Ukrzaliznytsia secures $100M grant to buy used locomotives as 533 of its own have been damaged since invasion
Ukrainian Railways (Ukrzaliznytsia) has reached an in-principle agreement on a $100 million grant under the URTF trust fund via the RELINC project with the International Bank for Reconstruction and Development, with the funds earmarked for purchasing used locomotives on foreign markets. Separately, a principled agreement was reached with the EBRD to direct 130 million euros under UZ Energy toward critical needs and energy resilience of the railway, and Slovakia agreed to transfer three electric locomotives to Ukraine.
Key points
- In-principle $100M grant reached under the URTF trust fund via the RELINC project with the IBRD.
- Funds planned for purchase of used locomotives on foreign markets.
- Principled agreement with the EBRD for 130 million euros under UZ Energy for critical needs and energy resilience; agreements planned to be signed by end of September.
- Slovakia agreed to transfer three electric locomotives to Ukraine.
- 533 locomotives of Ukrzaliznytsia's own fleet damaged since the start of the full-scale invasion, plus 75 locomotives of private industrial enterprises.
- President Zelenskyy said Ukraine will sign additional contracts for systems to protect railway and border-crossing infrastructure.
- Russian drones struck a railway facility in Vinnytsia Oblast on September 20, 2026; on September 17, a city elektrichka (suburban electric train) station in Kyiv and the railway station in Berestyn, Kharkiv Oblast, were hit.
Why it matters
Russian attacks have damaged a large share of Ukrzaliznytsia's locomotive fleet — 533 of its own engines since the start of the full-scale invasion, plus 75 more belonging to private industrial enterprises — putting the continuity of Ukrainian rail logistics under pressure. A $100 million grant under the URTF/RELINC framework together with a separate 130 million euro EBRD package signal substantial international financial backing for restoring and protecting the rail system, while the planned purchase of used locomotives abroad and Slovakia's transfer of three electric locomotives show Ukraine turning to foreign markets and partners to make up for wartime losses. Fresh strikes on stations in Kyiv, Berestyn and Vinnytsia Oblast underline that the rail network remains an active target.
What happened
Ukrzaliznytsia reached an in-principle agreement on $100 million in grant financing through the URTF trust fund within the "Carpathian Eight" framework, working jointly with the International Bank for Reconstruction and Development via the RELINC project. The funds are planned to be used to buy used locomotives on foreign markets, addressing the loss of 533 Ukrzaliznytsia locomotives and 75 private industrial locomotives damaged since the full-scale invasion began.
Separately, a principled agreement was struck with the European Bank for Reconstruction and Development to channel 130 million euros under UZ Energy toward critical needs and the energy resilience of the railway, with the related agreements planned to be signed by the end of September. Slovakia agreed to transfer three electric locomotives to Ukraine.
President Volodymyr Zelenskyy stated that Ukraine will sign additional contracts for systems to strengthen the protection of the railway, border crossings and other Ukrzaliznytsia facilities, and the involvement of state banks to support state logistics was under discussion. The announcements come amid continued Russian strikes on rail infrastructure, including a drone attack on a railway facility in Vinnytsia Oblast on September 20, 2026, and earlier hits on September 17 on a Kyiv city elektrichka station and the railway station in Berestyn, Kharkiv Oblast.
Background
Since the start of the full-scale invasion, 75 locomotives belonging to private industrial enterprises have also been damaged, on top of the 533 Ukrzaliznytsia engines reported destroyed. Agreements with the EBRD under UZ Energy are planned to be signed by the end of September. President Zelenskyy said Ukraine will sign additional contracts for systems to protect railway and border-crossing infrastructure, and the involvement of state banks to support state logistics was under discussion. Russia struck a railway infrastructure facility in Vinnytsia Oblast with drones on September 20, 2026, and on September 17 hit a city elektrichka station in Kyiv and the railway station in Berestyn, Kharkiv Oblast.