Georgian prime minister Irakli Kobakhidze on Tuesday announced a significant increase in the annual net profit of Georgian Railway, stating that it has risen by 30 percent compared to the same period last year. 

Speaking at a presentation of the railway’s historic renewal plan, Kobakhidze said the company is expected to generate at least ₾40 million more in revenue on a year-to-year basis. He described the growth as an important result and evidence of effective reforms in the sector.

According to the prime minister, a unified vision for railway development has been established for the first time in recent years. The strategy includes a comprehensive 10-year plan covering all key areas of development.

Kobakhidze noted that the plan envisages a full renewal of rolling stock, including the purchase of 50 new locomotives, 1,500 freight wagons, and 10 new passenger trains. These upgrades are expected to significantly increase cargo turnover, improve passenger comfort, and reduce travel time. 

The modernization program also includes a complete upgrade of railway stations and infrastructure, the introduction of modern automated management systems, and the addition of new routes. Among the major projects is the construction of an 18-kilometer railway line connecting to the Anaklia Port.

“Railway stations and railway sections will be fully modernised, modern automated control systems will be introduced, new directions will be added to the railway, and a new 18-kilometer railway line connecting Anaklia Port will be built. We have also announced the renovation of the historical Borjomi-Bakuriani railway, the so-called Kukushka, which is important for our public and from a tourism perspective. Overall, very large-scale investments will be made in Georgian Railways over the next 10 years, the indicative volume is $1.7 billion, which will be mobilised from various sources”, he added. 

Kobakhidze underlined that the results that the government had already achieved in the Georgian Railways showed that with the right approach, it was possible to achieve fundamental results very quickly.

The government head thanked the economy minister and the director general of Georgian Railways for the successful implementation of reforms.

“I would like to thank the minister of economy and sustainable development, under whose supervision and leadership these processes happened in Georgian Railways, and I would also like to express special gratitude to the director general of Georgian Railways, Lasha Abashidze, under whose leadership these reforms and changes were implemented. Thanks to them, of course, this is just the beginning, very important steps will be taken over the next 10 years, which will take Georgian Railways to a completely different level of development”, he concluded.