Home / EMEA / Nordic Investment Bank provides new EUR 53 million loan to Lithuanian Railways

Nordic Investment Bank provides new EUR 53 million loan to Lithuanian Railways

Nordic Investment Bank (NIB) and the Lithuanian railway company AB Lietuvos gelezinkeliai have signed a new 18-year, EUR 53 million loan agreement for the construction of a European-gauge track and the modernisation of the Trans European east–west corridors in Lithuania.

The loan will facilitate the construction of a 115-kilometre, European-gauge (1,435 mm) railroad track parallel to the existing wider-gauge (1,520 mm) line from the Lithuanian–Polish border to the city of Kaunas. Loan funds will also be allocated for upgrades to parts of the Trans European east–west corridors. The branches Kiev–Minsk–Vilnius–Klaipeda and Kaunas–Kaliningrad carry about 90% of all railway transit cargo and about 70% of the railway passenger transportation in Lithuania.

AB Lietuvo gelezinkeliai’s investment in the modernisation of this railway infrastructure is being co-financed from EU structural funds. This is already the second loan for the purposes of this investment programme. The previous loan, totalling EUR 114 million, was signed in June 2013.

Check Also

Nokia's communications network to support railway operations on Malaysia's first mass rapid transit line

Nokia’s communications network to support railway operations on Malaysia’s first mass rapid transit line

Nokia has supplied a mission-critical communications network to LG CNS – a Korea-based systems integrator …

Leave a Reply

Your email address will not be published. Required fields are marked *