CHINA EXIM BANK CAN HELP FINANCE MELAKA-DUMAI BRIDGE

KUALA LUMPUR, Aug 18 (Bernama) -- China Exim Bank can finance up to 85
percent of the US$12.5 billion (US$3.5 billion) bridge, which will be 52
kilometres long, connecting Teluk Gong in Malaysia's southern state of Melaka
and Dumai in Sumatra, Indonesia, its general manager Tang Yinlian said Tuesday.

The remaining cost could be borne by stakeholders of the bridge, namely
Straits of Malacca Partners Sdn Bhd, she said at the Straits of Malacca Bridge
Project Seminar here Tuesday.

"We will have to go for private loan and we are already in talks with
several parties for the purpose," said Straits of Malacca Partners' chairman,
Ibrahim Zain.

However, he declined to disclose details of the bridge, which is estimated
to take nine years for completion from the date of approval.

State of Melaka's Chief Minister Mohd Ali Rustam, who was present at the
seminar, said he was hopeful that the Indonesian and Malaysian governments will
give the green light for the project by end of this year.

Upon completion, the autoway will be the longest man-made link between the
two countries.

"We know that besides government approvals, there are other issues such as
land acquisition to be dealt with but that should not be a problem," Mohd Ali
said.

He said that Prime Minister Najib Razak was supportive of the project which
was first mooted by former Prime Minister Dr Mahathir Mohamad but was shelved
when 1997/98 Asia's financial crisis hit the country.

The bridge is a viable and profitable project, and expected to boost
Melaka's tourism sector as well as the economies of both countries, according to
Mohd Ali.

"The bridge has great economic potential, considering the population in
Sumatra has reached 70 million compared with Singapore with only four million,"
he said.

He added that daily traffic on the bridge is estimated to be about 15,000
vehicles and toll charge per vehicle could be between US$75 to US$85.
-- BERNAMA