Mahathir says Chinese contractor will help run new rail link
Loading articles...

Mahathir says Chinese contractor will help run new rail link

Malaysian Prime Minister Mahathir Mohamad speaks during a press conference in Putrajaya, Malaysia, Monday, April 15, 2019. Malaysia's government decided to resume a China-backed rail link project, after the Chinese contractor agreed to cut the construction cost by one-third. (AP Photo/Vincent Thian)

KUALA LUMPUR, Malaysia — Prime Minister Mahathir Mohamad says a Chinese company building a rail link across peninsula Malaysia will jointly help to manage, operate and maintain the network that will help reduce the country’s financial burden.

The East Coast Rail Link was suspended after Mahathir’s alliance swept into power last May. The project was revived last week after the contractor, China Communications Construction Company Ltd., agreed to cut the cost by one-third.

The rail link connecting Malaysia’s west coast to eastern rural states is part of China’s Belt and Road infrastructure initiative.

Mahathir said Monday the government chose to renegotiate the deal rather than pay compensation.

Mahathir said CCCC will form a joint venture with Malaysia Rail Link to operate and maintain the network. It’s slated for completion by the end of 2026.

The Associated Press



Join the conversation

Please read our commenting policies