Brussels, 03/09/2001 (Agence Europe) - On Monday, the European Investment Bank announced the signing of funding contracts concerning the granting of an EUR 190 million loan for modernisation of the Hungarian rail network. The funds are intended for modernisation of three rail lines linking Hungary to Austria, Romania and Slovenia, as well as the Budapest-Lvov (Ukraine) line. Out of the total amount of the loan, EUR 60 million will be directly granted to MAV, the national railway system operator, and EUR 130 million to MAV through the government, the owner of the railway infrastructure.
Work concerns track rehabilitation, improvements to the power supply systems and signalling equipment as well as the redesign and upgrading of stations. Investments will allow higher speeds for international and national freight and passenger traffic.
The operations signed on Monday bring to EUR 1.9 billion total loans that the EIB has granted since 1990 for the funding of public and private sector projects in Hungary.