Moldova Railways to be reorganized and transformed into joint-stock company

Government approved at today’s meeting a draft law on the reorganization of the state-owned enterprise Moldova Railways (CFM) by transforming it into a joint-stock company. The measure is part of the reform of the railway system and its alignment with European standards.

According to the draft law, the new structure will allow for the application of the provisions of the Railway Transport Code and the separation of the railway infrastructure manager from railway transport operators.

CFM-Infra stock company is to be set up, which will take over the assets, rights and obligations of the state-owned enterprise Moldova Railways under the conditions established by law and based on the transfer document and the reorganization balance sheet.


“The draft establishes a special legal framework for the reorganization of CFM, including the transfer of assets, the formation of share capital, creditor protection, the transfer of rights and obligations, as well as the financial and fiscal measures necessary to complete the process. The Public Property Agency will coordinate the entire reorganization procedure. The institution will organize the preparation of the relevant documents, coordinate the inventory, delimitation and valuation of the assets, and determine the share capital structure of ‘CFM-Infra’,” explained Deputy Prime Minister Vladimir Bolea, Minister of Infrastructure and Regional Development.


At the same time, Moldova Railways will be required to ensure the inventory of its assets, the preparation of financial statements and the reorganization balance sheet, as well as the continuity of its activities until the process is completed.

According to the draft law, a key principle is the continuity of public railway transport services and the functionality of national infrastructure. The reorganization must not lead to interruptions in railway services or affect critical infrastructure. The draft also provides for the protection of creditors and employees, the genuine and fair valuation of assets, transparency in decision-making, and the introduction of modern corporate governance principles.

Prime Minister Vasile Tofan described the decision as appropriate and necessary, calling it “a practice applied throughout the world,” which brings benefits by separating passenger services from infrastructure management.

Following the state registration, the governing bodies of CFM-Infra stock company will ensure the takeover of the state enterprise’s assets, rights and obligations and organize the company’s operation as the railway infrastructure manager.

The draft law will be submitted to Parliament for review and adoption.