Turkey: The Government obtains a loan of € 150 million from the EBRD for a high-speed line

The Turkish government has just obtained the green light from the European Bank for Reconstruction and Development (EBRD) for the allocation of a loan of € 150 million. It is intended to finance the construction of a 67 km section of the high speed rail line from Istanbul to the Bulgarian border. The loan is also to further support Turkey’s transition to a low-carbon economy.

The Asian Infrastructure Investment Bank, based in Beijing (China) is considering parallel financing and the Turkish government will provide the remaining funds necessary for the infrastructure project which represents an investment of 640 M €. The Ispartakule-Cerkezkoy double-track section is part of the electrified Halkali-Kapikule railway line, co-financed by funds from the Instrument for Pre-Accession Assistance (IPA) of the European Union.

The line is part of the European Union’s trans-European transport network (TEN-T) and will provide safe, sustainable and low-carbon passenger and freight transport. 

Lütfi Elvan, Turkish Minister of Treasury and Finance, said:

“We appreciate the EBRD’s support and contribution to the Ispartakule-Çerkezköy rail line project, the Bank’s first public transport project. It should improve Turkey’s internal and cross-border connections. The project is also an important opportunity to maintain our productive partnership with the EBRD in the future “.

Arvid Tuerkner, Managing Director of the EBRD for Turkey clarified: “The loan for the construction of the Ispartakule-Cerkezkoy line builds on more than four years of joint work of the EBRD and the Turkish authorities on legal and regulatory reforms aimed at improving rail marketing and providing opportunities for greater private sector participation. The Ispartakule-Cerkezkoy railway section ”.

The Ispatarkule-Cerkezkoy rail section will be tendered and built in accordance with EBRD procurement rules and environmental and social standards.

The Turkish General Directorate of Infrastructure Investments is also committed to implementing a series of measures aimed at promoting better career opportunities for women and creating working conditions in which women thrive.