The director of the state-run company “Moldova’s Railways” Iurie Topala considers privatizing the company would be the most stupid mistake and this won’t be a solution for overcoming the difficult financial situation experienced by it. In an interview for Radio Free Europe, Topala said the problems faced by the company could be solved, for example, by ensuring a new railway connection with Ukraine, which will increase freight traffic following an agreement to restore the railway segment between the stations Berezino, Odesa and Basarabeasca, IPN reports.

“If they keep me here, they will no longer want to privatize as I will increase the assets to about 30 billion lei, from the 2 billion lei today. If this company is sold, it should be at least sold at a high price, not at a derisory one. Privatizing “Moldova’s Railways” would be the most stupid mistake. This would be the limit,” stated Iurie Topala.

The director said the railcars can be privatized, but the infrastructure should not. “If taking into account the Government decision on the price of a hectare of land, our 15,000 hectares cost about 15 billion lei. If we privatize “Moldova’s Railways” today, it will cost 2 billion lei according to the balance sheet. We own seven times more land, not speaking about scarp iron. If we sell scarp iron, which totals about 700,000 tonnes on the railways, we can earn a lot of millions,” he stated.

Iurie Topala noted that the situation at the company is critical, but assured that he can remedy it. “We want to build one more border crossing point between Ukraine and Moldova. The current point from the direction of Odessa goes through Cuchurgan. We would like one more border crossing point in the south, at Basarabeasca. We signed an agreement to start building it. In Ukraine they have to construct about 20 km of railways to the border with Moldova,” he said.

The director also said that he needs about a year to show that “Moldova’s Railways” can become a company that will no longer generate losses.