The amount is so big it’s enough to derail your train of thought.
“According to a Commission on Audit (COA) report, the Philippine National Railways (PNR) is P24 billion in debt and cannot even sustain its annual operations without national government support,” reports Michael Punongbayan in The Philippine Star.
The COA stated, “Without subsidy from the national government, PNR would not be able to construct railroads, rehabilitate and improve its existing rail system and is not financially capable to sustain operations.”
READ: PNR train gets derailed in Sta. Mesa
The COA report also added that “the PNR’s cash flow statement on money provided and used in operations, excluding subsidy, for the last five years showed that cash received from various sources of income was not enough to cover regular maintenance and operating expenses.”
The COA recommended that “in order to address the problem, the agency should also undertake a complete physical inventory of all assets and improve the accounting system for proper recording of transactions to provide reliable information and financial reports that are vital in decision making by top management.”
Now, what does that mean?
It means the people who are running the PNR should find a solution to the railway’s problems ASAP.
Screengrab from the dzRH website
