Giant Consolidated Limited has received 5 billion USD of financial assistance from the New Zealand financial institute Rich Banco Berhad to fulfill the construction of a 220km high-speed railway, connecting Savannakhet province with Lao Bao Border Gate on Laos-Vietnam border.
The 5 billion USD Fund Syndication Agreement for the Savannakhet-Laobao Railway Project was signed in Vientiane last week, according to the Lao New Agency KPL.
The railway project is designed to facilitate the transport in Laos and reduce logistic cost for freight forwarding companies, Chairman of the Giant Consolidated Limited Mohammad Fadzwi said, adding that it will help turn landlocked Laos into a land-link country.
This railway is to create better opportunity for trade and goods transport system and reduce transport time, he said.
Savannakhet is located on the East-West Corridor linking Thailand , Laos and Vietnam . Main component of the corridor is the Lao-Thai Friendship Bridge between Savannakhet and Moukdahan (Thailand) and Road No. 9 in Savannakhet./.