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Israel Railways continues to solidify its financial stability within the capital market, reporting today (Thursday) that the Israel Securities Authority has approved the extension of the company's shelf prospectus until February 2027. This significant move is expected to allow the railway, subject to authorized state approvals, to carry out additional debt raising and issue new series of bonds, which will serve as the fuel for financing the company's ambitious development plans in the coming years.
The extension of the prospectus comes alongside a dramatic expression of confidence from the "Maalot" rating agency (S&P Global), which maintained the company's and its bonds' rating at the highest level - AAA with a stable outlook. Maalot estimates that extensive infrastructure investments and accelerated growth in demand strengthen the railway's competitive advantage and support its credit quality over time.
The growth trend at Israel Railways is at its peak, with 2025 recording an all-time high in travel demand. According to company forecasts, the annual number of passengers is expected to soar from approximately 72 million today to about 300 million passengers by 2040. To prepare for this growth, the railway is promoting extensive projects throughout the country, including the establishment of high-speed rail lines that will reach speeds of 250 km/h, the addition of advanced track infrastructure, and the continued electrification of the entire network.
Alongside passenger service, the railway is placing a strategic emphasis on the logistics sector through a significant expansion of the freight terminal network and their direct connection to seaports—a move expected to streamline the supply chain and increase land transport volume.
The development momentum also includes the establishment of new passenger stations and the extensive procurement of modern carriages and locomotives to support the expanding rail network.
Israel Railways management stated that the Israel Securities Authority's approval constitutes an expression of confidence in the company's corporate governance and its responsible financial management as a reporting company.
