Railway Infrastructure as a Factor of Economic Development: An Empirical Analysis of Central European Countries (2010-2021)

Abstract

This paper investigates the impact of investments in railway infrastructure on economic growth across six Central European countries (Croatia, Slovenia, Poland, Czech Republic, Slovakia, and Hungary) between 2010 and 2021. The study applies a panel regression model to test both the direct effects of these investments and their indirect effects through passenger and freight rail transport. Contrary to theoretical expectations, the findings reveal no statistically significant correlation between railway infrastructure investment and GDP growth in the observed countries. These results highlight the importance of institutional efficiency, intermodal integration, and alignment of transport policy as preconditions for unlocking the growth potential associated with railway investments.