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- Funding includes €5 million EBRD loan and €2.5 million EU investment grant
- Joint border operations will significantly decrease waiting time and improve efficiency at the crossing
- Better rail connectivity will facilitate travel and trade in the region
The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are helping to strengthen regional integration and connectivity in the Western Balkans by developing the first joint rail border crossing between North Macedonia and Serbia.
The joint border crossing will be established on the Corridor X rail route as part of the extension of the Trans-European Transport Network (TEN-T) to the Western Balkans region. The crossing will improve efficiency, reduce waiting time at the border and facilitate travel for people and goods. The new facilities will be shared between staff from both countries, helping to optimise border and customs control procedures. This, in turn, will make operations between the station’s different stakeholders quicker and more effective.
The project will be financed with a joint financial package, consisting of a €5 million EBRD loan and a €2.5 million grant provided by the EU through the Western Balkans Investment Framework.
The investment includes upgrading the railway station’s existing buildings, constructing new buildings and purchasing equipment. The investment will also contribute to improved energy efficiency through enhanced efficiency measures in the buildings and the installation of photovoltaic panels.
Fatih Türkmenoğlu, EBRD Head of North Macedonia, said: “We are pleased to support the Ministry of Transport of North Macedonia in efforts to improve the country’s railway infrastructure. Improved railway - a safer and greener mode of transport - will not only boost regional connectivity and open up new economic and trade opportunities but will also help address the energy crisis. To date, the EBRD has allocated more than €250 million to the railway sector of North Macedonia and we are determined to see it improved and modernised.”
David Geer, EU Ambassador to North Macedonia, said: “Thanks to a substantial Team Europe investment, including a €2.5 million EU grant, rail passengers and freight transport travelling between Serbia and North Macedonia will soon benefit from improved crossing facilities through the creation of a single rail station and a joint border crossing point. In practice, this should reduce the time taken to cross the border, making rail travel more attractive along Corridor X’s vital north-south axis.”
Fatmir Besimi, Minister of Finance of North Macedonia, expressed his gratitude for the continued support the country is receiving from the EBRD and the EU: “This is only part of a long list of projects which we have worked hard to ensure are realised with sufficient financial support, and which will provide sustainable growth and faster convergence with the EU. This agreement is part of a more substantial package of more than €700 million intended for large infrastructure projects, for which the parliament approved laws this week.”
Blagoj Bochvarski, Minister of Transport and Communications of North Macedonia, said: “This is a step towards the joint initiative with Serbia that aims to make the transportation of goods and passengers faster and more efficient. The Ministry of Transport and Communications is ready, and I expect that the construction of the joint railway station will begin next year. Completing the basic and comprehensive TEN-T road and rail network according to European standards, reducing waiting times and simplifying procedures at border crossings are priorities that all Western Balkans countries should work on.”
The establishment of a joint border crossing has been identified as a key priority investment for improving regional development and raising awareness of the benefits of attractive and efficient railway connections in the Western Balkans region.
The project is part of the European Commission’s connectivity agenda and supports the connectivity reform measures for creating joint rail border crossings in Western Balkans countries that facilitate railway transportation. The project is also included as a key priority investment in the National Transport Strategy 2018-30 of North Macedonia and is part of the Transport Community’s Action Plan for the country.
The EBRD is one of the leading institutional investors in North Macedonia. To date, it has invested more than €2.6 billion in 181 projects across various sectors of the economy, of which €200 million have been invested in modernising the railway and participating in the financing of the Corridor VIII and Corridor X routes.