CAMBODIA on Thursday signed a loan agreement with a Thailand-based development group worth 1.4 billion baht (US$41.2 million) to fund a new National Road 68, said Kem Borey, general director of public works at the Ministry of Public Works and Transport.

The agreement was signed by Vong Sey Vissoth, deputy director general of the Ministry of Economy and Finance, and Acksiri Buranasiri, president of the Neighbouring Countries Economic Development Cooperation Agency, which brokered the loan between Cambodia and the Thai government.

Funding for the road, which is to run from O'Smach district in Oddar Meanchey province to Kralanh district in Siem Reap province, was first proposed in 2005-06 and approved by the Thai government last month.