Korean Fund provides grant for feasibility study of Mekong River integrated management project

The Mekong River Integrated Management Project in Khammuan province may receive loan assistance from Korea’s Economic Development and Cooperation Fund (EDCF), if the outcome of a feasibility study meets the Fund’s conditions.
The EDCF, which is operated by Korea Eximbank, has provided initial assistance through grant support for the feasibility study.
If it goes ahead, the project will benefit Khammuan province by preventing the loss of national land, property, and human life through riverbank protection.
It will also upgrade the living standards and increase the incomes of local people, as well as boosting Khammuan’s economic growth.

Approval of the grant was announced at a meeting between Deputy Minister of Public Works and Transport, Ms Vilaykham Phosalath; the Chief Representative of Korea Eximbank in Laos, Mr Lee Dong-Geon; Khammuan provincial Governor Mr Vanxay Phongsavanh; and other officials involved.
The key points of the meeting were outlined by the EDCF Chief Representative, the Governor, and relevant senior officials at the central and provincial levels regarding the Mekong River Integrated Management Project. 
The project is one of the high priority schemes recommended by the government for consideration by the EDCF, which is operated by Korea Eximbank, for financing during the period 2020-2023.
“The support was considered in relation to frequent flooding and riverbank erosion in the rainy season, as well as the results of a feasibility study previously conducted by the Ministry of Public Works and Transport and the EDCF. In light of the findings, the Fund will provide a grant for a feasibility study of this project,” Mr Lee Dong-Geon said. The selection procedure for a feasibility study consultant will be completed by the end of this year, and the study is scheduled to proceed in early next year, taking about four months.
“That will not ensure the EDCF’s approval of the loan assistance for the project unless the outcome of the feasibility study effectively meets the EDCF’s criteria for doing the appraisal in the next stage before loan approval,’’ Mr Lee said.
“We, EDCF, really hope the consistent cooperation between the Ministry of Public Works and Transport, line departments of Khammuan province, and also the selected feasibility study consultant, will bring the outstanding and significant results of the feasibility study to step into the next stage accordingly,” he added.  Governor Vanxay said “I would like to express my sincere gratitude to EDCF as well as Korea Eximbank for the consideration to finance a feasibility study through this project.”
“If the project is positively considered for EDCF loan approval, it will be very beneficial to Khammuan province, especially to prevent the loss of national land, property and human life through riverbank protection, and to improve the quality of life and increase the incomes of local people as well as strengthen the province’s economy.”
EDCF has provided concessional loans for infrastructure development projects in Laos, including the Southern Provincial Water Supply Development Project in Champassak and Saravan provinces, and the Mekong River Integrated Management Project in the capital and in Champassak province, which will significantly contribute to the socio-economic development of Laos and thus EDCF is looking forward to the possibility to further contribute and support the development of this sector, including water supply and sewage.

By Advertorial Desk
  (Latest Update November 8, 2021)