<blockquote>'..investments that could reach RUR13.8 trillion (€335 billion) in infrastructure and rolling stock are being made as the company modernises and upgrades the existing railway and expands the network to respond to new traffic opportunities.'
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Massive investment in Russia’s rail network</blockquote>
<blockquote>'RZD is planning a $35bn dedicated high-speed corridor between the two cities, but the timeline for its construction is still unclear, as the rail company is waiting for the proper funding arrangements. By the end of 2015, RZD aims to have more than 2,500km of high-speed rail running between Moscow and Kiev, Minsk and Kursk.
..
More than simply providing technology for Russian projects, European companies are increasingly forming joint ventures with their Russian counterparts to trade their technical nous and financial investment for a larger presence in the country's lucrative rail market.
Siemens itself entered a joint venture with Russian investment company Sinara Group to form Train Technologies in 2011. The new company has set up a production plant in the Russian city of Yekaterinburg, and is supplying 240 modified Desiro train sets to RZD for regional services during the coming years, with the first trains set to go into service in Sochi in autumn 2013.'
- Chris Lo,
Russia's railways: connecting a growing economy, 1 May 2013</blockquote>
'..improving the country’s infrastructure is vital if economic growth is going to succeed.'<blockquote>'Russia is increasingly becoming regarded as a country with strong infrastructure growth opportunities, particularly within its airports, roads and rail technology. Not only are the cities facing the need to improve their quality of life but improving the country’s infrastructure is vital if economic growth is going to succeed.
Many of the country’s roads, for example are unable to support long haul trucks in travelling more than 300 kilometres a day. It is believed that the overall reliability of Russia’s main rail lines has dropped severely to levels reminiscent of the Soviet Union in the 1960’s. The number of people using rail transport has dropped by 43.5% since 1990.'
Action Needed for Russia’s Infrastructure, 08 June 2011</blockquote>
<blockquote>'In light of the huge problems facing the sector, Sokolov backed suggestions by other industry executives that Russia may need to transfer some of its infrastructural assets to private investment funds for long-term exploitation and efficient management.
Russia should have no problems attracting private investors to finance and manage its infrastructure projects, said Yves-Thibault de Silguy, the vice-chairman of the Board of Directors of VINCI, a major French construction company and a participant of the round table.
Much more serious, however, is the high level of corruption and the absence of a level playing field for contractors in Russia, especially in the regions, he said.
“There’s a world of difference between the way well-connected contractors and private contractors are treated in many regions,” Thibault de Silguy said. “Well connected insiders appear to have monopolized various construction projects, effectively discouraging private investors.”
The perennial problem of corruption in Russia has also prompted other executives to suggest that a lack of investment is not the primary problem infrastructure development in Russia is facing.
“The main issue is horse-and-buggy regulation and the presence of legions of rent-seeking officials in the sector,” said David Fass, the CEO of Macquarie Group Limited in Europe, Middle East and Africa.
Over the past decade, yields on investment in infrastructure projects have tripled, indicating that foreign investors would gladly provide infrastructure equity dollars, Fass said. However, there is an acute need for fair play in awarding contracts as well as creating equal conditions for all contractors, he added.
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Russian Railways chief also criticized the three-year-long budget policy, introduced last year, saying that it is too tight for long-term infrastructure projects. “What is three years for infrastructure investments that require at least 25 years to break even?” Yakunin asked.'
- Tai Adelaja,
Russia’s Creaking Infrastructure Is in Dire Need of Private Investment, 22/06/2012</blockquote>
<blockquote>' "Russia inherited significant elements of a modern industrial infrastructure from the Soviet Union, including an oil and gas industry, a mining industry, a railway network, a power network, and urban transport and municipal services. However, the infrastructure was often inefficient, and there were notable gaps, particularly in telecommunications and transport," says Nell.'
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An invisible infrastructure boom is underway in Russia, November 18, 2011</blockquote>
Context<blockquote>
Rail still at the heart of Russia’s economy'..Strategy for Developing Rail Transport in the Russian Federation up to 2030'China's railway investments are going to expand 2013China plans bullet trains to 17 nationsChina Sees Growth Engine in a Web of Fast TrainsEurope. Economics & Energy - IT - Transport</blockquote>