The Czech Republic has secured a EUR 466 million (11.75 billion Czech korunas) loan from the European Investment Bank (EIB) to upgrade key railway infrastructure. The funding aims to improve safety, efficiency, and environmental sustainability across the national rail network, with a focus on routes within the Trans-European Transport Network (TEN-T) that connect to neighbouring countries such as Austria and Poland.
The Czech Ministry of Finance will allocate the EIB loan to Správa železnic, the national railway infrastructure administrator, which will oversee the projects. Planned upgrades include the deployment of the European Rail Traffic Management System (ERTMS), retrofitting maintenance vehicles with ERTMS equipment, and redesigning level crossings to enhance safety.
The financing forms part of a broader EUR 1 billion investment package approved by the EIB in 2023 to modernise Czech railways. The initiative supports the shift from road to rail transport, contributing to the EU’s climate targets by reducing carbon emissions.
“This loan exemplifies our commitment to supporting sustainable transport infrastructure in the Czech Republic. By modernising the railway network, we are not only improving rail services but also contributing to a greener and more sustainable future,” EIB Vice-President Kyriacos Kakouris said.
“Today’s agreement reaffirms our long-term cooperation with the EIB in modernising Czech transport infrastructure. This loan allows Správa železnic to secure additional subsidies from the European Just Transition Mechanism, further enhancing the financing model,” Czech Finance Minister Zbyněk Stanjura added.
The upgrades, scheduled for completion by 2028, encompass approximately 40 individual projects across the country. This geographical spread aligns with EU objectives to enhance regional cohesion and tackle climate change.
In addition to infrastructure improvements, the EIB loan will support the refurbishment of eight railway stations in the country’s three coal regions, from Cheb in the west to Ostrava in the Moravia-Silesia region. These projects have also been selected for a €20 million grant from the European Commission’s Public Sector Loan Facility under the Just Transition Mechanism.
Paloma Aba Garrote, Director of the European Climate, Infrastructure and Environment Executive Agency (CINEA), highlighted the significance of these renovations: “The reconstruction of these stations will improve passenger comfort, accessibility, and energy efficiency. Some buildings will also be repurposed for office and retail space, contributing to local economic revitalisation.”
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