Press Releases
Signing and Exchange of Notes Concerning Two Yen Loan Projects to the Kingdom of Cambodia
On October 8, in Phnom Penh, the capital of the Kingdom of Cambodia, Mr. UENO Atsushi, Ambassador Extraordinary and Plenipotentiary of Japan to the Kingdom of Cambodia, and H. E. Mr. PRAK Sokhonn, Deputy Prime Minister, Minister of Foreign Affairs and International Cooperation of the Kingdom of Cambodia, signed and exchanged notes concerning two Yen loan projects for up to 44.437 billion yen in total.
- Outline of the Projects
- Nirodh Water Supply Expansion Project (I) (up to 21.526 billion yen)
This project aims to contributes to improving residents' living environments and facilitating the city's commercial and economic activities by enhancing stable water supply services by expanding water supply facilities in Phnom Penh, where water supply and demand are strained. - Phnom Penh City Transmission and Distribution System Expansion Project (Phase 3) (I) (up to 22.911 billion yen)
This project aims to contribute to the economic development of Cambodia by stabilizing the power supply in the Phnom Penh metropolitan area, where electricity demand is concentrated and expanding, and to promote the introduction of renewable energy by upgrading substations and the transmission and distribution network.
- Nirodh Water Supply Expansion Project (I) (up to 21.526 billion yen)
- Loan terms
- Interest rate: TORF + 0.4% (0.65% per annum for the consulting services portion).
- Repayment period: 30 years (including a 10-year grace period).
- Procurement terms: Untied
(Reference1) Yen loan
Yen loans support developing countries by providing low-interest, long-term and concessional funds to finance their development efforts. For developing countries, since the funds are subject to repayment to Japan, it is expected to lead to effective utilization and self-sustaining development.
(Reference2) Basic Data on the Republic of the Kingdom of Cambodia
The Kingdom of Cambodia has an area of 181,035 square kilometers (approximately 50% of the Japan’s area), a population of about 17.64 million people (2024, World Bank), and a gross national income (GNI) per capita is 2,638 USD (2024, World Bank).