PHNOM PENH: The project to upgrade National Road 5, which connects Phnom Penh to Kandal, Kampong Chhnang, Pursat, Battambang and Banteay Meanchey, was officially inaugurated this morning. The ribbon cutting ceremony was presided over by Prime Minister Hun Manet and Japanese Ambassador Ueno Atsushi.

The Japanese government granted a concessional loan to restore more than 330 kilometers of the road. The project took seven years and cost an estimated $691 million.

National Road 5 is part of ASEAN Highway 1 (AH1), which connects Bangkok, Phnom Penh and Ho Chi Minh City. It is a potential southern economic corridor that will boost competition in the Greater Mekong Subregion and in the ASEAN region as well.

Cambodia is expected to become a regional transportation hub, said Ueno Atsushi. He said that National Road 5 will be an important infrastructure for regional development and facilitate the smooth transfer of human and material resources, as well as other goods between Cambodia, Thailand and Vietnam.

He added that the road will contribute to Cambodia becoming a worthy destination for private investment and support the economic and living standards of the people in Cambodia and the Mekong region as a whole.

Prime Minister Hun Manet said that the project is a symbol of strong relations between Cambodia and Japan. He expects that the Japanese government will continue to support the construction and development of Cambodia as this year marks the 70th anniversary of diplomatic relations between the two countries. Following the completion of the road’s renovation, the PM announced that Kampong Chhnang, with the road travels through, is to be established as a Special Economic Zone, marking it as a target for more development.