THE government of the Federation of Bosnia and Herzegovina has allocated approximately €20m ($US 22.1m) to railway spending in its 2025 budget. The sum is split as follows:  

  • €10.4m for infrastructure maintenance as well as passenger and intermodal freight subsidies 
  • €2.1m for capital investment such as upgrading electrical and signalling systems, track and other improvements at locations including Mostar, Sarajevo, Zenica, and Tuzla 
  •  €5.2m towards the financial consolidation of state-owned Bosnia and Herzegovina Federal Railways (ŽFBiH), addressing pension fund obligations, and 
  • €250,000 to support the operations of the Bosnian-Herzegovinian Railway Public Corporation, a joint venture with the Bosnian Serb Republic. 
Memorandum of understanding 

Separately, at a meeting of railway infrastructure managers from the Western Balkans, Georgia, and the European Union (EU) in Frankfurt on March 27-28, Bosnia and Herzegovina’s railway authority signed a memorandum of understanding (MoU) to improve cooperation and coordination among the operators of the Western Balkans (see IRJ April, p30).