The European Investment Bank (EIB) has provided a €175m loan to Polish railway company PKP Polskie Linie Kolejowe for refurbishment of more than 100km of track within the PLN2.7bn (€611m) Rail Baltica project.
The project is part of the North Sea-Baltic Core Network Corridor and will make it possible to increase the number of rail connections, as well as improve safety.
EIB vice-president Vazil Hudák said: “This is a project with a European dimension and a strong climate action focus.
“We welcome this agreement with PKP Polskie Linie Kolejowe because it will result in better quality and higher use of passenger rail services and freight transport in Poland, generating significant energy savings and reductions in harmful emissions.”
EIB’s loan will be used to modernise the Sadowne to Czyzew and Czyzew to Bialystok sections enabling passengers to get easy inter-regional connections.
Rail Baltica connects the Baltic States with Poland and other countries in the European Union (EU).
PKP Polskie Linie Kolejowe CEO Ireneusz Merchel said: “PKP Polish Railway Lines is using funds borrowed from the EIB to improve travel comfort for passengers and the efficiency of freight transport, within, inter alia, the Rail Baltica project, which is an important trans-European transport corridor.
“PKP Polskie Linie Kolejowe implements the National Railway Programme, worth more than PLN66bn (€14.9bn), which will significantly improve the transport system and strengthen the competitiveness of rail.”
As part of the works on the two sections, 106km of railway line will be modernised and a new double-track bridge over the Bug River will be constructed, in addition to an extra track on the Prostyn Bug – Malkinia section.
The investment is also expected to improve operating conditions for freight railway.
Image: Plk E75 Rail Baltica Sadowne Bialystok. Photo: courtesy of European Investment Bank.