Apr 29, 2015

World Bank unveils US$1.6bn loan

The World Bank’s International Development Association has declared that it will contribute US$1.6 billion as a long-term, interest-free loan to Myanmar as part of its Country Partnership Framework.

The loan, set to distribute between 2015 and 2017, is the first complete project of many stemming from the first alliance since 1984 between the World Bank and Myanmar. Under this project, health-care services and conditions of around 3 million pregnant women and children are targeted as well as improving the living conditions, including access to electricity, of 6 million people.

The International Finance Corporation says it will be contributing US$1 billion and technological support worth US$20 million.

“The framework’s objective is to reduce the poverty rate and for the private sector to grow by allowing more people from a wider spectrum to participate. Only then will the poor and the needy will be able to benefit from the current improvements. In our task to improve the lives of the citizens, we hope to continue to work together with the government, private organisations and investors,” said the World Bank’s SEA Deputy Director Ulrich Zachau.

The World Bank’s declaration also stated that it would work to decrease poverty in remote villages and areas where 75 per cent of the country’s poor live, aiding the effort in economic governance to better help the poor and for an additional 3.5 million people to gain access to electricity.

It also aims to improve health care, education, small businesses development, IT and banking services and invest US$150 million to create private-sector business opportunities.

Source: Eleven Weekly Media