A Chinese company is to invest billions of US dollars into a railway project that connects Finland and Estonia through the bottom of the Gulf of Finland, reported the Russia Today TV.
China's Touchstone Capital Group signed a memorandum of understanding with Finland's Finest Bay Area Development Oy to finance the project, according to an announcement on the latter's official website on Friday.
Based on the memorandum of understanding, one third of the fund will come as private equity investment, with Touchstone Capital Group taking the minority share and the rest will be gained through debt financing. Further details on the financing will be decided by the two companies in the coming 6 months as the project proceeds.
The 103-kilometers-long railway tunnel, which is to link Helsinki-Vantaa airport and the Tallinn airport, will be one of the largest infrastructure projects in Europe. The project is expected to cut the travel time down to about 20 minutes, instead of the current two hours by ferry.
It is been reported that at least one artificial island will be built along the route and the governments of Finland and Estonia have promised to fund that project.
The Touchstone Capital Group has been providing one stop financial solution services for 15 years and is a leading platform between China and international market for the One Belt One Road Initiative, according to its official website.
