The European Union is investing €175.6 million to modernize the Bar–Golubovci railway line, a key 39-kilometre section of Rail Route 4 on the extended TEN-T Core Network. This strategic corridor connects Belgrade to the Port of Bar, linking Montenegro and the Western Balkans with Central Europe. The upgrade aims to increase train speeds, enhance reliability and safety, expand capacity, and improve overall service quality, benefiting approximately 1.3 million passengers and transporting 1.85 million tonnes of freight annually. By promoting multimodal transport and shifting traffic from road to rail, the project also supports Montenegro’s green transition and strengthens climate resilience.
The financial package comprises a €63 million loan from the European Investment Bank (EIB) and a €112.6 million grant from the European Commission under the Western Balkans Investment Framework. Additional support includes a €50 million loan from the European Bank for Reconstruction and Development and €5.2 million from the Montenegrin government, bringing the total project cost to €230.8 million. EIB Vice-President Robert de Groot emphasized that the investment will align Montenegro’s core infrastructure with EU standards, enhance regional connectivity, and foster trade, tourism, and integration within the Western Balkans.
Montenegrin Finance Minister Novica Vuković highlighted that the EIB loan agreement provides stable and favourable financing, aligning with the country’s fiscal policy and debt management strategy. The European Commission and the EIB advisory programme JASPERS provided technical support to ensure the project meets EU environmental, social, and technical standards. EU Ambassador Johann Sattler underscored the project’s significance for sustainable infrastructure, greener transport, and stronger economic integration with the EU.
Montenegrin Minister of Transport Maja Vukićević described the modernization as one of the most important railway investments in decades, signaling European partners’ trust in Montenegro. The upgrade will enhance safety, efficiency, and service quality, while strengthening Montenegro’s position as a transport hub between the Western Balkans and the European Union. It also supports the country’s green transition, economic development, and EU accession objectives.
The European Investment Bank (EIB), as the EU’s long-term financing institution, focuses on infrastructure, innovation, climate, and SME support. EIB Global, its international arm, promotes investment partnerships and development finance to increase impact worldwide. In Montenegro, the EIB has provided nearly €1.1 billion in loans, mainly supporting SMEs, education, and transport infrastructure, reinforcing the bank’s long-term commitment to the country’s sustainable development.
