April 16 (SeeNews) - Serbia has signed a memorandum of understanding (MoU) with Hungary for investing 55.8 million euro ($63.1 million) in the reconstruction of a cross-border railway line, Serbia's infrastructure ministry said.
Following the overhaul, the maximum train speed on the Subotica-Horgos-Szeged route will increase to 120 km/h, while its load capacity will grow to 22.5 tonnes per axle, the infrastructure ministry said in a statement on Monday.
Hungary plans to build additional sections of the railway line, linking Szeged to Hodmezovasarhely, Bekescsaba, and Baja, the ministry added.
The line can also connect to the Belgrade-Budapest railway.
In November 2017, Serbia launched a project for the overhaul of the Belgrade-Stara Pazova section of the railway line connecting Belgrade to Budapest. The overhaul represents the first cross-border project carried out by Serbia, Hungary and China in the framework of the China-Central and Eastern European Countries (CEEC) cooperation initiative.
($ = 0.884212 euro)