CONSTRUCTION is expected to begin this month of a 220km railway in southern Laos from Savannakhet on the Thai border to Lao Bao on the border with Vietnam following a groundbreaking ceremony on December 18.

CONSTRUCTION of a 418km standard-gauge line linking the Laotian capital Vientiane with the Chinese network could begin next year, according to local media reports.

THE THAI government has agreed to provide Baht 1.6bn ($US 50m) in financing to support the 7.8km extension of Laos' only railway to the country's capital Vientiane by 2014.