’s sustainable industrial transformation.

“Together with the EU and local authorities, we are building a scalable model that unlocks long-term investment opportunities while addressing environmental challenges,” said Nicolas Marquier, IFC Regional Manager for the Western Balkans.

This collaboration highlights the Western Balkans’ potential to lead in sustainable industry and attract green investments, paving the way for a cleaner, more competitive economy.