The Ukrzaliznytsia public railway company has earmarked more than EUR 150 million in European credit funds and Ukrainian funds for financing renewal and modernization of its rolling stock. This was announced by Minister of Infrastructure Volodymyr Omelian, the publication reports.

"Ukrzaliznytsia’s financial plan provides for purchase of trains, modernization of locomotives," Omelian said.

Modernization of locomotives will be financed with a German loan. The minister said that more than EUR 50 million has already earmarked for modernization of locomotives this year and next year. A loan of EUR 90 million from the European Development Bank is intended for procurement of rolling stock (wagons). In addition, Ukrzaliznytsia will spend about UAH 10 billion on meeting its needs, including rolling stock, this year.

According to Omelian, the key issue is approval of five-year plans for modernization of rolling stock, after which "systematic work can begin."

The head of the Ministry of Infrastructure expressed the hope that one of the first tasks of Ukrzaliznytsia’s head Wojciech Balczun will be clear prediction of the areas that require urgent investment, after which Ukrzaliznytsia will be able to communicate with strategic investors on new rolling stock for the company.

As reported, Ukrzaliznytsia’s acting board chairman Yevhen Kravtsov said in April that the company’s capital investments would total almost UAH 11.2 billion this year, of which UAH 9.5 billion will be Ukrzaliznytsia’s own funds.