The potential of new capacity investment will not realize its full potential without appropriate regulations, policies and reforms. This is particularly true in a country transitioning toward a market economy and in a sector with strong government intervention. Capital investment, therefore, should be complemented with a wider set of intertwined measures, including government regulations, sector policies and necessary reforms. A stepwise approach should be employed to develop such non-physical measures, which include enhancing the market environment for private sector participation and sustaining transport finance with dedicated transport sector revenue