PRESS RELEASE 17/98, Myanmar Em

[OKKAR66129@xxxxxxx]

                   EMBASSY OF THE UNION OF MYANMAR
	
                              WASHINGTON,  DC 20008-4089
	 

PRESS   RELEASE         17/98						9 October 1998

 
Minister for Finance and Revenue Addresses IMF-IBRD Annual Meeting

Expresses Appreciation for the Bank's Supportive Role in Joining 
the Fund in Dealing with the Asian Financial Crisis

Comments on Myanmar's Economic Development and 
the Bank's Failure to Assist Myanmar in the Past Eleven Years

 	

 His Excellency U Khin Maung Thein, Minister for Finance and Revenue addressed
the IMF-IBRD annual meeting on 7 October 1998. In his address the Minister
expressed  appreciation for the Bank's supporting role in joining the Fund in
dealing with the Asian financial crisis. He also expressed appreciation for
the Bank's involvement in the area of poverty reduction, enhancement of the
quality of life and the promotion of sustainable environmental management.

With regards to Myanmar's economic development,  he pointed out that since the
latter part of 1988, foreign trade procedures had been streamlined and that
both internal and external trade had been liberalized. Foreign investors have
been invited to invest in Myanmar and foreign banks have been permitted to
open representative offices in the country.

As 60 per cent of the population reside in the rural areas, the government's
strategy for poverty alleviation focuses on increasing farm income by
promoting agricultural production. The Minister said special emphasis is being
given to boosting the production of paddy, beans and pulses, sugarcane and
cotton through extensive cultivation with modern technical know-how.

In order to alleviate poverty in rural areas and to raise the living standard
of the national races who for decades lagged behind others and remained
underdeveloped, the government has been carrying out plans to develop the
border areas since 1989.

He said that Myanmar had been pursuing a market-oriented economic system for
nearly a decade and has registered strong economic growth through out the
years. He pointed out that Myanmar's efforts to promote economic and social
progress was not buttressed by substantial external assistance. He stressed
that this fact, "  does not imply that Myanmar is not in need of multilateral
assistance in striving for economic and social development."  However, Myanmar
could achieve more if its national endeavours were complemented by external
assistance.

He told the meeting that Myanmar continues to combat unemployment, drug abuse,
the spread of HIV / AIDS, environmental destruction and social distress,
relying mainly on its own resources. In view of the mounting problems and the
magnitude of the challenge they pose, it was time to find solutions through
international cooperation, he said.

The Minister expressed disappointment that all multilateral financial
assistance to Myanmar have been suspended unfairly since 1988. Myanmar has
been a member of good-standing of the Bank and the Fund since 1952.  As a
legitimate member, Myanmar is fully eligible for the Bank's development
assistance. However, the Bank has neglected Myanmar's development efforts and
has failed to assist Myanmar in the past eleven years, he said .
Notwithstanding the Bank's decision, Myanmar has been faithfully making
repayment of loans to the Bank regularly up to the end of 1997. 

The Minister stated that in the absence of major multilateral and bilateral
assistance Myanmar managed  its developmental needs relying on its own
financial resources. He stressed that " scarcity of financial resources
hampers the implementation of various activities which are beneficial not only
for Myanmar, but also for the region as a whole ".


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