Phnom Penh (FN), Dec. 27 – Cambodian Prime Minister Hun Manet said that the Funan Techo Canal project, initiated during the 6th and 7th mandates of the Royal Government, represents continuous efforts to expand inland waterway transport, thereby bolstering the national economy. The project has undergone a thorough evaluation of adverse effects conducted by both national and international experts.
The premier spoke on Wednesday morning (Dec. 27) during an inauguration ceremony for Cheung Aek Sewage Treatment Plant in Phnom Penh.
"In the negotiation of this project [Funan Techo Canal], we engaged numerous experts in the fields of economy, environment, and water resources to assess the impacts, determining whether the project is economically viable or may result in adverse effects. Former Minister of Public Works Sun Chanthol and Samdech Techo Hun Sen have dedicated their efforts to the nation's development, including the construction of the Funan Techo Canal," the premier underscored.
On 26 December 2023, the Ministry of Economy and Finance issued a press release in response to the publication of The Cambodia Daily on the Funan Techo canal project. The Cambodia Daily claimed that a senior official from the Ministry of Economy and Finance disclosed information indicating that the Royal Government of Cambodia borrowed not only USD 1.7 billion from China for the Funan Techo Canal but also additional USD 5 billion for the canal, ports, and addressing Cambodia's economic crisis.
The Ministry of Economy clarified that the Funan Techo Canal is not included in the list of program/development projects for 2023 and 2024 outlined in the budget law for the corresponding years. Instead, the project will follow the Public-Private Partnership (PPP) mechanism. On July 6, 2023, the Royal Government approved the Funan Techo Canal project to proceed through PPP or the Build-Operate-Transfer (BOT) model.
The Royal Government does not borrow to the point of bankruptcy; it adheres to annual reviews mandated by law to assess its repayment capacity and support the economy.
=FRESH NEWS