Cambodia, South Korea Sign Two Loan Deals Worth US$420 Million

The Royal Government of Cambodia (RGC) and the Government of the Republic of Korea (RoK) signed here this morning the Framework Arrangement concerning Loans from the Economic Development Cooperation Fund (EDCF) for the period 2016-2018.

The document was inked by H.E. Prak Sokhonn, Cambodian Senior Minister and Minister of Foreign Affairs and International Cooperation and H.E. Kim Weon-jin, Ambassador of RoK to Cambodia.

Under the newly signed framework arrangement, the Korean government committed to providing loans to the RGC up to US$350 million till 2018. Based on this framework arrangement, the two governments will work closely to develop projects in diverse sectors such as transportation, health, and rural development sector.

Moreover, both sides also signed the Arrangement concerning a Loan from the EDCF for the Upgrading of National Road No.48 Project.

The Korean side will support US$67.4 million of EDCF loans to the project for improving 150-kilometre-long National Road No.48 in Koh Kong province.

It is expected that these loan deals will contribute to further strengthening the cooperative relationship between the two countries, which marks the 20th anniversary of re-establishment of their diplomatic relations.

Since 2001, the Korean government has committed US$882.7 million for 21 EDCF projects to Cambodia.

Source: Agency Kampuchea Press