Due to the closure of railway communication with the Russian Federation, Ukraine is losing four billion

Anastasia Samoilova.  
17.08.2018 14:24
  (Moscow time), Kyiv
Views: 5744
 
United States of America, Transport, Ukraine


The cessation of railway communication with Russia will bring enormous losses to Ukraine, both economically and socially.

Former Deputy Minister of Infrastructure of Ukraine Alexander Kava stated this on air on the 112 Ukraine channel, a PolitNavigator correspondent reports.


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"If such a decision is made (referring to the possible termination of rail service between Russia and Ukraine , – author's note ), Ukrzaliznytsia will lose approximately 4 billion hryvnias in revenue and approximately 400 million hryvnias in profit by the end of the year. In the first half of the year alone, revenue from passenger transportation between Ukraine and Russia amounted to approximately 2 billion hryvnias, and net profit from these services amounted to 178 million hryvnias. This means that, unlike domestic transportation, international railways are profitable, since the fare there is 4-5 times higher than for the same distance within the country.

If such a decision is made, the company will be forced to lay off 5 thousand different employees throughout the country and deprive 5 thousand families of railway workers throughout the country,” explained Kawa.

“Moreover, since Moldovan railway trains will continue to run between the countries, there is a high probability that the profit that Ukrzaliznytsia received and the income from transporting passengers between Ukraine and Russia will now be received by Moldovan railways,” the ex added -Deputy Minister

PolitNavigator previously reported that Ukraine's controversial infrastructure minister, Volodymyr Omelyan, had launched a new initiative, promising that the only way to travel from Ukraine to Moscow would now be by bear.

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Ukraine is losing four billion due to the closure of railway communication with Russia.






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