Kazakhstan Government to discuss restructuring of railroad company

/IRBIS, March 11, 01/ - According to REUTERS, Government of Kazakhstan (GOK) would discuss restructuring project of Kazakhstan Temir Zholy (national railroad operator) on its meeting tomorrow. The GOK intents to divide Temir Zholy on three or four private and one state companies. The restructuring could separate passenger service, which is currently unprofitable, from other sectors. The passenger services should be operated by state or private company. In the last case, the company will be subsidized or will receive exclusive government contract on these services. Profitable freight services could be transferred to several private companies, while 60% of the present market volume would be left to Kazakhstan Temir Zholy. All controlling function will also be left to Temir Zholy. The reforms will not start before 2002. Kazakhstan Temir Zholy is biggest company by its staff, 127 th. of personnel. The company is also big employer for social sector workers including teachers, physicians, etc. At present company operates 13.6 th kilometers of railroads, main source of transit, export and import transportation.