China provides $33 mln in free-interest loan to Cambodia

Cambodian Finance Minister Aun Porn Moniroth (R) shakes hands with Chinese Ambassador to Cambodia Bu Jianguo during the signing ceremony in Phnom Penh, Cambodia, Nov. 14, 2013. The Chinese government on Thursday signed an agreement to provide a free-interest loan of 200 million Renminbi (33 million U.S. dollars) to Cambodia for social and economic development projects. (Xinhua/Sovannara)

The Chinese government on Thursday signed up to provide a free-interest loan of 200 million Renminbi (33 million U.S. dollars) to Cambodia for social and economic development projects.

The agreement was inked between Chinese Ambassador to Cambodia Bu Jianguo and Cambodian Finance Minister Aun Porn Moniroth under the presence of Permanent Deputy Prime Minister Keat Chhon.

"The free-interest loan agreement is a testimony of further strengthening the friendship relations and excellent cooperation between the governments and peoples of the two countries," Moniroth said.

He said the loan came as a result of the fruitful implementation of the Comprehensive Strategic Partnership of Cooperation between the two governments.

"China is a faithful friend of Cambodia forever," the minister said. "Chinese aid has hugely contribute to strengthening Cambodia 's independence and sovereignty on international arena."

He said to date, China has provided a total of 2.89 billion U.S. dollars in the forms of grants, interest-free loans and concessional loans to Cambodia for the implementation of physical infrastructure projects such as roads, bridges, irrigation system, ports and electricity.

Bu Jianguo expressed her confidence that the non-interest loan would help Cambodia develop local economy, improve people's living conditions and reduce poverty.

She said China and Cambodia are good neighbors, friends, brothers and partners, and reiterated that China would continue to help Cambodia boost its economy and alleviate poverty.