Ukrainian Restoration Ministry in talks with EBRD on allocating over 400 mln euros for Ukrainian Post, Ukrainian Railways

MOSCOW. June 21 (Interfax) - The European Bank for Reconstruction and Development (EBRD) is expected to allocate about 400 million euros to finance projects for the Ukrainian national railway company Ukrzaliznytsia (Ukrainian Railways, or UZ) and the national postal service Ukrposhta, Ukrainian media reported citing the Restoration Ministry.

"The ministry is starting two new investment projects with the EBRD. One of them is designed to update Ukrzaliznytsia's electric locomotive fleet, and the other to restore Ukrposhta's postal network, including the establishment of new container-type post offices," the ministry said.

The EBRD plans to allocate 104 million euros for restoring Ukrposhta's postal network. The project implies a prompt deployment of container-type post offices and the expansion of operations through mobile post offices.

UZ should receive a loan of up to 300 million euros under government guarantees to modernize its electric locomotive fleet.

As reported earlier, UZ signed a memorandum on the sidelines of the Ukraine Recovery Conference (URC2024) in Germany at the end of May to secure its 300-million-euro loan deal with the EBRD.

The company also reported at the end of May that the United States had granted $190 million through the World Bank's trust fund under the Repairing Essential Logistics Infrastructure and Network Connectivity (RELINC) project.