The European Investment Bank (EIB) signed a loan of 41.2 million euros to the Moldovan government “to rehabilitate the country’s railway infrastructure”. These funds will be added to a 12-million-euro grant unlocked in October for similar reasons.

The initiative aims at improving the north-south railway corridor in Moldova, considered vital by the EIB. The section affected by the upgrade will be the Vălcineț-Căinari line, passing through Ungheni, and Chisinău. The project will be carried out by the national railway operator Calea Ferată din Moldova.

EU increasing rail investments in Moldova and Ukraine

These investments are pointing towards the integration of Moldova, as well as Ukraine, into the European railway network. For both situations there are still issues that need to be addressed, such as the gauge differences and the scarce electrification. For example, the line mentioned in this article is equipped for broad gauge traffic and it is not clear whether the network will ever be adapted to the standard gauge. Nevertheless, European institutions have ramped up their rail investments in Moldova and Ukraine.

For example, the European Bank for Reconstruction and Development will provide financial support for the reconstruction of more critical railway nodes in Moldova. The EU’s Connecting Europe Facility also recently launched a programme to support future infrastructure projects in both countries. Moreover, the European Union moved 135 million euros from funds destined for Russia and Belarus to invest into the so-called Solidarity Lanes.

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