RENFE II (RAIL)

closed

The purpose of the Second Railway Project is to assist in financing the second stage (1967-68) of the 1964-73 Modernization Program of RENFE, which is designed to transform the Spanish Railways from an inadequate and financially unsound system into one which is modern, efficient, and operates on a commercial and financially viable basis. This project, amounting to about one-fifth of RENFE's procurement during this period, will be primarily for electric locomotives, passenger and freight cars, and track materials and equipment. The project also includes a revised Plan of Action which incorporates those measures of the original Plan still to be completed, together with additional measures for transport coordination and for improvement of RENFE's operations and finances. The principal changes entail payment in advance by the Government of sums due to RENFE for operating and capital purposes; maintenance of adequate working capital; accelerated reduction of staff; studies of additional light-traffic lines and stations; and a revised and expanded list of studies and measures on transport coordination.