Chinese Government provides RMB 50 million grant — via ETCA — for 69.44 km Laos Section of the Kunming-Bangkok Highway Project (Linked to Record ID#64761, #64231)

Project narrative

On November 3, 2002, the Chinese Government and the Government of Laos signed an Economic and Technical Cooperation Agreement (ETCA), which committed funding for the 69.44 km Laos Section of the Kunming-Bangkok Highway Project. China’s Ministry of Commerce (MOFCOM) made three separate financial commitments in support of this project: an RMB 119 million interest-free loan (captured in Record ID#64761), an RMB 80 million interest-free loan (captured in Record ID#64231), and an RMB 50 million grant (captured in Record ID#64230). The proceeds from the grant and the interest-free loans were used to finance a construction contract between the Ministry of Communications, Transport, Post and Construction (MCTPC) of Laos and Yunnan Sunshine Road and Bridge Co., Ltd., which was signed on April 7, 2004. The total cost of the larger 247 km Kunming-Bangkok Highway Project was approximately $100 million and it was co-financed by the Government of Thailand and the Asian Development Bank. The Laos Section of the Kunming-Bangkok Highway Project involved the construction of a 69.44 km segment of Route 3 (R3) than runs from the border crossing in Mohan/Boten (Yunnan) to the town of Nateuy and then from Nateuy to the town of Luang Namtha (Luangnamtha) within Luang Namtha (Luangnamtha) Province. Yunnan Sunshine Road and Bridge Co., Ltd. was the contractor responsible for implementation. A groundbreaking ceremony was held on April 26, 2004. The project was completed on March 31, 2008.