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BURMA RELATED NEWS - August 20,
2001.
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HEADLINES
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AFP - Myanmar's economy
remains hopelessly mired in crisis
AFP - Indonesia's
Megawati set to tour ASEAN states to cement ties
Reuters - Indonesia's
Megawati begins Asian tour on Tuesday
The Daily Star - Japanese
envoy meets Suu Kyi
Bkk Post - EDITORIAL -
Wa, triads speed drugs to Europe
ABC online - Laotian
leader starts goodwill visit to Burma
------------------------------------------------------------------ Monday August 20, 8:16 PM Myanmar's economy remains hopelessly mired in crisis YANGON, Aug 20 (AFP) - Paralysed for years by the twin burdens of appalling management and international sanctions, Myanmar's economy remains hopelessly enmired in crisis even as the ruling junta embarks on landmark talks with the democratic opposition. Property
developments that have sprung up in the capital Yangon, as well as official
claims of five percent annual economic growth, give a misleading impression of
dynamism in the military-run nation. But conversations with ordinary Myanmar citizens tell a very different tale of continual price rises, rationing and a daily struggle to gather the necessities of life. "There is mass national depression because of the
economy," said a Western diplomat who accused the regime of "incompetence and
lack of understanding of a free market economy." Despite being
"ruled by generals who give commands," the economy would probably continue to
stumble along, greased by the black market as well as the fortune in drug money
funnelled in from ethnic warlords. "There isn't
enough economy to collapse," the diplomat quipped. Apart from rice,
which the government keeps in plentiful supply to avoid the prospect of
hunger-fuelled dissent, the price of basic commodities has doubled or tripled
this year alone, according to aid officials. "The price of
cooking oil has tripled, as well as other items vital to people's lives," said
one, on condition of anonymity. In the towns and
cities, Myanmar citizens endure annual inflation rates as high as 50 percent,
the alarming depreciation of the kyat currency and constantly changing rules on
rationing of items like gasoline. Tax-free markets
set up a couple of years ago to ease the burden on low-wage earners, including
the legion of government employees, offer fresh produce at discounted prices but
in very limited amounts. As a result, an
industry has sprung up among "professional queuers" who can be seen lining up
well before dawn to purchase their quotas and sell them at a healthy profit to
oil merchants or harried housewives. "In a single day
I can get to queue up again at least four times and invest 350 kyats, from which
I can get a profit of 500 kyats (one dollar) at the end of the day ... not bad
for eight hours of queuing up," one jobless man said. Ironically, the
government's plan to help consumers by distributing rationed staples like
cooking oil through the markets has served only to line the pockets of big-time
oil merchants. "I don't know if
Than Shwe understands how bad it is, it is getting worse ... and people are
becoming impoverished," a Western diplomat said of Myanmar's military leader.
The junta
meanwhile insists that the creaking economy is functioning adequately, ignoring
the mechanisms like the thriving black market that have emerged to fill the gaps
in the official economy. "Nobody is
starving here, nobody is homeless," a senior spokesman for the government told
AFP. Foreign observers
posted in Yangon remain pessimistic. "The ticking bomb now is energy ... They
can't supply the electricity necessary to run the industries," said one
expert. "In the
countryside, people will continue to live like they did in the feudal
times." Foreign
investment remains extremely weak, and what funds do make their way to Myanmar
are centred on speculative sectors like property or tourism, rather than
industry or manufacturing. Businesspeople
lured by the prospect of rich natural resources lying untapped in Myanmar's
energy fields, mines and forests, as well as cheap labour and a solid legal
system inherited from the British colonial rulers, have become disenchanted
after seeing the economy at close quarters. "Investors don't
come, because investors want to make money. People have pulled out, like the
Singaporeans out of oil, others out of textiles," one analyst
said. International
sanctions are also a major deterrent to foreign companies investing here, and
the World Bank and International Monetary Fund will not consider giving
assistance while the current regime is in charge. But despite the
sanctions, which have contributed to Myanmar remaining one of the world's
poorest nations while its Southeast Asian neighbours prosper, the government
insists it is not concerned. "We have built
infrastructure, thousands of new roads, reservoirs and dams, even without the
help of the international institutions," said Tin Winn, Minister at the Prime
Minister's Office. Tourism may not
be the saviour it was hoped to be, due to the 1997 regional financial crisis and
calls from democracy activists for holiday-makers to stay away while Myanmar
remains under military rule. The stunning new
five-star hotels built in Yangon, with their luxurious ballrooms, expansive
swimming pools and plentiful staff, are nearly deserted with occupation rates
running at a miserable eight percent. "It is the worst
July they have ever had, even Laos is getting better figures," one diplomat
exclaimed. In spite of the
malaise, observers do not believe that the "desperation factor," which fuelled
the bloody uprising of 1988 after three currency devaluations, exists
today. Hopes for the
future rest on the landmark dialogue between the junta and democracy leader Aung
