DB International GmbH set up a project team and began working this week, so as to get involved in the Serbian railway infrastructure overhaul financed by a Russian state loan of USD 800 million.
As Serbian Railways has announced, RZD International and DB International GmbH signed an agreement in late March about the provision of technical consulting services within the project aimed at modernizing the Serbian railway network.
The contract was signed by RZD International Managing Director Sergey Pavlov, the German company’s Head of Eastern Europe and Russia Oliver Pietz and Branch Office Manager in Belgrade Nikola Ristic.
Last year, Serbian Railways and RZD International signed an agreement on the Russian export loan of USD 800 million, which will finance five projects aimed at upgrading the domestic railway infrastructure and vehicles in Serbia in next several years.
Serbia secures 15 percent of the project funds, so the total modernization costs will amount to USD 941 million.
At the end of March, construction and electrification works began on the second track along the Belgrade-Pancevo rail line, which will cost USD 91 million in total.
Last month, an annex was signed to two basic agreements worth USD 89.9 million, which encompassed the revamp of railways (112 km) along Corridor 10.
Besides the two projects, the agreement also envisages the overhaul and construction of the second track on the Stara Pazova-Novi Sad stretch, upgrade of the 200km-long Belgrade-Bar rail line and delivery of Metrovagonmash diesel trains, for which separate annexes are yet to be signed.