Rail plans with
The cabinet yesterday approved joint investment plans with
However, ministers scrapped a proposal to borrow US$400 million from
Chinese products must also make up at least 50% of expenses, and principal and interest must be paid twice a year.
Originally, the Transport Ministry planned to use the loans from
However, it was the Transport Ministry itself that proposed the borrowing be scrapped since the cabinet had already approved 170 billion baht to upgrade the rail system nationwide.
Transport Minister Sohpon Zarum said the borrowing was no longer needed, and in any case the Thai and Chinese governments are now planning to jointly invest in a high-speed train network, which would need funding on a much more substantial scale.
Deputy government spokesman Vachara Kannikar said the two routes 580 km from Nong Khai to
The joint investment framework would cover technology transfer, appropriate routes and rail management.
Mr Vachara said the Chinese and Laotian governments had already agreed to build a standard-gauge line of 420 km from
The transport ministries of