The European Bank for Reconstruction and Development (EBRD) is reinforcing its support for Albania’s railway modernisation with a new EUR 30 million loan for the electrification and rehabilitation of the Durrës–Rrogozhinë railway line.
The sovereign loan, extended to the Albanian government for the benefit of the state railway company Hekurudha Shqiptare, complements an additional EUR 30 million loan from the European Investment Bank (EIB) and EUR 60 million in investment and technical assistance grants from the European Union (EU) via the Western Balkans Investment Framework (WBIF). The EIB and EU financing agreements were signed earlier this year.
This package marks the third major international financing initiative for Albania’s rail infrastructure in recent years and will contribute to the construction of a modern, sustainable rail corridor aligned with EU standards.
The 34 km line between the port city of Durrës and Rrogozhinë in central Albania will be completely reconstructed and electrified. Station buildings along the route will also be rehabilitated, marking a critical step in Albania’s wider strategy to improve rail transport and encourage a modal shift from road to rail.
The upgraded line forms part of the Pan-European Corridor VIII – a multimodal transport route connecting southern Italy with the Black Sea ports of Bulgaria via Albania, North Macedonia, and Bulgaria. Once complete, it will also establish Albania’s first rail connection with North Macedonia, boosting cross-border mobility and economic integration across the Western Balkans.
Donald Mishaxhiu, EBRD Regional Head of Infrastructure for the Western Balkans, Romania and Bulgaria, said:
“This investment reflects our continued support for Albania’s rail transformation. Together with our partners, we are helping to build a modern, sustainable and connected transport network that will benefit generations to come.”
Albanian Minister of Finance Petrit Malaj welcomed the development, stating:
“This project marks a transformative milestone in Albania’s infrastructure development. It will not only strengthen our national and regional connectivity, but also play a vital role in Albania’s long-term development and integration into the wider European transport network. We are grateful to our international partners for their continued support and collaboration in making this vision a reality.”
The initiative is aligned with the EU’s Economic and Investment Plan for the Western Balkans, which aims to stimulate sustainable development and closer regional cooperation. It also supports Albania’s national strategies for green transport and regional development.
In addition to delivering improved passenger and freight capacity, the project is expected to generate significant environmental benefits by reducing road traffic, lowering emissions, and promoting energy-efficient transport. The works are part of the EBRD’s Green Economy Transition (GET) approach, which prioritises climate-resilient infrastructure and sustainability across all sectors.
The Durrës–Rrogozhinë investment builds on previous EBRD-supported rail projects in Albania, including the rehabilitation of the Tirana–Durrës and Vore–Hani i Hotit lines. The Bank has been active in Albania since the 1990s, with a growing focus on green infrastructure and connectivity across the region.
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