BAKU, Azerbaijan, February 6. The European Investment Bank (EIB) has approved a 466 million euro loan to the Czech Republic to upgrade vital railway lines across the country, Trend reports.
The financing will support the modernization of rail routes that are part of the Trans-European Transport Network (TEN-T), linking the Czech Republic with neighboring countries such as Austria and Poland.
The loan will be directed to Správa železnic, the Czech national railway infrastructure administrator, to fund improvements, including the implementation of the European Rail Traffic Management System (ERTMS) on rail lines, retrofitting maintenance vehicles with ERTMS technology, and enhancing level crossings for improved safety.
This new loan is part of a broader 1 billion euro package allocated by the EIB in 2023 for rail upgrades across the Czech Republic. The initiative aims to improve rail safety and speed while encouraging a shift from road transport, aligning with the EU's environmental goals to reduce emissions.
The upgrades, scheduled for completion by 2028, include approximately 40 projects nationwide, reflecting the EU’s efforts to enhance regional cohesion and tackle climate change. These developments will also support the EU's goal of achieving climate neutrality by 2050.
The EIB loan also backs the reconstruction of eight railway stations in Czech coal regions, which will be funded in part by the European Commission under the Just Transition Mechanism. These improvements will enhance passenger comfort and safety while promoting local economic revitalization.