Vietnam PM Ratifies ADB Loan Agreement for Southern Coastal Corridor

Prime Minister Nguyen Tan Dung has approved the negotiation results and contents of a loan agreement, a grant agreement and related documents of the Asian Development Bank (ADB) supplemented credit package for the southern coastal corridor project. The Governor of the State Bank of Vietnam Nguyen Van Binh was authorized to ink the loan agreement and the grant agreement with the ADB, the government said on its website. The 950km-long route begins in Thailand’s capital city of Bangkok and runs through Cambodia to finish in Ca Mau city of Vietnam. It is part of the Sub-Mekong regional cooperation program. The $398 million project is funded using preferential loans of the South Korean government and the ADB, grants of the Australian government and reciprocal capital of the Vietnamese government. Once operational, the road is expected to facilitate travels and goods circulation in the region and open up possibilities for exporting goods to Cambodia through the Ha Tien International Border Gate in Kien Giang province. Vietnam is responsible for building 217 km from Xa Xia border gate to Ca Mau province. (news.gov.vn Apr 4, Thoi Bao Ngan Hang Apr 5 p2)