(Ecofin Agency) - • Tunisia to receive €160 million from the EBRD for rail upgrades
• The total investment of €185 million includes €25 million from the state
• Upgrades target safety, efficiency, and freight capacity in key regions

Tunisia is entering a new phase in the modernization of its rail network, supported by fresh funding from the European Bank for Reconstruction and Development (EBRD). The EBRD will provide €160 million ($178 million) of the total €185 million ($206 million) budget, with the Tunisian government contributing the remaining €25 million ($28 million).

This initiative follows a 2017 loan from the EBRD aimed at improving Tunisia’s rail infrastructure and equipment. The ongoing program is part of a broader effort to diversify public transport and increase freight volumes across the country.

The EBRD announced that tenders will open on June 30 for equipment purchases, consulting services, and construction work linked to the project. The modernization plan includes three major components: refurbishing the Tunis–Kasserine line, electrifying and duplicating the Moknine–Mahdia line, and acquiring five new electric multiple units.

Infrastructure work will involve track renewal and realignment to improve travel times and safety. These improvements aim to boost the pace and frequency of services and strengthen regional trade links. The project addresses longstanding challenges, including limited capacity, outdated infrastructure, and punctuality issues on key routes.

Efforts to enhance Tunisia’s rail system also include the ongoing expansion of the Rapid Rail Network (RFR) connecting central Tunis to its suburbs. Line D began operations in January 2025. Authorities are also working to increase freight volumes, especially phosphate shipments, a major export that accounted for around 4% of GDP in 2023, according to local media.