$300m China Eximbank loan to fund expressway project

Monday, Nov 03, 2014 17:32


Viet Nam will use a $300 million loan from China Eximbank to build the Bac Giang-Lang Son highway. — Illustrative photo baomoi.com

HA NOI (Biz Hub) ─ Prime Minister Nguyen Tan Dung has ordered concerned ministries to use a US$300-million loan from China Eximbank to construct a highway connecting northern Bac Giang and Lang Son provinces.

The Prime Minister announced the task of the finance, transport and planning and investment ministries in Dispatch No. 2167/TTg-KTN, which was issued last October 30.

According to the dispatch, the development forms part of the 64km Ha Noi-Lang Son Expressway, which is to be built in the first quarter of 2015 and completed in the second quarter of 2018.

The expressway links the capital with the Huu Nghi border gate, which leads to China's Nanning City, and will cost about VND14.8 trillion ($704.76 million), according to Thanh Nien (Young People) online.

Dung revealed that Viet Nam would no longer borrow the money for the construction of the expressway from the Asian Development Bank (ADB).

But the ADB will focus on providing Viet Nam with funding for the project's technical designs, added the Prime Minister.

He has approved in principle the development of the project under the build-operate-transfer scheme. — VNS

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