The European Investment Bank (EIB) is lending EUR 250 million to PKP Polskie Linie Kolejowe S.A. to finance improvements to the railways along the strategic TEN-T North Sea–Baltic Corridor linking the Baltic Sea with the Ukraine border. The EIB funds will support the modernisation of the 171 km section of the railway line between Warsaw and Lublin and the rehabilitation of the Łuków–Lublin freight bypass along a 51 km stretch both for passenger and freight rail traffic.
Besides reducing the travel times for freight and long-distance traffic, the project will notably have significant positive impacts on commuter traffic in Warsaw and Lublin through the construction of new tracks where increased transport capacity is needed to meet rising traffic demand. The upgraded railway connections will provide a smoother transport flow by enabling a higher maximum transport speed and improving passenger safety through the implementation of updated security systems.
EIB Vice-President László Baranyay, responsible for the Bank’s operations in Central European countries, commented: “The EIB loan will help to improve Poland’s railways along a strategic Trans-European transport corridor with positive consequences for the environment, transport safety, capacity and speed. This will help to improve the quality of life of passengers, particularly people commuting to work in Warsaw and Lublin, as well as modernising the transport links needed to help further Poland’s economic development.”
The current project, which is envisaged to be co-financed also by EU funds, continues the fruitful cooperation between the EU bank and PLK. The EIB has previously provided 15 loans to PLK totalling some EUR 2.3 billion.