Auction for the modernization of the Gara de Nord Bucharest railway station

• 4000 employees to be laid off in this economic sector

The Ministry of Transports and Infrastructure will hold an auction in three months for the modernization of the Northern Railway Station, Constantin Axinia, undersecretary of State in the Ministry of Transportation, announced yesterday.

He said: ""The feasibility study is already done. In three months, we will hold an auction for the modernization of the railway station, which will be finalized in about two years, at which point it will be turned into a modern mall".

The official said that the Romanian state will use supplier credit, meaning the private company will provide the necessary funds, and it will then be reimbursed for its investment upon handover of the project, with an interest calculated based on the reimbursement period.

Axinia said that this procedure will be used for the modernization of other railway stations, such as Baia Mare and Arad, as well as for bringing to the Gara de Nord - Otopeni line up to European standards.

On a different note, part of the companies belonging to the railway companies, CFR SA, CFR Călători (CFR Travellers) and CFR Marfă (CFR Goods), will undergo restructuring, which will result in the layoff of some 4000 employees, said Constantin Axinia, at a railway-related seminar.

Constantin Axinia said: ""In the coming three months, we will identify the expenses and the losses of these captive companies, that only work for the great infrastructure, goods shipping and traveler divisions, and which are losing money for the most part. They will be absorbed by the companies they work for. Numerous positions of directors, deputy directors, and chief financial officers will be gradually cut. Also, some 4000 thousand jobs will be cut following restructuring"".

He provided the example of nine companies of such as Telecomunicaţii CFR, Electrificare CFR, Întreprinderea de Reparaţii Locomotive (IRLU), SC Bază de Aprovizionare, with some of them incurring monthly expenses of up to 4 million lei.