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Home News Austria’s €350 million transport development

Austria’s €350 million transport development

Austria is investing €350 million in transport development

by Mike Woof
May 7, 2026
in News
Reading Time: 2 mins read
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Once improvements to the Karawanks Tunnel link have been completed, capacity will be boosted and the current regular traffic delays will be eliminated – image courtesy of © Jarretera| Dreamstime.com

Once improvements to the Karawanks Tunnel link have been completed, capacity will be boosted and the current regular traffic delays will be eliminated – image courtesy of © Jarretera| Dreamstime.com

Austria’s Carinthia State is to benefit from €350 million in investment in transport from the state-owned road and rail firms. The rail firm ÖBB, and road firm Asfinag will develop the transport connections in Carinthia.

Asfinag will provide €193 million for Carinthia’s road links in 2026 and as much as €1.3 billion over the coming six years. This will be almost twice the investment Asfinag has provided for Carinthia’s roads in the previous six years.

Key routes to benefit from maintenance and upgrade works include the A2, A11, A10, and S37. The 7.8km Karawanks Tunnel will be upgraded substantially, boosting its capacity, improving the tolling system and ensuring that it meets the latest safety requirements. A second tube for the tunnel is being built and the existing tunnel will be upgraded in the future. Construction of the original tunnel began in 1986 to connect the Austrian Karawanken Autobahn, the A11, from Villach with the A2 motorway leading to Kranj and Ljubljana in Slovenia and it opened to traffic in 1991. Originally conceived as a dual tube tunnel, vehicle numbers were lower than anticipated so only the single tube was built initially. A steady increase in traffic and the need to improve safety to meet the latest standards has required the second tube to be driven.

Meanwhile, Austria’s Federal Government is providing a further €400 million to upgrade the B317 route.

 

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Austria’s capital Vienna could benefit from a new tunnel section – image courtesy of © Digitalpress| Dreamstime.com
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