EBRD approves 25 mln euro loan to Srbija Voz for railway depots

BELGRADE - Serbia will further upgrade its railway infrastructure thanks to a 25 mln euro loan from the European Bank for Reconstruction and Development (EBRD).

"Srbija Voz, Serbia’s national rail passenger operator, will use the loan to build a new regional depot in Nis and rehabilitate two existing ones in Zemun and Sombor," the EBRD said in a statement.

"The facility, guaranteed by the Republic of Serbia, will enable Srbija Voz to finance not only building works for the depots, which are used for maintenance of its rolling stock, but also the procurement of new maintenance equipment and works supervision. The modernisation of maintenance practices will increase efficiency of passenger services.

As part of the project, Srbija Voz will also work on skills development and support new dual education programmes, and further improve its corporate governance," it said.

"This new arrangement with our EBRD partners is a natural continuation of an already excellent cooperation through which we are expanding our fleet and improving our rolling stock maintenance. As new trains are delivered and the expansion of our Zemun facility nears completion, we will now shift focus to other regions of Serbia. Most importantly we will construct a key new maintenance facility in Nis to prepare for the opening of the Belgrade-Nis high-speed railway line, as well as reconstruct other regional depots,” said Srbija Voz Acting Director General Ivan Bulajic.

"The rail sector is a key priority for the EBRD in the Western Balkans as we support countries in the region in upgrading their infrastructure and services. This will help to unlock economic opportunities, strengthen regional integration and promote a more sustainable model of transport. Srbija Voz is a long-standing partner of the Bank and we are pleased to expand our cooperation with this important project, both in terms of modernising its maintenance practices and building skills,” said EBRD Director for the Western Balkans Matteo Colangeli.

"Through joint projects, EBRD financing has helped Srbija Voz to modernise five electric trains, to construct a new technical passenger station in Zemun, which included an IT upgrade and a new auto-ticketing system and, in the latest project, to buy 18 new electric trains.

The EBRD has also supported projects in the Serbian railway sector with other state-owned companies, investing around 500 mln euros so far, with another 500 mln euros or so in the pipeline," the statement said.