Completed Development AidData Chinese Aid

Chinese Government provides RMB 99 million grant for Panama City to David Railway Feasibility Study

¥99M RMB

Funder	Unspecified Chinese Government Institution
Recipient Organization	Government of Panama
Country	Panama
Start Date	Dec 01, 2018
End Date	Mar 31, 2031
Duration	4,503 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`54938`

Grant Description

In December 2017, the Chinese Government signed a memorandum of understanding (MOU) with the Government of Panama regarding a feasibility study for a railway line connecting Panama City with the town of David, the capital of Chiriqui province. The Chinese Government reportedly committed RMB 99 million of grant funding for the study.

China Railway Design Corporation (CDRC) was the contractor responsible for the feasibility study.

It conducted the study in coordination and collaboration with the Panamanian Society of Engineers and Architects (SPIA), the Technological University of Panama, the University of Panama, the Ministry of Housing and Territorial Planning, the Electric Transmission Company and the Panama Metro.

The proposed railway would involve the construction of an 8-car passenger and freight train line with 21 stops along a 391.3 km stretch. If completed, it would turn a 6+ hour journey into approximately 2 and a half hours. As of September 2018, the feasibility study was reportedly 80% complete. The results of the study were delivered to the President of Panama on March 15, 2019.

It is unclear if the feasibility study will result in a project but time and cost estimates hover around $4.1-5.5 billion and a 6-year completion timeline

📋 Staff Comments

The Spanish project title is Estudio de Factibilidad del Proyecto Ferroviario Panamá-David.
The town of David is 50 km from the border with Costa Rica.
The MOU can be accessed in its entirety via https://mire.gob.pa/images/PDF/documentos%20y%20formularios/Acuerdoschina/ACUERDO%20DE%20COOP.%20ESTUDIOS%20DE%20FACTIBILIDAD.pdf

📚 Sources & References

MOU for cooperation between Panama and China
High-speed train plan follows tracks of history
Study for train to Chiriquí, in the final stretch
Wei Qiang made a presentation at the Panama Railway Feasibility Study Report
China’s Engagement with Latin America and the Caribbean
Feasibility Study for Panama High-Speed Railway Released
China Delivers Study to Panama for Train to the Border with Costa Rica
Acuerdo de Coperacion... para la realizacion de estudios de factibilidad de proyectos ferrociarios en la republica de panama
China gives Panama its plan for a $4bn high-speed rail line to Costa Rica
MONEY China Delivers Study to Panama for Train to the Border with Costa Rica
The handover ceremony of the Panama Railway Project Feasibility Study Report was held in David
Government of Panama
AJ/DT No. 149 - MIRE-2018-16230
Meduca no ha recibido donaciones de China
Declaración de la Embajada China
PANAMÁ Y CHINA COORDINAN PROYECTOS DE COOPERACIÓN DE INTERÉS NACIONAL
RESULTADOS CONCRETOS
MUESTRAN LOS PROYECTOS DE COOPERACIÓN NO REEMBOLSABLE ENTRE PANAMÁ Y CHINA
ESTUDIO REVELA QUE PROPUESTA DEL PRESIDENTE VARELA PARA UN TREN PANAMÁ-DAVID ES ECONÓMICA Y SOCIALMENTE RENTABLE
Los fondos del Tigre Asiático son para el estudio de factibilidad del proyecto ferroviario que busca conectar la ciudad de Panamá con David, en la provincia de Chiriquí Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.

All Grantees

Government of Panama

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