Hungary announces 3,500 billion forint railway reform

Transport and Investment Minister Dávid Vitézy has announced a comprehensive 3,500 billion forint reform program for Hungary’s railway and transport network. A central component of this plan is the establishment of the Országos Közlekedésszervező Zrt. (OKK), a state-owned company that will assume customer rights, manage revenue, coordinate timetables, and oversee market competition.

The reform aims to address a critical shortage of modern rolling stock, as the average age of MÁV and HÉV vehicles exceeds 40 years. To facilitate modernization, the ministry has secured approximately 640 billion forints in EU funding and established Vonatflotta Zrt., a fleet management company based on an Italian model.

Additionally, negotiations have resumed with Siemens regarding the procurement of Vectron locomotives. The minister noted that a previous 2022 framework agreement for 115 locomotives had been stalled under former leadership, leading to more expensive rentals. Due to updated European standards, the ministry is negotiating to potentially secure up to 50 locomotives from the original agreement to provide a more cost-effective solution for the national railway.