Jan 31, 2013

Japan To Play Leading Role In Myanmar's Development

Japan is planning to take a leading role in the development of resource-rich Myanmar (previously Burma) by extending fresh loans to the South-East Asian nation, which has embarked on democratic reforms since a military-backed civilian government led by President Thein Sein came to power in March 2011.

The Japanese government has been working on debt relief measures for Myanmar which has cleared about 60 percent of about 500 billion yen ($5.5 billion) it owed to japan by January 30 in unpaid loans, partly through loans provided by major Japanese banks.

According to the NHK public broadcaster, the Japanese government plans to forgive the remainder of the debt in April or later, clearing the way for Japan to extend fresh financial assistance to Myanmar.

Japan's Deputy Prime Minister Taro Aso had promised Myanmar yen loans worth about $550 million when he visited the once isolated country earlier this year.

Japan will also provide an additional grant aid package worth about $220 million for infrastructure projects and human resources development in the next fiscal year starting in April, the broadcaster reported on Thursday.

Source: RTT News