Work on construction of a “modern” village started on October 12 in Saythany district, 16km from downtown Vientiane with funding from Vietnam.

The US$25 million project is mostly contributed by Vietnam’s Vinh city (70 percent). The capital city of Vientiane contributed 20 percent of the capital and Sommai company, 10 percent.

The 14ha “modern” village project is designed to have 100 villas, a nine-floor hotel and a five-storey plaza.

The project is expected to be complete in 2010 to serve the 25th SEA Games and welcome the 450th founding anniversary of Vientiane capital city.