The construction of the Niš-Dimitrovgrad railway section, which includes the upgrade and modernization of the existing single-track line from Sićevo to Dimitrovgrad and the development of a northern railway bypass around Niš, has officially commenced. This project, integral to the Corridor Xc of the Pan-European Railway, is set to electrify and enhance signal systems over approximately 104 km of track. Funded as part of the European Union's Economic and Investment Plan, the initiative aims to reduce travel times, boost safety and regional links, and encourage a shift towards greener modes of transport.

The groundbreaking ceremony saw the participation of Serbian President Aleksandar Vučić, EU Ambassador to Serbia Emanuele Giofre, and key representatives from EIB Global, which supports the European Investment Bank's financing operations outside of the EU.

With financial backing exceeding €108 million in grants from the Western Balkans Investment Framework complemented by a €134 million loan from the EIB, the project is well-supported. Additional assistance includes a €3.7 million technical grant for preliminary work and a €1.5 million grant from the EU Instrument for Pre-accession Assistance (IPA) for the Niš bypass construction. The EIB's JASPERS advisory program, with co-financing from the European Commission, has also provided crucial technical support to prepare the project for a blend of grant and loan financing.

This section of the railway is a critical component of the Pan-European Corridor Xc, serving as the corridor's only segment still reliant on diesel power. Its electrification is expected to offer a faster, cleaner, and safer rail link, enhancing connections within Serbia and extending into Bulgaria. The project promises to elevate average speeds from 50 km/h to 120 km/h, significantly impacting the modal choice by increasing annual passenger numbers from approximately 170,000 to 550,000 and doubling freight volumes from 3.2 million to about 6.2 million tonnes annually.

These efforts are part of a broader strategy by the European Union and the EIB to foster enhanced connectivity and economic cohesion across the region and with the EU. Investments in Serbia's transport infrastructure are pivotal to this goal, driving reforms in the railway sector, upgrading road safety and modernity, and improving the navigability of inland waterways.