ADB Lends 300 Mln Dollars For Strong Thailand Scheme

ADB Lends 300 Mln Dollars for Strong Thailand Scheme

The Asian Development Bank provides up to 300 million dollars in loan to the Thai government to be used in its investment projects under the Strong Thailand scheme for 2012 .

Deputy Finance Minister Pradit Pattaraprasit, together with director general of the Public Debt Management Office, Chakrit Parapanthakul, today signed a 300 million dollar loan agreement for the Capital Market Development Program, or CMDP, with the Asian Development Bank, or ADB.

Pradit said the loan will be used to support the implementation of projects under the Strong Thailand economic stimulus scheme for 2012, designed to boost and support long-term growth.

The 15 year loan will have a grace period of three years with floating interest rate.

The government is required to pay interest of 0.15 percent annually.

The ADB has provided loans to both the Thai government and the private sector since 1968, with a total of 89 projects approved, worth more than 5.7 billion US dollars for development of infrastructure.

The Public Debt Management Office chief spoke of the issuance of saving bonds worth 100 billion baht to restructure the government debt burden.

He said the decision on the matter will be based on the liquidity of the treasury reserve as money remaining in the reserve is not suitable to be used for the saving bond issuance.

-- Tan Network 2011-02-14