Revitalising Albania’s Rail to Power Green Connectivity in the Western Balkans
Albania is taking a decisive step towards a modern, sustainable transport future with the launch of a €120 million reconstruction and electrification project for the Durrës–Rrogozhinë railway. This critical 34 km section links the country’s largest port with central Albania, providing a backbone for freight and passenger traffic.
The project is backed by a powerful partnership: a €30 million sovereign loan from the European Bank for Reconstruction and Development (EBRD), matched by a €30 million sovereign loan from the European Investment Bank (EIB), and supported by €60 million in investment and technical assistance grants from the European Union through the Western Balkans Investment Framework (WBIF). The funding agreements build on commitments made earlier this year, cementing the collaborative effort to revitalise Albania’s rail infrastructure.
A Strategic Corridor with Regional Reach
The Durrës–Rrogozhinë line forms part of the Pan-European Corridor VIII, a 1,500 km transport axis connecting southern Italy’s Adriatic ports to Bulgaria’s Black Sea coast via Albania, North Macedonia, and Bulgaria. Once complete, the project will establish Albania’s first rail link with North Macedonia, significantly enhancing cross-border mobility and economic integration in the Western Balkans.
Improved connectivity is expected to stimulate trade, tourism, and investment opportunities across the region, giving Albania a stronger foothold in the European transport network. The upgrade includes the electrification of the line, reconstruction of stations, and modernisation of signalling systems to meet EU transport and safety standards.
Green Gains and Sustainability Goals
This investment is firmly aligned with the EBRD’s Green Economy Transition (GET) strategy, which prioritises projects that reduce environmental impact. Shifting freight and passenger services from road to rail will reduce carbon emissions, cut congestion, and improve air quality.
With Albania committing to greener growth, the electrified line will replace diesel-powered locomotives, delivering cleaner and more energy-efficient operations. The initiative also aligns with the EU’s Economic and Investment Plan for the Western Balkans, designed to boost sustainable transport and regional development.
Donald Mishaxhiu, EBRD’s 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.”
A National Milestone for Infrastructure
Petrit Malaj, Albania’s Minister of Finance, called the project “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.”
Beyond its immediate benefits, the project reinforces Albania’s national transport strategies and supports wider economic reforms, paving the way for stronger EU integration.
Building on Previous Investments
The EBRD is no newcomer to Albania’s rail sector. It has already financed key projects including the Tirana–Durrës line and the Vore–Hani i Hotit section, both of which are vital for domestic and international connections. These earlier initiatives have laid the groundwork for the current expansion, ensuring that the network evolves in a coordinated and sustainable way.
The EBRD remains the leading institutional investor in Albania, with almost €2.3 billion committed across 166 projects. This track record underscores its role as a cornerstone in the nation’s infrastructure development.
Several factors make the Durrës–Rrogozhinë upgrade timely and strategically important:
- EU Integration – Strengthens Albania’s eligibility for EU membership by aligning transport standards and boosting cross-border links.
- Economic Growth – Facilitates trade and reduces logistics costs, benefiting industries from manufacturing to tourism.
- Environmental Responsibility – Encourages a shift from road to rail, lowering greenhouse gas emissions.
- Regional Stability – Fosters greater cooperation with neighbouring countries, supporting political and economic stability.
The Road – or Rail – Ahead
As work begins, the project represents more than new rails and stations. It’s a declaration that Albania is committed to greener, more efficient infrastructure and closer integration with Europe. Once complete, the modernised Durrës–Rrogozhinë line will serve as a model for future transport investments in the Western Balkans.
With strategic funding, strong partnerships, and a clear vision for sustainable growth, Albania is firmly on track to transform its railways into a driver of prosperity, connectivity, and environmental stewardship.
