RoK aids Mekong Delta highway project
(VOV) -The Republic of Korea (RoK) has pledged a US$200 million loan to help Vietnam implement a highway project in the Mekong Delta region.
The Lo Te-Rach Soi highway will be built in southern Can Tho and Kien Giang provinces, connecting to the Vam Cong bridge and southern coastal belt.
An agreement to this effect was signed in Hanoi on April 5 by Deputy Minister of Finance Truong Chi Trung and Chairman of the Export-Import Bank of Korea, Kim Yong Hwan.
Under the agreement, the ODA capital will be channeled through the RoK Development Cooperation Fund (EDCF) with a preferential annual interest rate of 0.1 percent over 40 years.
The two governments have reached an agreement on providing loans from the EDCF in the 2012-2015 period. Accordingly, the RoK will grant credit loans worth a total of US$1.2 billion to help Vietnam implement infrastructure and climate change adaptation projects.
The EDCF has already provided US$1.7 billion for 43 projects in Vietnam, which is the largest amount allocated among the Fund’s 50 aid recipients.