Where do Russian Railways (RZD) invest?
Russian Railways (RZD)
Sector: Transport
Investments in 2023: RUB 1,259.7 billion
Investments in 2022: RUB 908.9 billion
Main investment areas:
Modernization and expansion of infrastructure
RZD is actively investing in the expansion of key transport corridors, such as the Baikal-Amur and Trans-Siberian Mainlines, to increase throughput. This is strategically important for the development of exports to Asian countries and maintaining Russia's international competitiveness in freight transportation.
Electrification and environmental initiatives
Investments in projects to electrify railways and reduce the carbon footprint are increasing. This is in line with global environmental trends and makes RZD more resilient to possible external economic sanctions. Investments in innovation, including digitalization and automation, improve transportation management, reduce operating costs and increase safety.
Passenger Infrastructure Development
Significant funds are allocated for the development of high-speed railway lines, the modernization of passenger stations and the renewal of the rolling stock. This improves the quality and comfort of passenger transportation, which increases the attractiveness of rail travel both within the country and on international routes.
Local Development and Support for Regions
Russian Railways invests in improving the transport infrastructure in remote regions of Russia, which contributes to the economic development of the regions and the creation of jobs. This also improves accessibility and transport links for local residents, providing them with a connection to central economic centers.
Impact on Russia
These investments help strengthen the country's transport system, supporting export flows, stimulate the economic development of the regions, create jobs and ensure the connectivity of remote areas with the central part of the country. The development of passenger and cargo infrastructure makes Russia more integrated and supports its position in the global market.
Impact on investors
Russian Railways' long-term investments in infrastructure and technological innovations make the company more sustainable and attractive to investors. Stable growth in transportation revenues, government support and growing demand for transportation services increase the profitability and long-term value of the company's assets, which has a positive effect on the investment attractiveness of its shares.
