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News

Restructuring Vietnam Railways Necessity to separate freight and passenger transportation

The Hanoitimes – Vietnam’s railway sector is at the crossroad as reform is needed to stay ahead, or facing the risk of being left behind. The restructuring process now put focus on the divestment process of Vietnam Railways (VNR)

The Hanoitimes – Vietnam’s railway sector is at the crossroad as reform is needed to stay ahead, or facing the risk of being left behind. The restructuring process now put focus on the divestment process of Vietnam Railways (VNR). With regard to the equitization process of VNR, the government is expected to reduce its share at the company to 51% to invite investors, with an aim to implement restructuring plan and competing with other transportation models, said the Chairman of Board of VNR Vu Anh Minh. VNR has previously completed the first phase of restructuring plan in scaling down its business lines, which focuses on freight transportation and increased the chartered capital to VND 3,2 trillion (roughly US$ 141 million). In period 2017 – 2020, VNR will continues...