AP
PHNOM PENH - CAMBODIA informed Thailand on Friday it was canceling a US$41.2 million (S$57 million) loan from Bangkok meant to finance the upgrade of a highway from the Thai border.
Cambodian Foreign Ministry spokesman Koy Kuong said his country didn't need the loan and could afford to build the road on its own.
The decision comes during a period of bad relations between the two countries over Cambodia's recent welcome to former Thai Prime Minister Thaksin Shinawatra, a fugitive from Thai justice.
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