Implementation of Restructuring Measures in the Railway Sector |
Georgian Railways Limited was established in 1998, as a state-owned limited liability company. Following this, the European Bank for Reconstruction and Development granted a loan to GRL to be used for upgrading the Trans-Caucasian rail link connecting the Black Sea ports to Baku port in Azerbaijan . In addition, an EU TRACECA study completed at the end of 1998 defined a plan for restructuring of GRL into independent business units and implementing modern financial planning and management practices in line with international standards. Corporate Solutions was selected from amongst six consulting companies to assist GRL with the implementation of restructuring measures and the establishment of sound financial management practices and reporting systems. Over a period of 18 months our team of business consultants, IAS accountants and railway specialists helped GRL to define a new organisational structure, implement IAS accounting procedure and introduce an effective business planning process. In 2004, Corporate Solutions was invited by the EBRD to conduct a detailed due diligence study to define a new investment project of some $12M in value to invest in new rolling stock and track maintenance equipment. |