The Asian Development Bank (ADB) and BTS Group Holdings Public Company signed an agreement for a USD 311 million loan for the construction and operation of the Pink and Yellow lines of Bangkok’s MRT system.
“ADB’s involvement as a lender enhanced the overall bankability of the project by providing a long tenor repayment profile. It will provide more flexibility on cashflow management and help mitigate ridership risk at the opening stage of the project. This enables us to deliver a successful project and a public transport option that will be efficient, safe, and environmentally friendly,” said Terence C. K. Kong, the Executive Director of BTS Group Holdings Public Company.
ADB’s financing package is comprised of two THB 4.95 billion (USD 157.75 million) loans to the Northern Bangkok Monorail Company Limited (NBM) and the Eastern Bangkok Monorail Company Limited (EBM) for the construction and operation of the two new lines.
The Pink Line, under NBM, will operate between Min Buri district in Bangkok and Khae Rai in Nonthaburi province, with a total length of about 34.5 km. EBM’s Yellow Line will operate between Lat Phrao in Bangkok and Samrong in Samut Prakan province with a total length of about 30 km.
Currently, Bangkok area is served by 5 MRT lines.
NBM and EBM are special purpose vehicles established by BSR Joint Venture (BSR) to operate the Pink and Yellow MRT lines, respectively. BSR is a joint venture comprising BTS Group Holdings Public Company Limited, Sino-Thai Engineering and Construction Public Company and RATCH Group Public Company.