A cross-border ferry linking downtown Vientiane with neighboring Thailand across the Mekong River is a step closer with commencement of survey and design works, local media reported Monday.

The proposed development includes a terminal which is set to include shops, restaurant and visitor accommodation on the Lao side, state-run media Vientiane Times reported.

The proposal will be subject to a memorandum of understanding between authorities of both countries and representatives of private sector developers once preliminary works are completed.

Vientiane is already connected to the northern Thai city of Nong Khai via the First Thai-Lao Friendship Bridge, located some 19 kilometres from the central business district of the Lao capital.