Cambodian Government, JICA Ink Sihanoukville Port Deal

The Japan International Cooperation Agency (JICA) signed a loan agreement with the Cambodian Government last week for providing a Japanese ODA loan of up to 23.502 billion yen ($212 million) for the Sihanoukville Port New Container Terminal Development Project.

The project will develop a new container terminal and improve the cargo handling capacity at Sihanoukville Port with the objectives of improving the logistics environment in Cambodia and promoting trade, JICA said.

The loan funds will be allocated to container terminal and access road development, public works relating to marine routes and mooring basin dredging, the procurement of cargo-handling equipment, and consulting services.

This capital development project will increase the container cargo handling capacity at the port by approximately 450,000 TEUs to more than one and a half times the current capacity, according to JICA.

The project will also enable the port to accommodate the larger sized vessels that have become mainstream in the international marine transportation market, which is expected to lead to a reduction in transportation costs.

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