Business news from Ukraine

Business news from Ukraine

JSC “Ukrzaliznytsia” will not receive funding from state budget this year

8 April , 2024  

Ukrzaliznytsia (UZ) will not receive funding from the state budget in 2024; at the same time, in 2023, it decreased by 2.4 times compared to 2022, to UAH 4.179 billion, according to a presentation made by Yevhen Lyashchenko, chairman of the board of UZ, during a conversation with journalists.

In 2022, UAH 10.095 billion was allocated from the state budget for UZ. The funds were allocated for the uninterrupted operation of rail transport under martial law, as well as for emergency repair work at railway infrastructure facilities, repair of traction and rolling stock, and payment of wages, UZ said.

In addition, the funds allocated from the state budget financed the design and implementation of work to restore the European standard 1435 mm railway track from Chop station to Uzhhorod station with the extension to the platform of Uzhhorod railway station. UAH 6 million was allocated for these purposes. Almost UAH 83 million was used as a postpaid payment for a batch of passenger railcars delivered under the contract signed in 2021.

Of the UAH 4.179 billion received from the state budget in 2023, UAH 1.905 billion was an advance payment for passenger railcars under the 2023 supply contract, UAH 1.736 billion was a postpayment for passenger railcars under the 2021 supply contract, and UAH 538 million was used to finance infrastructure projects.

In addition, part of the funds was allocated for the reconstruction of facilities with electrification of the Vasylkiv – Vasylkiv II, Cherkasy – Taras Shevchenko section; reconstruction of facilities with electrification of the Vasylkiv – Vasylkiv II. Taras Shevchenko; reconstruction of the railway track on the section Goskordor – Mostyska II – Sknyliv (Lviv) with the construction of a new terminal at Sknyliv station; construction of a railway road bridge over the Dnipro in Kyiv (with approaches) on the railway section Kyiv-Moskovsky – Darnytsia.

,