Baltic Rail Project Faces Fund Gap Bigger Than Estonia’s Budget
- Audit cites financing shortfall as high as €19 billion
- Estonia’s president says megaproject still essential to region
A rail megaproject that aims to link the Baltic region to the rest of Europe by the end of the decade faces a funding shortfall of as much as €19 billion ($20.6 billion) amid cost overruns and delays, according to a report.
The governments of Latvia, Lithuania and Estonia will need to clarify how to move forward with the Rail Baltica project, which is mostly funded by the European Union, foresees an audit commissioned by the Baltic states. The financing faces a two-year gap in 2027 and 2028 caused by the EU’s budget cycle, the report said.