State railways sign cooperation deal with Deutsche Bahn

The state railway company BDZ has signed a co-operation deal with its German counterpart Deutsche Bahn during the international exhibition of transport vehicles InnoTrans. The Germans will reportedly consult BDZ on restructuring and cross-border projects. The two railway companies will also consider joint undertakings aimed at providing competitive transport services in the region of Central and Southeast Europe. A press release of Deutsche Bahn reads that its own restructuring experience could help BDZ in setting up more efficient transport services. BDZ is in a process of separating infrastructure and operational entities as well as removing cross-subsides from the profitable cargo transport to passenger services. However, the slow process of restructuring has not brought any financial improvement by far and BDZ remains heavily dependant on state subsidies.