US$5bln funded for Vietnam-Laos express railway project
Giant Consolidated Limited has received US$5 billion of financial assistance from the New Zealand financial institute Rich Banco Berhad to fulfill the construction of a 220km high-speed railway, connecting Savannakhet province with Lao Bao Border Gate on the Laos-Vietnam border.
The US$5 billion Fund Syndication Agreement for the Savannakhet-Lao Bao Railway Project was signed in Vientiane last week, according to the Lao New Agency KPL.
The project is designed to facilitate the transport in Laos and reduce logistic cost for freight forwarding companies, said Mohammad Fadzwi, Chairman of the Giant Consolidated Limited, adding that it will help turn landlocked Laos into a land-link country.
This railway is to create better opportunity for trade and goods transport system and reduce transport time, he said.
Savannakhet is located on the East-West Corridor linking Thailand, Laos and Vietnam.