|The transport ministry and the Korea International Co-operation Agency (KOICA) sign a a Record of Discussion to study the feasibility of a 500 km-long railway link from Laos' Vientiane to Vung Ang in central Ha Tinh Province of Viet Nam. — Photo KOICA Viet Nam
HA NOI (VNS) — The transport ministry and the Korea International Co-operation Agency (KOICA) today agreed to study the feasibility of a 500 km-long railway link from Laos' Vientiane to Vung Ang in central Ha Tinh Province of Viet Nam.
"The Korean government is ready to share hi-tech in railway construction actively with Viet Nam. After the feasibility study and the approval of substantial financing, the two governments' strong will, commitment and appropriate support will be required to implement the construction," Country Director of KOICA Viet Nam Chang Jae-yun said at the signing ceremony of the record of discussion.
The study will be conducted with a $US3-million ODA grant from KOICA for three years from 2015, with the aim of preparing a master plan and providing capacity building to the railway sector in the two countries.
With technological assistance from Korea, which has fully developed railways, the project can support Laos – a land-locked and poorly developed country – in building railway infrastructure in coastal areas. The project is expected to not only help improve the quality of life of the people in Viet Nam and Laos, but also revitalise their bilateral trade and industrial economic development.
After being established in 1967, the ASEAN -- with a population of approximately 630 million and the seventh largest economic bloc in the world-- is speeding up its integration. By promoting transport network construction such as railways, it has taken substantial efforts for logistics integration in preparation for the establishment of the ASEAN Economic Community (AEC) at the end of 2015. — VNS