Government to pour €1.6bn into Andalucía’s infrastructure

€1.6 billion can go a long way towards upgrading parts of Andalucía’s infrastructure.

From roads and rail to airports and housing – the Autonomous Community of Andalucía has been granted €1.6 billion by the Spanish government to spend on upgrading its infrastructure this year…

The sum dwarfs last year’s allocation by 23%, and is expected to be steered towards regions and industries that require infrastructural upgrades.

In announcing the funding, Spain’s Minister for Infrastructure, Transport and Housing, Julio Gómez-Pomar, remarked just how integral the region is to Spain’s ongoing economic recovery.

“Andalucía construction companies are to stay tuned,” he said. “They must contribute to economic growth in Spain; it is integral to the nationwide recovery.”

The minister added that Andalucía was one of Spain’s star pupils in terms of investment and growth, and feels confident that this extra injection of cash will prove money well-spent.

Andalucía is home to the Costa del Sol, Málaga airport, Granada and Sevilla, making it one of the most visited regions in Spain and a hotspot for tourists and property buyers keen on snapping up a property in one of the warmest, most beautiful corners of Europe.

Having had plenty of money spent on its road and air infrastructure around the turn of the millennium – with a recent upgrade of Málaga airport being completed in 2010 – government spending tailed off somewhat as Spain was forced to funnel funds to more needy parts of the country.

However, this new €1.6 billion cheque will likely prove pivotal in helping Andalucía upgrade many parts of its road and rail network, in particular. It is understood that €456 million is to be ploughed into road development, with €730 million set aside for rail development.

In February, VIVA reported that the Andalusian government had been working on finalising plans for a much-needed expansion of the Costa del Sol’s rail line. How much the government sees of this funding pot – if any – remains to be seen, but Development Minister for Spain Ana Pastor did reveal earlier this month a €1.3 billion investment into Spain’s commuter rail network.

The scheme, which is aimed at gaining 22 million new passengers, will bring investment to 18 cities, although further details on which cities remain sketchy so far. It is likely, however, that Málaga will be one of them, but whether the funds will be used to expand the line southwards into the Costa del Sol remains uncertain.

Furthermore, Andalucía will steer €111 million from the €1.6 billion pot into housing in the region, which should provide a further boost for the local real estate industry, which has enjoyed an encouraging upturn in fortunes over the past 18 months.