Germany will invest €106.5 billion in railway infrastructure under a five-year program, which accounts for 64% of the total €166 billion national transport budget. This is reported by the railway transport news portal Railway Supply.

Germany will invest €106.5 billion in railway infrastructure under a five-year program, which accounts for 64% of the total €166 billion national transport budget
Photo: Berliner Morgenpost

The government decided to allocate more than half of all transport spending to railways, doubling the investment made in the road sector.

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Germany Increases Funding for Railway Projects

Transport Minister Volker Wissing stated that total transport investments will rise by 60% compared to the €102 billion allocated from 2020 to 2024.

He emphasized the urgent need to expand and modernize infrastructure, saying only swift action can bring the system in line with current standards.

The program will run from 2025 to 2029. In 2025 alone, Germany will allocate €21.8 billion, followed by an additional €84.8 billion through 2029 for railway-related projects.

The focus will be on reconstructing and maintaining existing lines, as well as improving the reliability and safety of rail transport.

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In the next phase, the government plans to expand the number of routes and increase the network’s logistical capacity.

However, industry associations have voiced concern about reduced subsidies for new projects and rail electrification, warning it could slow down sector development.

Rail operators have also criticized the declining support for passenger services, calling it a threat to service accessibility.

The sector expects additional funding from the federal infrastructure fund, which was previously approved by parliament with a total of €500 billion.

Railway operator Deutsche Bahn anticipates receiving at least €150 billion from the fund over the next 12 years to implement major infrastructure projects.

Germany thus signals a strong commitment to modernizing its transport system and embraces railways as a foundation for sustainable logistics growth.

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