Japan provides Bt53-bn loan for Bangkok’s Red Line train project

Japan provides Bt53-bn loan for Bangkok’s Red Line train project

The Red Line commuter train project for the Bang Sue-Rangsit route will be extended a Bt53.48-billion loan by the Japan International Cooperation Agency (Jica) for its construction, with it slated to be operational in 2020.

Finance Minister Apisak Tantiworawong and Shiro Sadoshima, ambassador of Japan to Thailand, on Friday signed a cooperation agreement between the two nations for the implementation of the Red Line project’s third contract.

Apisak also signed a contract with Hiroo Tanaka, chief representative of Jica, for a loan to finance the commuter train project.

Under the financial cooperation, Jica will extend the preferential-term loan of Bt53.48 billion to the State Railway of Thailand, as the agency responsible for the Red Line project.

The lending rate will be charged at 0.30 per cent annually for procuring products and 0.01 per cent annually for consultants plus a front-end free of 0.20 per cent of the loan value. The payment term was set for 15 years with a grace period for the first five years.

Source: http://www.nationmultimedia.com/breakingnews/Japan-provides-Bt53-bn-loan-for-Red-Line-train-pro-30296591.html