Croatian Railway Modernisation Finally On The Horizon


February the 10th, 2025 – Croatian railway modernisation is finally on the cards as the contract on railway infrastructure management until 2033 has been accepted.

As Poslovni Dnevnik writes, the government recently adopted a decision to accept the railway infrastructure management contract until the 31st of December 2032, between the Republic of Croatia, the Ministry of Maritime Affairs, Transport and Infrastructure, and the infrastructure manager, HŽ Infrastruktura (Infrastructure).

For its actual implementation, the state budget has earmarked an enormous 394.2 million euros this year, 413.9 million euros in 2026, and 428.4 million euros for 2027. It seems that proper Croatian train modernisation is finally on the horizon.

Transport Minister Oleg Butković revealed that the multi-year railway infrastructure management contract provides stability and predictability in the planning and management of infrastructure projects. It will also enable the better planning of financial resources, long-term maintenance and modernisation strategies, and the ability to facilitate investments in infrastructure.

He stated that railway infrastructure is a public good in general use, owned by the state and managed by the infrastructure manager HŽ Infrastruktura. “The maintenance, modernisation and construction of railway infrastructure is a key condition for a competitive railway services market,” Butković added.

He noted that this approach to Croatian railway modernisation will create the conditions for achieving the financial stability of the railway infrastructure manager. It will also ensure the full transparency of financial transactions from the state to the railway infrastructure manager, as well as much greater cost efficiency.

Funds for the implementation of the multi-year contract which will ensure Croatian railway modernisation have been provided in the state budget for 2025 and projections for 2026 and 2027 have been issued. Those funds have been allocated to the Ministry of Maritime Affairs, Transport and Infrastructure.

The government also made a decision to accept the settlement between the state and the company HŽ Putnički prijevoz (Passenger transport) (HŽPP) on the settlement of property-legal issues remaining after the division of HŽ-Croatian Railways. Butković emphasised that following the division of that company into four new ones, assets were excluded from the company’s balance sheet but that they weren’t transferred to the assets of those four newly established companies.


 


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