Foreign investment in Myanmar soars

Wednesday, January 7, 2009


Foreign investment in military-ruled Myanmar nearly doubled in the first 10 months of last year, with the bulk coming from Chinese-backed mining projects, official figures showed yesterday.

Between January and October 2008, China invested 855 million dollars in Myanmar's mining sector, making up most of the 975 million dollars total foreign investment.
Foreign investment for the same period a year earlier was 505 million dollars, according to the ministry of National Planning and Economic Development.

China made its massive investment in July, alongside another five million dollars from Singapore, 94 million dollars from Russia and 20 million dollars invested by Vietnam in Myanmar's oil and gas sector, statistics showed.

The Chinese investment is the largest since Thailand invested six billion dollars in the 2005-6 fiscal year for a hydroelectric dam project.

The United States and European Union have both tightened trade sanctions on Myanmar since a brutal crackdown on protests against the country's military rulers in 2007.

But neighbouring countries such as Myanmar's ally China continue to buy vast amounts of Myanmar's natural resources -- mainly gas, precious jade and gems.

Myanmar has been ruled by the military since 1962. It began to open up its economy in 1989 after a 1988 democracy uprising in which around 3,000 people were killed.

Posted by Saigon Charlie at 6:15 PM