Huawei to modernize Serbian railways - Job worth EUR 200 mil

Today the Railways of Serbia have signed an agreement with the Chinese Huawei for the overall modernization of telecommunications of the Serbian railways. The investment will total some EUR 200 mil. As it was announced at the website of Railways of Serbia, the investment will be funded through "favourable and privileged loans of Chinese banks".

General Manager of the Railways of Serbia, Dragoljub Simonovic, said that after this agreement, commercial contract with the Chinese partner will soon follow. The contract will imply an investment of EUR 78 mil until 2018 in the construction of the optical infrastructure at the Corridor 10, Corridor 11 and the Belgrade railway knot.

Simonovic pointed out that the first works could start already in October or November this year.

Head of the Railways of Serbia signed the agreement with the director of Huawei for Serbia, Jack Wei, at the presence of Vice President of Huawei for Central, East Europe and Nordic countries.

Simonovic announced that most likely the contract on delivery of 26 or 27 new Russian trains will be signed in August, an investment provided with the Russian loan of USD 100 mil.

He stressed out that during the previous six months the Railways of Serbia generated huge savings and that in the past twenty days they saved RSD 20 mil only from solving the issue of fuel theft.