1. INVESTMENT IN RAILWAY INFRASTRUCTURE AND ROLLING STOCK Report by the secretariat Item 7 (a) of the provisional agenda

2. Main trends in the ECE region Acceleration of transport infrastructure investment (2003-7) –New EU member states –SEE candidate countries –Resource-rich EECCA countries Steady investment levels in Western Europe and North America Source: ITF

3. Chart 1 Rail sector's share in inland transport infrastructure investment, %

4. Effects of the economic crisis GDP and investment levels down in most ECE economies Fiscal stimulus packages in some large ECE countries include railway projects Railway investment levels down in new EU states But still strong in Russia and Turkey

5. Financing in the post-crisis period Fiscal consolidation expected in most ECE countries Less public funds for railway infrastructure investment PPP projects could reduce the funding gap More accessions to the Luxembourg Rail Protocol could boost private financing of rolling stock

6. Chart 2 Structure of PPP transport infrastructure investment in ECE emerging market economies 1993-2007, per cent Source: PPI database, World Bank.