The draft state budget 2022 does not provide for the allocation of funds for UZ – Oleksandr Kava

The draft budget of Ukraine for 2022, which today was adopted in the first reading, does not provide for the allocation of funds to JSC Ukrzaliznytsia.

This was announced by the Deputy Minister of Finance of Ukraine Oleksandr Kava. Answering a question from RailIinsider journalist, he said that this is directly related to the failure to fulfill obligations on the use of public funds allocated for the development of passenger transportation (purchase of wagons and electrification) in 2021, reports Railway Supply magazine.

“The implementation is very low … Today, only UAH 912 million out of more than UAH 3 billion has been used in the Treasury accounts for an advance payment for passenger cars. State funds have not been used for three infrastructure projects,” he said, adding that Ukrzaliznytsia carried out the work, in particular at the Vasilkov station, at its own expense.

Ukrzaliznytsia announced a tender for the purchase of rails for UAH 117 million

The official added that the funds can still be used until the end of the year, but “Ukrzaliznytsia is not doing anything for this.” “It is upsetting that the state industry, which for decades has been claiming the lack of state support, having received it de facto cannot use it. In fact, this is nonsense and testifies to the company’s inability to take such serious steps,” said the Deputy Minister of Finance. Instead, he cited the example of Ukravtodor, which actively uses public funds.

As previously reported, according to the draft State Budget-2022, it was planned to allocate up to UAH 10 billion for railway infrastructure and rolling stock.

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