Thai Government to wholly invest in the high-speed rail project

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BANGKOK – The Transport Minister said that both Thai and Chinese governments have agreed to soon begin construction of the Bangkok-Nakhon Ratchasima high-speed rail. 

Transport Minister Arkhom Termpittayapaisith made known that the construction of the 250-km rail would be supervised by China, which will be responsible for the train’s signaling system. He added that the Thai government will wholly invest in the railway project.

The minister said the project would use local building materials, which are more affordable. China estimated the project would cost 190 billion baht, or 20 billion baht more than the estimate made by local companies.

Mr. Arkhom revealed that the government is considering its options regarding project loans, citing one of the conditions that the loan’s interest rate must not exceed 2%. He stated that construction would start sometime between August to September 2016.

The minister also indicated that the 10th round of discussions with China on the matter is scheduled at the beginning of next month.