Present report was prepared within a framework of an in-house project of “Open Society Georgia Foundation” – “Georgian Railway LLC – Drafting an Analytical Report”. Project was implemented from October 2007 through January 2008. In light of significance of Georgian Railway for country’s political and economic development, the project aimed at analyzing and assessing the railway policy pursued by the Georgian authorities. In view of public interest and relevance of the topic, “Open Society Georgia Foundation” found it important to elaborate an analytical report that would examine legal grounds of privatization of the Georgian Railway and its transfer under management right, as well as in general, relevance of the railway for Georgian economy in light of country’s transit potential. Report reviews the following issues: Relevance of the railway reform and its significance in international context; Transit potential of the Georgian Railway; Role of the Railway in Georgian economy; Privatization and transfer under management right of the Georgian Railway; Economic Analysis of the railway functioning; Conclusions and recommendations.
