RŽD employs around 700,000 people. Recently, however, according to the Reuters agency, it has been struggling with the negative economic effects of the Russian invasion of Ukraine. Its income is decreasing, while the cost of borrowing is increasing due to high interest rates.
The Reuters agency already reported last month that the Russian government is exploring options for improving RŽD’s financial situation. According to sources, the decision to sell the skyscraper was taken at a cabinet meeting held last week.
However, no decision has been made on other measures previously considered, which include freight price hikes, debt restructuring, state subsidies and tax breaks, one of the sources said. According to this source, the possibility of converting part of the debt into shares remained on the table.
