The European Investment Bank (EIB) has entered a new loan agreement amounting to €450m ($516m) with PKP Polskie Linie Kolejowe (PLK SA), aimed at the modernisation of a significant rail line in southern Poland.
This investment will enhance 120km of railway infrastructure, aligning with the European Union’s (EU) objectives for cohesion and climate policy.
Go deeper with GlobalData
The planned enhancements by PLK SA will take place along the rail corridor connecting Skarzysko-Kamienna, Kielce, and Kozlow.
The project includes the construction of new train platforms, the implementation of an advanced traffic control system, and the refurbishment of power lines.
Additionally, the project will feature the development of both overground and underground passages, which is anticipated to improve safety and increase the capacity for both passenger and freight transport on this vital rail link.
PLK SA CFO Malgorzata Kuczewska-Laska said: “We have recently launched public tenders amounting to around €7bn and are actively reaching for external funding to leverage these investments, with the new EIB agreement serving as a case in point.”
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataIn 2024, the EIB Group allocated more than €1.3bn ($1.46bn) towards transport infrastructure projects across Poland, representing more than 20% of the total new funding in the country for that year.
Future funding for PKP Group, Poland’s national railway holding company, is expected to exceed €1.3bn ($1.46bn).
Last year, EIB granted PLN1bn ($250m) to Polska Grupa Energetyczna (PGE), a utility company, to enhance the power systems of the country’s railway network.
EIB vice-president Teresa Czerwinska said: “Promoting modern transport infrastructure in Poland is the EIB’s bread and butter, and we have to date provided more than eight billion euros to that end in the country.
“It’s particularly important to invest in rail connections as they serve both mobility and regional development, while also benefiting climate and the environment.”
In 2022, EIB signed a financing agreement worth PLN165.9m ($41.47m) with Miejskie Przedsiębiorstwo Komunikacyjne in Wrocław (MPK Wrocław) to purchase new tram rolling stock aimed at improving tram transport in Poland.
