EIB and Swedbank Finance Lithuania Military Base Project

EIB Vice-President Karl Nehammer described the investment as an example of how the European Union can strengthen security and defence by supporting strategic infrastructure projects.

Construction of the second phase of the Rūdninkai Military Town in Lithuania is set to move ahead after the project's developer, Rudina, secured more than €200 million in financing from the European Investment Bank (EIB) and Swedbank.

Under the agreement, both the EIB and Swedbank will provide loans of €100.37 million each to support the development. Rudina is indirectly managed by the INVL Defence Infrastructure Fund I, together with Lithuanian construction companies Conres and Fegda. The project will create the infrastructure needed for the permanent deployment of the German brigade in Lithuania, making it the largest military infrastructure project undertaken since the country regained independence.

Financing unlocks full-scale construction

With the financing now secured, Rudina's agreement with the Lithuanian Ministry of National Defence has officially entered into force, allowing the project to move into full construction. Preparatory work has been underway since January, and construction companies Conres and Fegda will now begin full-scale development of the site. Before the loans were approved, both companies completed an international due diligence process that assessed their technical expertise, project experience and legal readiness to deliver the development.

INVL Asset Management Chief Executive Officer Andrius Načajus said the project demonstrates how government, private investors and international financial institutions can work together to strengthen national and regional security. He added that securing the financing marks an important milestone in delivering the infrastructure required for the permanent presence of German forces in Lithuania.

Project strengthens NATO presence on Europe's eastern flank

EIB Vice-President Karl Nehammer described the investment as an example of how the European Union can strengthen security and defence by supporting strategic infrastructure projects. He said the military town will reinforce the permanent presence of allied forces while enhancing security along the EU's eastern border.

Swedbank Lithuania Chief Executive Officer Inga Skisaker said security is essential for long-term economic stability and investment. She noted that the bank's financing supports a project of national strategic importance that will strengthen Lithuania's defence capabilities while creating conditions that encourage future business investment and economic growth.

Part A of the second development phase covers a 52-hectare site, where 27 military buildings with a combined floor area of nearly 94,000 square metres will be constructed. The development will also include a parade ground, vehicle and military equipment areas, a helicopter zone and other supporting military infrastructure designed to meet the operational needs of the German brigade.