Myanma Railways-owned enterprises will be privatised step by step, according to an official from the state-run organisation.
“We are unable to make profit in some of our operations. So we will prioritise these for privatisation,” said U Arkar Min, commercial manager of Myanma Railway Division (7).
“In order to get into the public-private partnership (PPP) system we will need some new legislation and preparation,” he added.
Myanma Railways has posted repeated losses in its cargo and passenger servicing operations, but it usually covers some of the losses with profits from advertisements on trains and leasing its own land.
“We have to think carefully before we privatise our enterprises. We have to also decide on which system we can go for such as BOT or JV and figure out what will be the best for us,” said U Arkar Min.
The tender for refurbishment of Yangon Central Rail Station had been called a few months ago. However, the companies that applied failed to meet some requirements and the tender will be called again, according to officials.
Source: Myanmar Business Today
