Three projects for modernization of Serbian railways worth 1 mil EUR

Improving the management of Serbian Railways infrastructure is the goal of three projects worth a total of 1 mil EUR. Funding is provided by the EBRD and Italy, and technical assistance is part of the larger project of reconstruction of Belgrade- Niš railway, that is funded by the EBRD, European Investment Bank and the EU.

First project has the goal to assist Serbian Railways Infrastructure to improve its corporate governance, while the secnd project will improve operational performance of the company.

Third projct of technical assistance will follow in 2024 and will be directed on assistance to the railway sector in establishing an independent market regulator and integration of Serbian Railway in the EU transport market.

Technical assistance is financed by Italy through Central European Initiative and EBRD.

These projects accompany the financial package of 2.2 bil EUR, jointly provided by EBRD (a 550 mil EUR loan), Europan Union (a 598 mil EUR investment grant) and European Investment Bank (1.1 bil EUR loan) for the modernization of 230 km of fast rail that will connect Belgrade with Niš.

Nebojša Šurlan, Director General of Serbian Railways Infrastructure, thanked European Union as a greatest and most important donor, as well as EBRD and EIB, for their support in modernization of railway transport in Serbia, advancement of interconnection and integration of Serbian railway in wider region and Europe.

However, Šurlan, modernization of Serbian railway infrastructure is not by itself enough to make the transport system efficient, modern and organized.

“It is because of that that this package of technical assistance is extremely important for railway Infrastructure of Serbia. Based on the best examples of international practice we will improve and strengthen the corporate governance, legal framework and commercial operations of our company, as a part of wholesome reform of railway sector in Serbia. Projects we start today will enable us better and faster integration of Serbian railways in the EU transport system. In this way wholesome modernization of railway infrastructure of Serbia will gain its full impact and value” Šurlan concluded.

Matteo Colangeli, director of EBRD for the Western Balkans stated:

“It is our pleasure to join forces with our European partners in order to help Serbian railways to raise standards in governance and doing business. Increasing the speed of transfer from road to railway transport is a key priority for EBRD and in that regard we finance the projects of fleet renewal, rehabilitation of railway lines and modernization of railway depos in order to make travel via railway in Serbia more comfortable, faster and safer.”

Beginning of implementation of technical assistance package worth one million EUR was made official today in the EBRD office in Belgrade in the presence of Nebojša Surlana, Director General of Serbian Railway Infrestructure, Alessandro Bragonzi, Head of the Regional Representation for the Western Balkans in EIB, and Matteo Colangeli, Director of EBRD for Western Balkans, as well as the representatives of the EU Delegation in Serbia, Transport Community, Ministry of Construction, Transport and Infrastructure and Railway Directorate.

(Source: Ekapija business portal)