The Laos government is going to spend US$80 million to build a new airport in Luang Prabang, the UNESCO-listed World Heritage town in northern Laos. The government, promoting tourism, is continuing with its domestic investment policy and hoping a large airport project like this airport will help boost travellers numbers when the world’s economic situation improves.
Yakua Lopangkao, director general of the Civil Aviation Department, Laos, said that the new airport would replace the existing one and would be able to cater to large passenger aircraft. He said that this proposal on airport construction in Luang Prabang had been unanimously approved by the cabinet and the work on it would commence at the end of this year and is scheduled for completion in 2012.
Khampheng Saysompheng, deputy governor of Luang Prabang Province, announced that the investment in the new airport would be from the Export-Import Bank of China.
I'm little confuse of this story. So? Laos will fork out the cash to pay for this new airport? But the chinese will be doing construction work? I thought unemployment rate in Laos is pretty high and why can't they hire the local(lao) people to do the work? It doesn't make sense at all!!!
The point is Lao gov't borrowed $50m from ADB on low interest rate. The gov't piched in another $30m but got help from China to build due to Lao has no knowledge or experience in building a big project. After all said & done, the airport terminal will be owned & operated by Chinese 4 50 years lease b4 they can turn over to Lao gov't. That's just my theory of knowing.