The Ukrainian Finance Ministry after obtaining approval from the Ministry of Economic Development and Trade has agreed the increase in the effective tariff for rail freight transportation by 15% with the Ministry of Infrastructure.

"The Ministry of Finance supports the implementation of those sectoral reforms that will allow to solve long-standing structural economic problems and eliminate fiscal risks for the economy. Therefore the ministry supports the intention of the Infrastructure Ministry to bring rail transportation tariffs to the economically justified level," reads a statement by the the Ministry of Finance.

This, according to the ministry, will allow to use additional funds for the maintenance and modernization of the railway infrastructure in the country, thus improving the financial sustainability of its core transport network.

At the same time, the Ministry of Finance supports a balanced approach to this issue to prevent a significant adverse impact of the tariff increase on economic activity in Ukraine.