Published on Wednesday, May 20, 2026
By the A.M. Costa Rica staff

On Wednesday, Costa Rica’s first electric passenger train project officially entered into force after President Laura Fernández signed legislation authorizing $800 million in loans for the Electric Rapid Passenger Train project in the Greater Metropolitan Area, announced the Presidential House.

The Presidential House said the legislation follows last week’s approval by Congress, where lawmakers voted 56-0 in favor of a new loan agreement with the Central American Bank for Economic Integration, commonly known as CABEI. The financing will support the construction, equipment and operation of the electric rail system.

According to the Railway System Institute (INCOFER), the project will serve Costa Rica’s Greater Metropolitan Area, which includes the provinces of San José, Alajuela, Heredia and Cartago.

The initiative calls for the electrification and rehabilitation of a rail corridor stretching about 30 miles across the metropolitan region. The corridor will feature two lines designed to operate tram-train services.

CABEI financing will support the electrification, rehabilitation and modernization of the railway network, including the purchase of new electric trains.

The electric train project is considered a flagship initiative under the Global Gateway Investment Agenda. Co-financed by CABEI and the Green Climate Fund, the project aims to optimize train frequencies, rebuild and electrify infrastructure, modernize tracks and signaling systems, improve crossings and upgrade traffic control systems.

Authorities said the project is expected to improve the quality of life in the metropolitan area by providing modern, accessible and safer public transportation.

The total cost of the project is estimated at about $850 million. CABEI will provide $800 million in financing, while the Green Climate Fund will contribute $25 million. Costa Rica’s Ministry of Public Works and Transport, known as MOPT, will cover the remaining investment.

MOPT recently announced that the feasibility study for the urban electric train project was developed by the Spanish company Meta Engineering.

INCOFER has said travel time from one end of one province to the other is expected to be about 45 minutes.

The electrified rail system is projected to carry up to 600 passengers per train and more than 100,000 passengers daily.

The project includes a railway line with 46 stations, including interchange stations designed to connect with buses, taxis and nonmotorized transportation options.

Authorities estimate the electric train project will take about five years to complete.

The loan agreement carries a 25-year term, including a grace period of up to five years.

Costa Rica’s rail system is managed by INCOFER, the state-owned agency responsible for railway infrastructure and for operating freight and passenger rail services throughout the densely populated Central Valley.

MOPT oversees Costa Rica’s roads, ports, airports and public transportation systems.

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