Rail Baltica: EU €295M Boosts Estonia, Latvia, Lithuania Rail

EU grants €295.5M for Rail Baltica! Funding accelerates crucial **railway** infrastructure projects across the Baltics, driving construction progress and development.

Rail Baltica: EU €295M Boosts Estonia, Latvia, Lithuania Rail
October 22, 2025 7:54 pm

“`html

Introduction

RB Rail AS has secured a €295.5 million grant from the European Union to advance the Rail Baltica project’s construction, electrification, and infrastructure development across Estonia, Latvia, and Lithuania. The grant agreement was signed in Vilnius on 21–22 October.

Funding Allocation and Project Scope

The European Union has awarded a €295.5 million grant to RB Rail AS for the Rail Baltica project. Approximately €47.1 million is allocated to Estonia, €153.5 million to Latvia, and €94.9 million to Lithuania, including RB Rail AS’s share as joint project coordinator. The funding supports key sections and technical activities across the three countries.

Estonian, Latvian, and Lithuanian Construction Activities

In Estonia, the funding will help complete the mainline from Tallinn to the Estonia–Latvia border, including 10.2 km of embankment and double-track substructure in the Rapla–Pärnu section. Latvia’s focus includes constructing railway embankments in four southern sections of the mainline, covering 13.3 km, along with access and maintenance roads and water drainage systems. In Lithuania, the grant covers construction of key structures in the Kaunas Urban Node section, technical studies, and design work.

Project Management and Coordination

The funding enables RB Rail AS to continue overseeing cross-border project coordination in line with the Project Management Agreement. The high-level meeting in Vilnius brought together CINEA and delivery organizations to review project progress and coordination under CEF funding. The next CINEA progress visit is planned for Latvia in November 2025.

Construction Progress and Future Goals

Rail Baltica is in full-scale construction across Estonia, Latvia, and Lithuania. In Estonia, 105 km of substructure and related infrastructure are under construction. In Latvia, construction prioritizes the southern section near Iecava, connecting Riga to the Lithuanian border. In Lithuania, work is progressing on the Kaunas–Panevėžys section. By the end of 2025, 43% of the Rail Baltica mainline is expected to be construction-ready.

Last June 2025, we published an article about Renfe’s cutting-edge Aranjuez maintenance hub. Click here to read – Future of Rail: Renfe’s Railway Technology Hub, Aranjuez: Essential Guide

Conclusion

The €295.5 million EU grant supports the ongoing construction and development of the Rail Baltica project across Estonia, Latvia, and Lithuania, with a focus on key sections and technical activities, and the project is on track to have 43% of the mainline construction-ready by the end of 2025.

Company Summary

RB Rail AS: The project’s central coordinator, responsible for overseeing the implementation of the Rail Baltica project across Estonia, Latvia, and Lithuania.

“`