The Ukrainian Railways public railway company believes that it will be able to generate an additional UAH 3 billion in tax revenues into the state budget if railway freight rates are raised, the CFTS portal reports, citing information from the company.
According to the national railway company’s consolidated financial plan, it plans to transfer UAH 16 billion into the state budget in 2017.
As reported, Ukrzaliznytsia has raised the issue of raising railway rates repeatedly in recent months. In particular, the company’s capital investment plan provides for raising freight rates by 25% and passenger rates by 35% in 2017.
However, Minister of Infrastructure Volodymyr Omelian believes that the company should solve several its internal problems, particularly the problem of corruption, before proceeding to raise rates.
"The next increase may take place only after the entire company has been cleansed, when we see that the operating mechanism is 100% transparent and effective and that there is no corruption," Omelian said.
