Myanmar seeks over $100m for Asean connectivity project

It plans to borrow US$100 million from the Asian Development Bank (ADB) and $20 million from the bank’s Asean Infrastructure Fund. 

The borrowing proposal was submitted to Parliament on Wednesday, along with the proposals from the ministries of electric power and finance. The three ministries seek a total of more than $300 million in foreign loans from ADB and the French Development Agency (AFD).

Deputy minister for construction Soe Tint told Parliament that Myanmar agreed to upgrade the Kawkareik-Mawlamyine-Thaton Road, which is part of the economic corridor, by 2012 at the 15th Greater Mekong regional meeting held in Thailand in June 2009.

Vietnam, Laos and Thailand has upgraded the roads, building a two- to four-lane road in line with Asian Highway standards and only Myanmar was yet to carry out upgrades, he added.

Meanwhile, the Electric Power Ministry seeks to borrow $80 million from the development bank for the 230KV transmission power line project in Yangon Region.

“After receiving approval from the Union Parliament, we will sign the ADB loan agreement around December and continue to carry out the tasks of selecting a consultant to implement the project and invite tender for the construction work. We will arrange for power to be transmitted as soon as possible after the completion of the substations,” said Deputy minister of electric power Maw Thar Htwe.

Deputy minister of finance Dr Lin Aung added that his ministry also asked for the permission to borrow $60 million from the ADB and $44.5 million from the AFD to carry out a Mandalay urban development project.