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Ukraine will receive a €54 million grant from the EBRD to develop Ukrzaliznytsia

UA NEWS 28 April 2026 15:11
Ukraine will receive a €54 million grant from the EBRD to develop Ukrzaliznytsia

Ukraine and the European Bank for Reconstruction and Development have signed a memorandum on the provision of €54 million in grant funding for the strategic development of the railway sector. 

This was announced by Deputy Prime Minister for Ukraine’s Recovery Oleksiy Kuleba on his Telegram channel, noting that the agreement was reached during a meeting with EBRD President Odile Renaud-Basso in Kyiv. The funds, allocated as part of a joint project with the EU, will be directed toward ensuring energy independence, accessibility, and workforce training.

The bulk of the funding, specifically €41 million, will go toward developing domestic power generation through the purchase of 75 MW gas piston units. This will allow Ukrzaliznytsia to maintain stable transportation during Russian attacks on the power grid and reduce the load on the national grid. €10 million is allocated for the modernization of train stations in Kyiv and Lviv to create barrier-free spaces, including the installation of elevators, escalators, and the upgrade of wayfinding systems.

The remaining €3 million will be directed toward launching the UZ Academy—a modern staff training system featuring new management approaches and special programs for veterans. The distributed energy development project is part of a larger collaboration with the EBRD totaling up to €245 million. The implementation of these initiatives is expected to increase the railway’s energy efficiency and improve the accessibility of the country’s key transportation hubs.

The European Bank for Reconstruction and Development (EBRD), as part of preparations for the heating season, plans to support the creation of approximately 700 MW of new electricity generation capacity, which is expected to be ready by winter.

Kharkiv Mayor Ihor Terekhov and EBRD Managing Director for Ukraine and Moldova Arvid Türkner signed a preliminary agreement to provide financing for the development of an “energy island” and the decentralization of the district heating system.

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