The Chinese government has attached great importance to working with Laos to build the planned US$7 billion Laos-China rail project, according to the Chinese Ambassador to Laos.
Mr Guan Huabing spoke to Lao and Chinese media through an interpreter in Vientiane yesterday to revise the Laos Chinese cooperation ahead of Chinese National Day on October 1 and said the determination of the Chinese government to push for the construction of the project had “never changed”.
He said the mega-project required huge capital and both countries were exploring the details of a win-win cooperation deal.
Mr Guan said the project needed to be properly analysed to settle on what he described as a “reasonable and possible form of cooperation”.
He said the rail project was strategically important and would not only help Chinese and Lao economic development, but would offer benefits to every country in the region.
The planned railway would form part of the Asean-China rail link, beginning in China's Yunnan province and running south to Singapore through Laos, Thailand and Malaysia.
Deputy Prime Minister in charge of economic affairs, Mr Somsavat Lengsavad, told the National Assembly in July the government had given the go-ahead for the 421km railway, which would link Vientiane to the Laos-China border.
“We will definitely develop the project,” he said.
Mr Somsavat said there had been absolute agreement by both countries on the project.
In April this year Minister of Public Works and Transport, Mr Sommad Pholsena, told local media there were no obstacles to the project's development even though the two governments were still in negotiations.
Exact dates to begin or complete construction of the railway have not been pinned down following delays and changes to an initial joint venture plan between Vientiane and Beijing.
Under the original plan, China would fund 70 percent of the project, to kick off in 2011 and be finished by 2015.
The project was delayed after a Chinese construction company reportedly pulled out.
However, the Lao government is determined to bring the project to fruition and still hopes to obtain financing from Beijing.
The National Assembly approved a bill at an extraordinary session held last October to enable the government to proceed with the project.
By Times Reporters (Latest Update September 19, 2013)
Laos National assembly gives the green light. but they never thought, where are the moneys? now it became to Mr somsavath's work to look and beg the help from Chinese government.
Laos National assembly gives the green light. but they never thought, where are the moneys? now it became to Mr somsavath's work to look and beg the help from Chinese government.
