The Transportation Sector: A Key to Achieving Desired Growth Rate
The transportation sector, led primarily by struggling public enterprises, is a cornerstone for achieving the desired growth rate. In the first half of 2024, the sector generated an added value of 5,094 Mtnd, accounting for 5.4% of the GDP.
Among the pillar companies, we find the Sncft, which reported a net worth of -1,029.1 Mtnd before allocation at the end of 2022. The company requires a medium-sized recapitalization, especially considering the possibility of revaluing its assets. A few dozen million dinars, which are not easily obtainable in the current context, would provide a much-needed breath of fresh air.
The company generates revenue, and its operating result is balanced. According to INS statistics, passenger transportation reached 14,578 Mtnd over the first six months of 2024, averaging 2,429 Mtnd per month. In 2023, the average was 3,041 Mtnd, indicating a decline. Freight transportation generated 13,831 Mtnd, averaging 2,305 Mtnd per month, compared to 2,415 Mtnd for the entire year 2023.
This decline is explained by the obsolescence of the company's means. A large investment program is needed, requiring state support. For comparison, in 2010, freight transportation brought in average monthly revenues of 4,952 Mtnd to the Sncft, while passenger transportation averaged 4,558 Mtnd.
Achieving balance is theoretically possible. At the same time, citizens must behave better. It is no longer acceptable to see the company's equipment, acquired through foreign debt and taxpayer money, damaged by stone-throwing or burned during protests. Ultimately, improving our quality of life is a shared responsibility.
