Uzbekistan Railways to invest $150 million in locomotive and carriage modernization by 2033

As it was previously reported, on August 6, Shavkat Mirziyoyev reviewed a presentation on reforms in the railway sector.

During the meeting, plans were revealed to purchase and modernize 50 locomotives. The head of Uzbekistan Railways, Zufar Narzullaev, explained to Uzbekistan 24 TV channel that this would be done in stages without attracting loans under state guarantees, as was done before.

"All 50 locomotives will not arrive in one year — we will study the need and purchase each year. As the remaining locomotives become outdated, the next one will be bought, and by 2033, all locomotives will be delivered," said the head of Uzbekistan Railways.

Additionally, $50 million is planned to be allocated for the reconstruction of 70 passenger cars. According to Narzullaev, the work will be carried out at UTY's own plant — the cars will be lengthened from 24 to 26 meters and updated to modern standards.

Another $70 million will be allocated for the production of freight cars. Uzbekistan Railways plans to modernize three carriage plants for $30 million; currently, technical and economic justifications for these projects are being prepared.

Consultants from PwC, a member of the "Big Four" companies, have been engaged in the transformation process of UTY on the recommendation of the Ministry of Economic and Financial Affairs, Narzullaev noted. With their help, corporate practices are being updated.

In the first and second quarters of this year, UTY paid profit tax, indicating financial recovery. According to Narzullaev, the company expects to end the year with a profit.