DRASTIC RAIL REFORM ROUND THE CORNER IN RUSSIA








MOSCOW, MARCH 13, 2001 /FROM RIA NOVOSTI CORRESPONDENT PAVEL SHEVTSOV/--The coming reform will provide stability, popularity, safety and efficiency of Russia's national rail, said Nikolai Aksyonenko, Russia's railway minister.


	Appearing in the State Duma, Russia's lower parliamentary house, the minister stressed that the rail reform will help attract additional investments in the sector and modernize material and technical funds.


	In compliance with the reform, the railway ministry will stop running its property and economic activities, focusing on state management and regulation of the rail network.


	Plans call to establish an open joint-stock company Rossiiskiye Zheleznye Dorogi which will work as an independent enterprise. All rail property will be privatized so that the company owns property of all state rail enterprises and entities.


	At the same time the entire 100 percent package of the company's shares will be in the federal pocket and not subject to emission or floating.


	The reform also proposes the separation of financial accounts for profitable freight transit and loss-making passenger traffic.