Georgian Prime Minister Irakli Garibashvili met with the Vice Prime Minister, Minister of Economy and Sustainable Development Levan Davitashvili, Deputy Minister Guram Guramishvili, and David Peradze, CEO of Georgian Railway JSC.

Participants in the meeting stressed that 2022 was Georgian Railway’s best year in terms of profit, which totalled a record-breaking figure of GEL 283 million. The throughput indicator also set records, with an annual growth rate of 22% in this direction.

Additionally, future railroad development plans were discussed. The meeting noted that this year saw advancements in modernization, stressing that it would result in a rise in cargo throughput from 27 million to 48 million tons by the end of 2024.

The fleet of railcars has been updated, and infrastructure significantly improved. A hundred railcars made in Georgia have already been delivered to the company.

Improvements to the infrastructure and modernization of the railroads will continue this year. The railroad connecting Baku, Tbilisi, and Kars is 87% finished. Currently, this 180-kilometre section is operating in test mode. The project’s first phase is expected to be finished in 2024, at which point the section’s throughput capacity will increase to 5 million tons.

The discussion at the meeting also included the draft Law of Georgia on Amending the Georgia Railway Code, which aims to reform the rail transportation sector. It was noted that the start of the rail transport industry’s reform and the implementation of its initial phase are crucial for harmonising Georgia’s transportation laws with EU legislation and for creating a new institutional framework in the area of rail transport. The state’s role in rail transportation will be described in terms of carrying out state policy, monitoring the sector, and enforcing safety regulations.

Georgian Railway, a company with a 150-year history, will become even more competitive as a result of the industry’s reform and restructuring, and opportunities for fully realising its business interests and safety management will significantly increase.