The European Union is committing €175 million to modernize the Bar–Golubovci railway link, a strategic section of Rail Route 4 on the extended TEN-T Core Network, the European Investment Bank (EIB) announced. The EIB will provide a €63 million loan alongside an EU grant of €112.6 million. The upgrade will boost train speeds and significantly improve reliability, safety and capacity. This vital corridor connects Belgrade to the Port of Bar, linking Montenegro and the Western Balkans with Central Europe.
The €175.6 million financial package will fund the reconstruction of 39 km of the Bar–Golubovci railway line. Once completed, the upgrade will raise the quality of rail service, accommodating 1.3 million passengers and transporting 1.85 million tonnes of freight annually. It will promote multimodal transport, strengthen resilience to climate change and advance Montenegro’s green transition by shifting traffic from road to rail.
The total project cost, estimated at €230.8 million, will also be supported by a €50 million loan from the European Bank for Reconstruction and Development and €5.2 million from the government of Montenegro. “This investment is another tangible step toward aligning Montenegro’s core infrastructure with EU standards and accelerating the country’s path toward accession,” said EIB Vice-President Robert de Groot. “With these latest agreements, EIB Global’s support for the transport sector in Montenegro will reach a total of €500 million, directly improving regional connectivity, boosting trade and tourism, and helping to create a more integrated common regional market.”
“With the conclusion of the €63 million loan agreement with the European Investment Bank, a stable and favourable source of financing has been secured for one of the key infrastructure projects in the railway sector,” said Finance Minister Novica Vuković. The European Commission and the EIB advisory programme JASPERS provided technical support that ensured the project was prepared in line with EU environmental, social and technical standards.
“Modern, sustainable infrastructure is at the heart of Montenegro’s European future,” said EU Ambassador to Montenegro Johann Sattler. “By investing in railways, we are investing in greener transport, better connectivity, and stronger economic integration with the region and the EU.”
