The Moldovan government is finally stepping in in the rail wage crisis. Moldovan Railways (CFM) employees have not received wages since July 2024, and threatened to stop working altogether in the coming weeks out of protest. Now, the government is freeing up state fuel reserves to allow CFM to pay its wage debt.
The total wage debt of CFM has reached about 10 million euros. In order to free up money elsewhere, the government is giving the company 250 tonnes of diesel. The hope is that the saved money can then be used to pay out wages for the employees. “It is a single tranche of 250 tonnes of diesel. There are no conditions for return because they are released as an unblocking measure”, a Moldovan official told the press.
Infrastructure boost
Similarly, the country’s Minister of Infrastructure and Regional Development, Vladimir Bolea, announced on February 14 that Moldova intends to boost CFM’s business through investments in infrastructure. The state could allocate 400 million lei (20,4 million euros) annually for five years for the maintenance and modernisation of the railway network.
CFM’s business crashed after Ukraine successfully defended the port of Odesa. That allowed for the resumption of exports over sea, annulling the need for diversions through Moldova and Romania. As a consequence, CFM could no longer transport large volumes of Ukrainian exports and lost the associated revenue.