• A technical assistance grant from the EIB-managed Eastern Partnership Technical Assistance Trust Fund (EPTATF) will support Kharkiv, Ukraine's second-largest city, in conducting the necessary preparations to purchase a new tram fleet and reconstruction of the war-ravaged tram infrastructure. 
  • Following the technical preparations, and once conditions allow the works to start, the EIB will consider the financing of the entire project, which will help the city rebuild and improve the quality and sustainability of public transport service. 

The European Investment Bank (EIB), the Kharkiv City Council and the Saltivske Tram Depot municipal enterprise today officially launched their partnership in preparation for the Kharkiv City Urban Electric Transport project.

The main objective of the planned project is to upgrade tram services in the city by procuring new trams and by modernising war-torn and worn-out track, systems and depot infrastructure. The preparations will be financed by a €400 000 technical assistance grant funded by the EIB-managed EPTATF.

EIB-EPTATF grant will allow the Kharkiv City Council to prepare coherent and feasible investment programme for EIB financing which is expected as soon as the Russian aggression can no longer hinder a full-scale reconstruction of Ukraine.

EIB Vice-President Teresa Czerwińska, who is in charge of EIB operations in Ukraine, said: “We need to be ready to start rebuilding Ukraine on the first day it wins this war. This means we need to start preparing reconstruction plans right now. The signature of this €400 000 EPTATF grant is the right step in this direction which allows us to review and modernize public transport planning in Ukraine, and create modern, efficient, safer, and green mobility for Kharkiv. Reconstruction of local transport infrastructure through projects like this will be a priority in the effort to normalize lives faster.  We have to build back better Ukraine but at the same time build back to integrate Ukraine in the EU, where it belongs. This project is a good step in this direction and underlines once again EIBs commitment to support free, democratic, prosperous and independent Ukraine.”

Mayor of Kharkiv Ihor Terekhov said: “This will be a major renewal and expansion of the tram system, which the city has not carried out in the past 30 years. This is extremely important in the context of implementing the city reconstruction plan immediately after a Ukrainian victory. Kharkiv and our tram depot need proper experience and skills in preparing such investments. Technical assistance support is very important to reducing any risks in the preparation and implementation of the project in a sound and timely manner. After hostilities have ended, the city of Kharkiv and its public transport will be even better than it used to be. That is why it is crucial to start planning to rebuild and repair, creating an ideal city of the future. I am grateful to the EIB for its continued support.”

Increased partnership for the post-war rebuilding of the public transport in Kharkiv 

The modernisation of the tram infrastructure is a vital part of the master plan to rebuild Kharkiv and its Urban Electric Surface Transport Development Programme for the period 2021-2025, which had already been approved before the war.

The EIB has a long history of supporting the modernisation of transport infrastructure in Kharkiv. The portfolio of EIB-supported projects includes a €160 million loan to extend and upgrade the Kharkiv metro, signed in 2017. The EIB also provided a €10 million loan to Kharkiv to upgrade its trolleybus fleet and €45 million to purchase new metro cars in 2020 under the Ukraine Urban Public Transport Project (UUPTP) framework loan. 

The EIB has now been active in Ukraine for 15 years. Since 2007, it has invested over €7 billion in the country focusing on financing social and economic infrastructure, transport and connectivity, energy efficiency, SME development, climate action and innovation. Since the start of Russia’s full-scale invasion, the EIB has been actively working within Team Europe to provide timely help and support to the Ukrainian people. As of November 2022, the EIB’s total financing for Ukraine since the start of the full-scale war amounts to €1.7 billion aimed at covering the country's urgent financing needs, restoring the most critical damaged infrastructure, and resuming the provision of municipal services.  

Background information

EIB Global is the EIB Group’s new specialised arm dedicated to increasing the impact of international partnerships and development finance. EIB Global is designed to foster strong, focused partnership within Team Europe, alongside fellow development finance institutions, and civil society. EIB Global brings the Group closer to local people, companies and institutions through our offices across the world

Eastern Partnership Technical Assistance Trust Fund (EPTATF) was established by EIB in 2010 as a trust fund to enhance the development impact of investment projects and finance technical assistance operations in the Eastern Partnership countries, including Ukraine. The trust fund accelerates private sector development, social and economic infrastructure development and climate change mitigation and adaptation.