142 Demarcation Points Completed for Funan Techo Canal, Setting the Stage for Transformative Infrastructure

• 21 December 2024
• Local News
• 1104 Views

In a landmark achievement for Cambodia’s infrastructure development, the inter-ministerial technical working group has successfully completed the boundary posting process for the first 21 kilometers of the Funan Techo Canal.

This initial section, stretching from Prek Takeo to Prek Po, has reached 100% completion, with 142 demarcation points now established along the route.

This milestone forms a critical foundation for the broader project, which aims to enhance regional transportation networks. Construction officially commenced on 5 August 2024, underscoring the government’s commitment to advancing key infrastructure projects. (Read more)

The Funan Techo Canal initiative promises wide-ranging benefits for Cambodia, blending economic, environmental, and social impacts to drive national progress. According to the ministry, the project is poised to address numerous challenges while opening pathways to economic growth:

1. Strengthening Political Independence: Enhancing Cambodia’s autonomy in water transport by reducing reliance on external logistics networks.
2. Cost and Time Efficiency: Lower transportation costs, distances, and travel times for goods and passengers.
3. Environmental Impact: Mitigating harmful emissions to foster a cleaner and healthier environment.
4. Sustainable Ecosystem: Supporting environmental sustainability while creating new habitats for aquatic species, with an estimated annual fish yield of 1,000 tons. This will directly benefit over 1.6 million residents along the Prek River.
5. Flood and Drought Mitigation: Addressing seasonal challenges in the eastern and south-western provinces by regulating water flow effectively.
6. Job Creation: Generating over 10,000 jobs during construction and thousands more upon completion, boosting local employment opportunities.
7. Economic Growth: Delivering a high economic internal rate of return (EIRR) of 20% to 31%, significantly exceeding the global average of 12%, as calculated by international benchmarks.

Beyond these direct benefits, the project underscores Cambodia’s strategic vision for sustainable infrastructure development. The ministry highlighted that the canal would also reduce transportation bottlenecks, strengthen trade routes, and align with broader regional connectivity goals.

• Road and Infrastructure