Baltic Transport Officials Decide to Seek Extra Financing for Rail Baltica Project
Baltic Transport Ministers consensus indicates a joint pursuit for additional European funding for the Rail Baltica project, highlighting its strategic importance for military mobility and regional security. The agreement was solidified in a joint statement signed in Vilnius on Tuesday, among Lithuania's Minister of Transport and Communications, Eugenijus Sabutis, Latvia's Minister for Transport, Atis Švinka, and Estonia's Minister of Infrastructure, Kuldar Leis.
Addressing the project's critical role in ensuring transport connectivity and military mobility, Minister Sabutis underlines the need for securing continued EU funding beyond the 2021-2027 investment period.
The joint statement by the ministers underscores the importance of collaborative efforts to secure long-term EU funding, with a focus on finding additional financing sources to expedite the construction of Rail Baltica's main line. According to the statement, a unified and well-funded approach will not only reinforce Europe's strategic readiness but also enhance the resilience of its transport networks.
The Transport Ministers of Lithuania, Latvia, and Estonia will continue their visit in Kaunas and the Jonava District today, accompanied by Poland's Minister of Infrastructure, Dariusz Klimczak, and the heads of AB Lietuvos Gelezėkeliai and AB LTG Infra. The group will inspect the ongoing Rail Baltica construction works in Lithuania.
Currently, construction is underway on a 46.3 km section of the Rail Baltica main line embankment and related civil engineering works between Kaunas and Panevėžys. By the end of 2025, construction activities in Lithuania are anticipated to expand to cover a total of 114 km.
A combined €10 billion is required to complete the Rail Baltica project by 2030, with an estimated €4 billion earmarked for Lithuania's portion. As the largest railway infrastructure project in the Baltic countries' history, Rail Baltica involves the construction of an electrified, dual European-gauge railway line connecting Warsaw, Kaunas, Vilnius, Panevėžys, Riga, Pärnu, and Tallinn. The project encompasses 870 km across the Baltic States, with 392 km in Lithuania, 265 km in Latvia, and 213 km in Estonia.
The project's strategic importance lies in its dual civilian-military purpose, serving as a NATO military mobility corridor and contributing significantly to regional stability and security by improving connectivity and facilitating the movement of goods and people. It is recognized as instrumental for the economic development and resilience of the Baltic region.
To ensure Rail Baltica's timely completion, the ministers are working diligently to secure additional funding, with the European Union being a primary funding source. Other potential funding sources include military mobility programs, which support infrastructure like railways and roads, and national contributions, possibly through borrowing against future EU funding guarantees.
The Transport Ministers recognize the importance of securing additional funding beyond the 2021-2027 investment period for the Rail Baltica project, as it plays a vital role in the business sector, particularly transportation and public-transit. The ministers believe that collaborative efforts with the European Union, military mobility programs, and potential national contributions will expedite the construction of Rail Baltica's main line, thereby reinforcing Europe's strategic readiness and enhancing the resilience of its transport networks. The ministers are also exploring financing sources within the finance industry to accumulate the estimated €10 billion needed to complete the project by 2030.
