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Overview

Lancang-Mekong Fund provides THB 6.5 million to NSTDA for standards for high-speed rail products

Commitments (Constant USD, 2023)$189,555
Commitment Year•2023Country of Activity•ThailandDirect Recipient Country of Incorporation•China (People's Republic of)Sector•Transport And StorageFlow Type•Grant

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2023
Start (actual)
Apr 3, 2024

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Funding agencies

Government Agencies

  • Unspecified Chinese Government Institution

Receiving agencies

Government Agencies

  • National Science and Technology Development Agency (NSTDA)

State-owned Funds

  • Lancang-Mekong Cooperation (LMC) Special Fund

Implementing agencies

Government Agencies

  • National Science and Technology Development Agency (NSTDA)

Loan description

Lancang-Mekong Fund provides THB 6.5 million to NSTDA for standards for high-speed rail products

Narrative

Full Description

Project narrative

In 2023, the Ministry of Higher Education, Science, Research and Innovation (MHESI) received USD 2.8 million from the Lancang-Mekong Cooperation Special Fund for 13 projects. MHESI directed the National Science and Technology Development Agency (NSTDA) to carry out three of these projects: the technology transfer and value addition of edible mushrooms, sustainable cassava production, and standards for high-speed rail products. The project on standards for high-speed rail products is carried out by Rail and Modern Transports Research Group at the National Metal and Materials Technology Center (MTEC) of NSTDA. The project was provided THB 6,596,497 for two years (2024-2026). The project aims to address identified skills gap in the Lancang-Mekong region’s education, research, development, and industrial sectors when it comes to developing high-standard products for high-speed railway infrastructure. The project will also involve developing local industry standards for high-speed railway projects. An unveiling ceremony was held by NSTDA on April 3, 2024.

Staff comments

1. Other project titles include ‘the Technological Capability Enhancement of Local Industries and Product Standardization Initiative by High-speed Railway Project Requirements'. 2. Some sources state that the 2023 MoU was not approved until January 2, 2024. This issue warrants further investigation. 3. The Lancang-Mekong Cooperation (LMC) mechanism was originally established at the 17th China-ASEAN Summit on November 13, 2014. Then, on March 23, 2016, the Chinese Government announced the establishment of the Lancang-Mekong Cooperation Special Fund which would provide USD 300 million in concessional loans over 5 years (2016-2021) for small- and medium-sized cooperation projects in Cambodia, Laos, Myanmar, Thailand, and Vietnam. Since 2021, each country has signed individual MoU's with the Chinese government to continue financing for projects under the Lancang-Mekong Cooperation Special Fund. It is unclear if the new MoU's are financed through concessional loans as well. Most projects funded through the Lancang-Mekong Cooperation Special Fund (LMCSF) do not contain repayment terms or appear on government agency or company financial statements as borrowings, thus AidData has decided to code post-2021 LMCSF projects as grants.