In 2024, Russia’s State Transport Leasing Company is set to move over 3,000 urban mobility units to regional networks, with the majority being buses funded under the National Welfare Fund program. This update comes from the company’s press service.
Public transport across the country is advancing rapidly with a trend toward younger fleets. At the start of 2022, roughly one in six buses operating in Russia met the standard age limit of ten years for a large-class vehicle. By early 2023, that figure improved to one in five, and by 2024 the pace of renewal had quickened even more.
Officials from the State Transport Leasing Company credit this turnaround to broad based government support that backs fleet renewal and modernization across multiple regions.
Today Russia operates seven distinct public transport development programs at the regional level, including two leasing initiatives managed by the State Transport Leasing Company itself.
These efforts include updates under the national Safe Quality Roads program and a parallel investment project funded through the National Welfare Fund, both pursuing a similar renewal strategy.
Through its leasing operations, the company finances the manufacture of new Russian equipment, guarantees long term orders for factories, stimulates investment in production, and grows its own capabilities. New transport options are offered to regional carriers on favorable terms, including zero upfront payments. This approach helps city budgets avoid additional strains while enabling carriers to modernize their fleets without imposing higher costs on passengers.
A notable example of preferential leasing activity is a contract for 350 LiAZ large-class buses destined for Russia’s northern capital. The buses are being leased for seven years at 6.8 percent under the National Welfare Fund initiative, a rate that is roughly half the Central Bank of Russia’s key rate. The first batches have already been delivered to the city carrier, with the remaining units still under construction.
In February 2024 a second major deal was completed for the delivery of 191 VOLGABUS 4298G4 buses to Astrakhan. The National Welfare Fund project is projected to reach 73.3 billion rubles in total investment by year end, translating to more than four thousand modern buses on the nation’s roads.
The State Transport Leasing Company stresses that these preferential rental programs meet strong market demand. They facilitate the renewal of aging fleets under favorable conditions and enable transport reforms to proceed even in regions with tighter budgets. This approach demonstrates how targeted public investment can accelerate modernization across the country while keeping costs manageable for passengers and local authorities alike.
Source: State Transport Leasing Company