EUROFIMA has granted a loan to BDZ for the purchase of 91 used German railcars

The Swiss-based European Company for the Financing of Railroad Rolling Stock (EUROFIMA), in which BDZ Holding is a shareholder, is the international organization providing a loan of up to €22 million to BDZ-Passenger Transport (BDZ-PT). With these funds, the state-owned passenger operator must secure the purchase of 91 used German railcars. This is evident from an official press release by the organization, as well as from an announcement posted on CAIS by BDZ-PP.

The first tranche of 8.1 million euros secures the delivery of 36 railcars.

BDZ-PP finalized the supply contract with DB Fernverkehr AG on March 18, 2026, according to the documentation uploaded to CAIS. The total value of the contract is €21,820,000 for all 91 railcars.

We recall that in early March, Acting Minister of Transport Korman Ismailov announced that the supply contract would be signed “within days”. As early as the announcement of the procedure at the beginning of the year, BDZ-PP informed Economic.bg that the deal would be finalized with a loan, rather than with budget funds. The details of this loan are now becoming clear.

Financing Terms

The loan agreement (EFI No. 20212), which entered into force on March 17, 2026, is structured as a Hire Purchase Agreement. Under this model, EUROFIMA acquires the equipment and makes it available for use by our national carrier, with ownership being definitively transferred upon full repayment of the amounts. This is standard practice for such loan agreements.

The terms of each individual tranche are determined separately at the time of its disbursement. For the first tranche of €8.1 million, an interest rate has been agreed upon, consisting of the 3-month EURIBOR plus a margin of 0.45%. The loan term is 10 years, with the agreement remaining in effect until 2036.

In its official announcement dated April 1, 2026, EUROFIMA states:

EUROFIMA is pleased to announce the signing of a framework agreement for up to €22 million with BDZ Passenger Transport Ltd. (BDZ), the Bulgarian national passenger rail operator. The first tranche, amounting to €8.1 million, is scheduled for disbursement on April 1, 2026, with a 10-year term. The financing will support the acquisition of 35 used intercity passenger railcars, previously operated in Germany, which will be used for public rail services in Bulgaria.”

EUROFIMA is an organization headquartered in Basel, Switzerland, established in 1956 with a mission to support the modernization of rail transport in Europe. It operates on a non-profit basis and holds a high credit rating, which allows it to raise affordable financial resources.

The organization’s shareholders include 26 national railway operators from 25 countries. The largest stakes are held by the German railways (DB) and the French railways (SNCF). “Holding BDZ” EAD holds a 0.20% stake in EUROFIMA, which entitles the Bulgarian carrier to preferential financing for the renewal of its rolling stock.

Details on the purchase of the railcars

The contract for the acquisition of 91 railcars from DB Fernverkehr AG has a total value of 21.8 million euros excluding VAT. This is 1.7 million euros less than the projected value, which was 23.5 million euros. This is most likely because the procedure initially called for the purchase of up to 98 units, but after an inspection of the rolling stock by BDZ-PP, the number was finalized at 91.

The unit price of the railcars ranges between €210,000 and €250,000, depending on the specific type and technical parameters.

The main objective of the investment is to permanently address the chronic shortage of rolling stock and improve passenger comfort on the country’s main lines.

Translated with DeepL.