Croatia’s largest railway project is entering a decisive new stage following the selection of the contractor that will upgrade and double the Dugo Selo – Novska railway line.
The Croatian rail infrastructure manager, HŽ Infrastruktura, has appointed the company that will deliver works on what is considered the most significant railway project in the country’s history. The scope includes full modernisation and double-tracking of the Dugo Selo – Novska line, electrification, and the deployment of advanced signalling and telecommunications systems. The project also covers the reconstruction of 16 stations (five of which will be downgraded to stops), construction of a new station, removal of level crossings, installation of noise barriers, and upgrades to the railway energy subsystem.
The contract has been awarded to Afcons Infrastructure Limited, based on the most economically advantageous offer, worth EUR 677 million. Once the decision becomes final, the construction contract will be signed and works are scheduled to last approximately five years and ten months.
The project covers an 83-kilometre corridor and is co-financed by European Union funds. Upon completion, the Dugo Selo – Novska line, part of the TEN-T Mediterranean Corridor, will allow train speeds of up to 160 km/h. The main outcome of this landmark investment will be a significant increase in capacity, interoperability and safety across Croatia’s national railway network.
The upgrade will also strengthen connections along the Zagreb – Vinkovci – Vukovar axis. From Vinkovci, the railway continues towards Tovarnik, located around 10 km from the Serbian border via Šid. In addition, the double-tracking and modernisation of the line will enable faster and more direct access to the Port of Rijeka, as Dugo Selo is directly connected to the Croatian capital, while the Zagreb – Rijeka corridor is set for further modernisation and expansion.
European funding drives Croatia’s landmark rail investment
The project was initially estimated at around EUR 620 million, according to planning by HŽ Infrastruktura. A significant share is covered by EU funding, particularly through the Connecting Europe Facility (CEF), with a contribution of approximately EUR 289 million.
Under the 2022 CEF calls, EUR 245.6 million was secured for the modernisation of a 42-kilometre section between Ivanić-Grad and Kutina, where double tracking will be implemented. The Croatian state contributes an additional EUR 43.3 million under the grant agreement.
The preparation phase was supported through multi-stage design contracts. The first phase was delivered by a consortium including DB Engineering & Consulting, Željezničko projektno društvo and Granova, under a EUR 5.4 million contract initiated in 2011 and completed in 2019. Subsequent phases two and three were developed by a consortium including Técnica y Proyectos, Egis Rail, Ingeniería y Economía del Transporte and Inženjerski projektni zavod, with a total contract value of EUR 11.5 million, of which 45% was co-financed through the European Regional Development Fund.
For the Kutina – Novska section, EUR 140.7 million has been allocated under Croatia’s National Recovery and Resilience Plan 2021–2026, within the “Economy” component, focusing on a sustainable, competitive and energy-efficient transport system.
Croatia is currently implementing a major rail investment programme worth nearly EUR 6 billion by 2030, focusing on the modernisation of the TEN-T Mediterranean and Rhine–Danube corridors, as well as regional lines, largely supported by EU funds and the European Investment Bank.
Afcons strengthens its position on the European market
Afcons Infrastructure Limited is consolidating its entry into the European market through direct involvement in Croatia’s largest railway project. The contract marks not only geographic expansion but also validation of its capacity to deliver complex infrastructure projects under the strict regulatory framework of the European Union.
“This project represents an important milestone in our global journey and confirms Afcons’ ability to execute large-scale infrastructure works,” said Krishnamurthy Subramanian, Executive Chairman of the company. He emphasised that participation in Croatia’s largest railway project is a defining step in strengthening the company’s presence in Europe.
The award opens significant opportunities for future contracts across the European market, where technical and environmental standards are among the most stringent globally. At the same time, involvement in such a flagship project enhances the company’s international visibility and strengthens its reputation in highly complex railway infrastructure delivery. The experience gained is expected to provide a strong competitive advantage in future EU tenders.
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