EIB Invests €1.93bn in Czech Rail, Clean Energy and Affordable Housing

The European Investment Bank (EIB) Group provided €1.93 billion (nearly CZK 47 billion) in new financing to Czechia in 2025, backing major projects to modernise railways, strengthen the power grid, expand affordable housing and boost business competitiveness.

The investment advanced Czechia's green transition while supporting regional development and long-term economic growth across the country.

"The EIB remains a reliable partner for both the public and private sectors in the Czech Republic," said EIB Vice-President Marek Mora.

"Economic growth and good living conditions must rest on solid foundations, which include reliable transport connections and a modern energy system."

Nearly Half of Financing Went to Transport

Almost half of EIB Group support in Czechia last year targeted transport infrastructure, with major commitments including:

• €680 million for railway upgrades along the core Trans-European Transport Network (TEN-T)

• €205 million for a key section of the Prague Ring Road

The goal is to make travel faster, safer and cleaner, while improving regional and cross-border connectivity.

Major Rail Upgrades Across Key Routes

Rail financing included:

• A CZK 12 billion loan to the Czech government for technological and design improvements on routes connecting Austria, Poland and beyond

• A second loan of over €200 million for repairs and upgrades to regional and TEN-T lines

• Purchase of new maintenance vehicles and equipment

Key works include deployment of the European Rail Traffic Management System (ERTMS) and safer level crossings.

Prague Ring Road Expansion to Cut Congestion

In the road sector, the EIB provided €205 million to co-finance construction of a 12.6 km section of the Prague Ring Road, part of the TEN-T network.

The motorway segment will:

• Reduce congestion

• Improve traffic flows

• Strengthen international transport links

€500 Million Boost for Clean Energy and Grid Modernisation

Energy projects were another major focus, with around €500 million in support for grid reinforcement and digitalisation.

Key loans included:

• €400 million to electricity supplier ČEZ to modernise the grid and integrate up to 5.5 GW of renewable energy

• €100 million to transmission operator ČEPS to refurbish and extend more than 500 km of high-voltage lines

These investments will strengthen flexibility, cross-border flows and the shift toward a low-carbon energy mix.

Expanding Credit for Businesses and Innovation

To strengthen access to finance, the EIB provided:

• A €200 million guarantee to UniCredit's Czech subsidiary, unlocking up to €400 million in lending for Mid-Cap companies

The European Investment Fund (EIF), part of the EIB Group, supported €172 million in SME and innovation investments through equity funding and portfolio guarantees under InvestEU.

Affordable Housing Breakthrough in Prague

The EIB also supported a first-of-its-kind affordable housing initiative in Czechia.

Partnering with Česká spořitelna, the EIB provided up to €60 million to build more than 700 apartments across four areas of Prague.

The EIB loan covered nearly one-third of the total project cost of €187.5 million.

Brno Receives €121 Million for Urban Development

In Brno, the EIB delivered a €121 million municipal framework loan to support long-term urban infrastructure investments under the Brno Urban Infrastructure Development programme.

Advisory Support for Future Rail and Energy Projects

Beyond financing, the EIB Group provided advisory assistance through:

• InvestEU Advisory Hub – supporting preparation of major rail PPP projects, including the Prague airport rail link and high-speed corridors in Moravia

• JASPERS – supporting Brno's urban mobility planning

• ELENA – providing technical support for energy-efficiency projects in Ústí nad Labem

These services help reduce project risks and accelerate implementation.

Five-Year Total Reaches €9.32 Billion

The latest results bring EIB Group financing in Czechia over the past five years to €9.32 billion, averaging €1.86 billion annually.

In 2025 alone, EIB support was equivalent to around 0.6% of Czechia's GDP.

Supporting Europe's Green and Competitive Future

The EIB Group is the EU's long-term financing institution, and in 2025 it signed €100 billion in new financing for more than 870 projects aligned with the Paris Climate Agreement.

Czechia's 2025 investments highlight how European funding is helping modernise infrastructure, strengthen clean energy systems, expand housing and support businesses for a greener and more competitive future.