SRT plan sees debt-asset swap
The Finance Ministry has agreed to take over the State Railway of Thailand's debts, amounting to Bt37 billion, in return for ownership of SRT land worth Bt4 billion that has until now been rented by government units.
The plan was reached in a meeting yesterday between caretaker Transport Minister Pongsak Ruktapongpisal, caretaker Deputy Finance Minister Chaiyot Sasomsub and National Economic and Social Development Board secretary-general Ampon Kittiampon. It will be forwarded to the Cabinet for approval before the end of the month.Pongsak said the SRT would be left with debts of Bt5.7 billion. It will have to set up an asset-management unit within a month to boost returns on its assets so it can pay overdue pensions amounting to Bt50.2 billion, he said. It should also set up a provident fund within six months, to be financed by its income from the development of land in the Makkasan, Phaholyothin and Chong Nonsee areas. After its financial restructuring, the SRT will have to implement organisational changes, Pongsak said. It will need to split the management of its rail system and its operating system. While the government will finance the rail network, the SRT must in future run the network so as to earn enough income to finance its operations without creating more debt, such as by introducing more transport services, he said.
|
