Ukrzaliznytsia hopes to receive UAH 7.4 bln extra income from freight traffic in 2015
The financial plan of Ukrzaliznytsia for 2015 foresees UAH 7.4 billion being received from additional freight traffic revenue, UAH 251 million - from passenger carriage.
According to the press service of Deputy Prime Minister of Ukraine Valeriy Voschevsky, the financial plan was approved at a meeting of the Cabinet committee on infrastructure development and environmental policy. Its adoption will contribute to the stabilization of the financial situation at Ukrzaliznytsia.
Voschevsky said the railway industry was affected by the annexation of Crimea and fighting in eastern Ukraine.
As a result of the annexation of Crimea, Ukraine lost railway assets worth about UAH 2 billion. At the same time, nearly 1,800 infrastructure objects of Donetsk Railways were destroyed by the ongoing conflict.
According to Ukrzaliznytsia officials, due to falling freight volume, the company lost more than UAH 5 billion of revenue. In 2014, this decline exceeded 12% (in 2015 it is expected to reach 13.9%). The losses of the country's railways from passenger traffic reached UAH 3 billion.
At the same time, Voschevsky said that in recent weeks Ukrzaliznytsia has been demonstrating effective work. According to him, the new leadership understands what it needs to do to solve problematic issues and reform the rail industry.