Thailand to Laos and Burma road links approved

Construction News Laos

Thailand to Laos and Burma road links approved

The Thai government approved infrastructure investment projects yesterday in Laos and Burma worth a combined 4.2 billion baht.

The first project is the two-lane R11 Lao road construction linking Baan Thad Thong of Nong Khai province with Baan Namsang of Saengthong city in Laos covering 56 kilometres. This project is valued 1.39 billion baht with construction from 2011-2014.

Tharadol Piempongsan, deputy secretary to Prime Minister Abhisit Vejjajiva, said the road will be built along the Khong River in Laos to enhance tourism between the countries.

The second project is an extension of 7.5 km of railway from Tha Nalaeng in Laos to Vientiane worth 1.65 billion baht. Rail already links Thailand‘s Nong Khai province with Tha Nalaeng. The extension is planned for construction from 2011 to 2014. This project will benefit tourism and transportation between the two countries.

Mr Tharadol said the Thai government will grant 30% of the amount required for these projects with the remainder allocated through soft loans carrying an annual lending rate of 1.5% for 30 years.

In a related development, a committee to develop economic co-operation in neighbouring countries chaired by Deputy Prime Minister Trairong Suwankhiri agreed yesterday to grant 1.16 billion baht to improve the existing 18-km road from Myawaddy-Tanintharyi and build a new 28.6-km road from Tanintharyi to Kaukarek district in Pa-an, the capital of Kayin State. These projects will take place from 2011-2013.

Mr Tharadol said the project will boost border trade between Thailand and Burma, particularly through the Mae Sot border checkpoint that generated trade of 25 billion baht last year.

Source: Bangkok Post

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