The Ministry of Finance has signed a 2.4-billion-baht loan agreement with the Asian Development Bank (ADB) to fund construction of an extension of Motorway No.7 to U-tapao airport.
The upgraded land transport link is intended to support the development of U-tapao as Thailand’s third international gateway, and to increase the attractiveness of the Eastern Economic Corridor (EEC) to investors.
Deputy Finance Minister Julapun Amornvivat and Anouj Mehta, the ADB country director for Thailand, on Friday co-signed the loan agreement for the “Climate-Resilient Connectivity for the Eastern Economic Corridor” project.
The extension of Motorway No.7, a toll road that currently runs from Bangkok to Pattaya in Chon Buri, will connect with U-tapao airport in Rayong.
The total loan value is $68.7 million (2.44 billion baht). The cabinet approved the terms of the 12-year loan contract, which carries a floating interest rate and a 4-year grace period, on April 22. Disbursement is scheduled to conclude by Dec 31, 2029.
The Motorway extension is expected to yield multiple benefits, including reduced travel time to U-tapao, improved traffic flow in surrounding areas, and enhanced infrastructure to support the airport’s transformation into Thailand’s third commercial international airport, the government said in statement.
The initiative is a key component of a broader strategy to further develop the EEC into a major business and logistics hub for Thailand’s future economic growth, it said.
A high-speed rail line is also planned to link U-tapao with Suvarnabhumi and Don Mueang airports, further improving the attractiveness of the EEC. However, it has been beset by numerous delays and revisions to contract terms with the Asia Era One consortium led by the CP Group. It is expected to start operating in 2029 at the earliest — five years behind schedule.