This week’s news from the global railway supply chain.
The Islamic Development Bank Group’s Islamic Corp for the Insurance of Investment & Export Credit is providing €135m of Shariah-compliant multilateral Insurance Support for Turkey’s 224 km Kars–Iğdır–Aralık–Dilucu railway project. MUFG Securities EMEA plc arranged the overall transaction, within which a Murabaha financing facility supported by ICIEC has been structured for the project. ‘This strategic investment reflects ICIEC’s continued commitment to supporting sustainable, high-impact infrastructure in Türkiye and across our member states’, said ICIEC CEO Dr Khalid Khalafalla. ‘Our participation ensures confidence for financiers and helps accelerate completion of this transformative project.’
The Swiss Association for Quality and Management Systems has carried out work at Stadler’s US plant in Utah to certify its activities against the IRIS and the ISO 22163 standards. ‘The certification is a strategically important milestone’, says Michael Delgado, Head of Quality & Environment at Stadler US. ‘Our customers expect tailor-made solutions and quick responses, all under increasing cost pressure. IRIS helps us to improve in precisely these areas.’
Watson Farley & Williams advised ING Bank as mandated lead arranger, facility agent, security agent and account bank on a €375m debt refinancing and new capex facility for European rail financing platform ITE Management. It is to finance the expansion and modernisation of the European rail wagon fleet. WFW’s team was led by London Assets & Structured Finance Partner Louise Mor, who said ‘instructions of this nature underscore WFW’s expertise in cross-border transport finance and the continued importance of rail logistics across Europe.’
Cobar is building a hydrogen production plant at Macomer to provide fuel for trainsets that Stadler is to supply for Ferrovie della Sardegna’s 58 km Macomer – Nuoro 950 mm gauge line. The plant will produce green hydrogen through water electrolysis using energy generated from renewable sources.
The Australasian Railway Association released its Value of Rail 2025 report on December 10, which is based on 2024 data, and highlights a 30% increase in the value Australia’s rail industry provides to the economy since the previous edition was released in 2020, which was based on 2019 data. The sector now contributes A$38∙8bn in economic benefits, and ARA Chief Executive Officer Caroline Wilkie said the report ‘confirmed the industry’s growing contribution to the economy and highlighted the need for continued investment in rail to reduce emissions, improve safety and enhance the liveability of Australian communities’.