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Hungary: Government to decide on transportation projects

August 2007.

The government will decide today on the list of subsidized transportation investments The Ft 600 billion (€2.4 billion, $3,3 billion) EU subsidy can be used for two years.

The government might add over Ft 400 billion of its own subsidies, raising the total to over Ft 1,000 billion to be spent on road and transportation developments.

The government plans to modernize the Szolnok-Debrecen and Budapest – Lökösháza railway lines and to develop the railway infrastructure in the neighborhood of Záhony. Railway developments are generally favored by the government since the majority of the carriages and the tracks are old and worn. There are only few electrified stretches, which puts railway at a disadvantage in the competition with road transportation.

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