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Myanmar plans to borrow US$2b from China
Publication Date : 02-09-2013
Myanmar is planning to borrow a total of US$2.3 billion from China to finance 22 infrastructural projects, including those of telecommunications, electricity and construction, according to the government’s investment projection for national projects in 2013-14.
Other areas that Chinese loans are to be used include agriculture, finance and industry. A total of $646 million is to be spent in those projects.
The national projects for financial sector include a micro-credit project to provide loans for small and medium enterprises and establishing a SME bank. The telecommunications project will distribute mobile SIM cards to rural areas across Myanmar.
Five power-line projects and a natural gas power plant are to be funded with loans from China. The Yangon-Mandalay new highway, public housings and other construction projects, including 16 new bridges, will also be financed by the same loan.
Also for the two large-scale low-cost housings--Yadana and Ayeyarwun projects--in suburban Yangon, the loans from Chinese Exim bank will be used to cover their electrical expenditures, according to the Ministry of Construction.