Economy
December 2, 2024
Border
Less than
min read

Hungary and Ukraine Propose €1bn Border Development Plan to the EU

Hungary and Ukraine have announced a €1 billion joint development plan to improve border infrastructure and road links. The proposal, aimed at enhancing connectivity and trade, includes new motorway links, a freight crossing point, and road improvements.
Hungary and Ukraine Propose €1bn Border Development Plan to the EU
Valky - Unsplash

Hungary and Ukraine have jointly announced a €1 billion border and road development plan to enhance connectivity and facilitate trade between the two nations. The proposal, presented at a press conference on Monday, will be submitted to the European Union for funding approval.

The development plan includes:

  • Construction of two motorway links between Hungary and Ukraine.
  • Establishment of a new freight crossing point to ease traffic congestion.
  • Comprehensive road improvements on both sides of the border.

Levente Magyar, Hungary's Parliamentary State Secretary for the Ministry of Foreign Affairs and Trade, highlighted that this initiative marks a significant step forward in bilateral cooperation.

From Monday, empty trucks began crossing at the Beregsurány–Astei border point, reducing traffic pressure at the Záhony crossing. Additionally, a major renovation and capacity expansion of Ukraine's Astei border post is set to begin, with completion expected in two years.

Hungary also plans to open a new border crossing at Nagyhódos–Velyka Palad, bringing the total to six active crossings along the Hungarian-Ukrainian border. These upgrades aim to streamline passenger and freight traffic between Ukraine, Hungary, and the broader European Union.

Magyar noted that while initial plans for border development began in 2013, progress stalled due to political and economic crises in Ukraine. Renewed efforts over the past year, spurred by Ukraine's aspirations for EU integration, have reignited these projects.

At the conference, Viktor Mykyta, Deputy Head of Ukraine’s Presidential Administration, emphasized the strategic importance of the initiative, citing the high volume of goods passing through the region. He highlighted Monday’s milestone of the first trucks crossing from Ukraine to Hungary via the Astei point as a small but pivotal achievement.

Serhiy Derkach, Ukraine's Deputy Minister for Communities and Territories Development, stressed that the investments would leverage funds from state budgets, other partners, and €9.6 million from an EU program.

The development plan is expected to be completed by the end of the decade, with officials from both nations expressing optimism about its potential to boost regional economic integration and trade efficiency.

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