RZD to increase 2011 investment spending
RUSSIA: Presenting the Russian Railways results for the first nine months of 2011 in Moscow on October 5, RZD President Vladimir Yakunin confirmed that the railway was planning to increase its capital spending for the current year by 18%.
The railway had initially approved an investment programme totalling 349bn roubles, of which 225·5bn was spent during the first three quarters. Yakunin said that thanks to a combination of cost savings and efficiency improvements, RZD was now in a position to lift its total investment for the year to 413bn roubles. A formal proposal is being drawn up for approval by the board of directors, he confirmed.
Of the additional 64bn roubles to be invested, RZD expects to spend around 20bn on the implementation of projects related to the 2014 Winter Olympic Games in Sochi, and a further 15bn will go towards the ongoing rolling stock replacement programme. Another priority will be the restructuring of the railway’s intermodal freight operations.