RZD backs up Ulan-Bator-Eisenbahn (UBZD)
Russian Railways supports UBZD-modernisation The urgently necessary modernisation of the UBZD Ulan-Bator-Eisenbahn AG – also known as Transmongolian Railway among experts – is to become implemented. On 25 August Russia’s President Dmitry Medvedev has signed a decree whereupon the federally-owned shares in JSC Ulan-Bator Railways are being transferred to the trust management of the JSC Russian Railways for five years." Russian Railways provides support is giving practical assistance in the renewal of tracks, upgrading rolling stock and improving transport technology. According to Vladimir Yakunin, president of RZD Russian Railways, the maximum budget for the modernisation of the rail infrastructure in Mongolia is USD 6.5 billion. USD 2.2 billion thereof will be invested to overhaul the existing rail-network, about USD 0.4 billion to renew the fleet and USD 3.9 billion are available to build the new routes Dalanzadgad – Suunebajan and Sainshand – Bajantumen. The modernisation of the rail transport system shall boost the social and economic development in Mongolia. The target is a more efficient exploitation of natural resources in the Ömnö-Gobi region (South Gobi) and the creation of modern transport infrastructure to develop industrial centres in Mongolia (as for example in Sainshand). Moreover Ulan-Bator Railways shall play an important role as an artery for transit and foreign trade. The Joint Stock Company Ulan-Bator Railways was founded in 1949 as a result of an agreement between the governments of the Soviet Union and the Mongolian People’s Republic. The JSC UBZD is the major provider of transport services in Mongolia. More than 60 per cent of the domestic goods transportations are carried out by the company. Ulan-Bator Railways operates a 1,815-kilometres route network and has around 16,000 employees. |