Fitch Ratings confirms Ukrainian Railways’ insufficient creditworthiness.

The rating agency confirmed UZ’s long-term CC credit rating, which corresponds to Ukraine’s current sovereign credit rating. The agency raised UZ’s standalone credit profile CCC- to CC, the company says.

The indicator’s improvement became possible due to better results in the first half of the year. Fitch notes that the easing of liquidity pressures following the successful restructuring of external debt under Eurobonds at the end of last year has allowed the company to focus on continuing its operations in the current volatile and unpredictable environment, which includes rebuilding infrastructure damaged by the war.

According to the head of the UZ, Yevhen Lyashchenko, the company will receive another €100M loan from the EIB for the modernization of railway infrastructure and the purchase of fixed assets to develop railway freight transportation. UZ has already invested in the development of railway infrastructure at crossings with EU countries. Earlier, UZ received €300M from the EBRD.