The Third Year of Decline: “russian railways” Cutting Investments

“russian railways” has approved an investment program for 2026 with a sharp reduction of almost one-fifth, which looks like an admission of managerial failure. Against the background of chronic stagnation in the transport system, such funding cuts only accelerate its degradation. Instead of development and modernization, most resources are directed toward the primitive maintenance of worn-out facilities and minimal transport safety.

The situation is particularly critical with four projects that were supposed to increase the throughput capacity of approaches to Baltic ports. Judging by the funding, their implementation in 2026 has been effectively derailed. This means that strategic directions remain blocked and the economy is losing export opportunities.

Investment has been declining for the third year in a row, demonstrating a systemic crisis in transport infrastructure. Key projects are not being implemented, contractors are out of work, and the railway network is falling into disrepair. These are not just problems of a single industry – they reflect the overall degradation of russia’s economy, which is unable to support even basic investment programs.

An additional sign of weakness was the decision to postpone for three years the start of construction of the Arctic railway corridor – the Northern latitudinal railway,  the cost of which exceeds 800 billion rubles. The sources of funding have not been determined, which makes the prospects for the project illusory.

Against this background, the government’s plans to “revive airships” are in fact a desperate attempt to create the illusion of technological development. The concept for 2035 refers to cargo and passenger airships as “promising technology”, but in the context of systemic funding shortages and the failure of key infrastructure projects, such statements only underscore the chaotic and helpless nature of transport policy.

The market sentiment is clear: investments are falling, projects are being cancelled, and strategic plans are turning into fantasies.