Increasing rail capacity on Ukraine/EU border
Since Russia’s invasion of Ukraine, uncertainty about the sea routes that traditionally carry most of Ukraine’s imports and exports has prompted improvements to rail, road, and river links with other countries. Now, the European Bank for Reconstruction and Development (EBRD) has decided to lend EUR 200 million to Ukrainian Railways Ukrzaliznytsya (UZ).
This loan will mitigate the impact of the war by facilitating the expansion of cross-border capacity and improving railway connectivity with the EU. It will allow UZ to continue to provide vital services as well as to rehabilitate key rail corridors and buy rolling stock.
The loan follows the EUR 150 million of emergency liquidity finance to UZ last year to help Ukraine keep its trains running. (ben)