San Suu Kyi which began last October. "The only way to make any reform in this country -- whether in the economy, social or health sectors -- is to start with political reform," says one observer. ------------------------------------------------------------------
Monday August 20, 11:57
AM
Indonesia's Megawati set to tour ASEAN states to cement ties JAKARTA, Aug 20
(AFP) - President Megawati
Sukarnoputri is set to make her first visit abroad this week with a whirlwind
tour of the Association of Southeast Asian Nations (ASEAN) to stress Indonesia's
commitment to the regional grouping, officials said. Megawati, who was
appointed as Indonesia's fifth president on July 23 to replaced the sacked
Abdurrahman Wahid, will start her tour on Tuesday, August 21, with a visit to
the Philippines. She had
originally been scheduled to leave on Wednesday but the head of the presidential
press and media bureau, Geribaldi Sujatmiko, announced the change of plan early
Monday. The president
will then travel on to Vietnam, Laos, Cambodia, Myanmar, Thailand, Brunei,
Singapore and Malaysia before returning home on August 28. Kusnanto Anggoro
of the private Center for Strategic and International Studies think tank, said
the brief visits should be seen as important, although they would be unlikely to
yield much. "It will be
important to assure the other ASEAN countries of Indonesia's commitment that
ASEAN remains a cornerstone of the country's foreign policies, especially since
Indonesia has lost much of her credentials as a leading nation in ASEAN in the
post-Suharto era," Anggoro said. Wahid, he said,
had managed to aggravate relations with ASEAN, both as a group and several
individual members, through his controversial comments -- including his plan for
establishing a "West Pacific Forum". State Secretary
Bambang Kesowo who announced Megawati's tour in July said it would be "a
reflection of her consistency in viewing ASEAN as a priority in Indonesia's
foreign affairs." Indonesia is a
founding member of the 10-member ASEAN established in Bangkok in 1967 by five
nations -- Indonesia, Malaysia, the Philippines, Singapore and
Thailand. ASEAN's formal
purpose was to promote economic and social cooperation but its main achievement
has been in political co-operation. "The visit can
also be important if she can sort of coordinate policies with other member
states in the context of cutting off weapon supplies to Aceh," Anggoro
said. The separatist
movement in Aceh, the resource-rich province on the northernmost tip of Sumatra
island where rebels have been fighting for a free Islamic state since the
mid-1970s, obtains its arms from smuggling from several ASEAN countries, Anggoro
said, citing Myanmar, Cambodia and Thailand. "This would be an
efficient way to cut off the supply and would be directly related to her efforts
to safeguard the national territorial integrity," Anggoro
said. Megawati has said
she intended to handle separatism in Aceh and Irian Jaya, at the two extremities
of the sprawling archipelago, while leaving the settlement of other communal
unrest in the rest of the country to her vice president. In her first
national day speech on Thursday, Megawati ruled out independence for Aceh and
Irian Jaya and called for dialogue to resolve the the problems
there. But foreign
ministry Spokesman Suleiman Abdulmanan said the visit was only part of ASEAN
tradition. "There's some
kind of a tradition for a new leader to visit other ASEAN member countries to
introduce his or herself to other leaders. There's nothing special about the
visit," Abdulmanan said. Her trip has
drawn criticism at home however. Mochtar
Pabottinggi, a political analyst with the Indonesian Institute of Sciences, said
Megawati should rather "prioritise the domestic agenda." "Megawati should
first show the world that she is capable of handling domestic affairs before she
decides to travel overseas," Pabottinggi said. He said Megawati
should not repeat the mistake of Wahid, who often travelled overseas during his
brief rule, neglecting more pressing issues at home. Wahid's critics lampooned him as the "most travelled president," pointing to the 50 plus countries he visited during his 21 months in power while the nation sank deeper into economic and political turmoil. ------------------------------------------------------------------Monday
August 20, 2:53 PM
Indonesia's
Megawati begins Asian tour on Tuesday
JAKARTA
(Reuters) - Indonesian
President Megawati Sukarnoputri will leave for a whirlwind tour of Southeast
Asia on Tuesday and is expected to reassure Jakarta's nervous neighbours that
she can stabilise the unruly country. Foreign Minister
Hassan Wirajuda told reporters Megawati's first stop would be the Philippines
during the August 21-28 trip that will take her to all fellow members of the
Association of South East Asian Nations (ASEAN). Megawati's trip
will be her first foreign foray after a month in office that has exceeded all
expectations and follows nearly two years of erratic leadership under her sacked
predecessor, Abdurrahman Wahid. She has appointed
a widely praised cabinet, sought to improve ties with the international
financial community and moved to address separatism in Aceh and Irian Jaya
provinces. Little has
worried Indonesia's neighbours more in recent years than the instability across
the world's largest archipelago, especially separatist and religious unrest.
Many Asian
leaders will also likely welcome Megawati's formal and measured style of
leadership -- which some analysts see as reminiscent of former autocrat Suharto
-- compared with the erratic Wahid who had a penchant for making crude jokes.
ASEAN comprises
Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines,
Singapore, Thailand and Vietnam. Indonesia was
generally regarded as one of the anchors of ASEAN until it plunged into crisis
in 1997. Wahid became one of the world's most travelled presidents during his nearly two years in office, leaving him open to frequent attacks from critics who accused him of ignoring the archipelago's woes. ------------------------------------------------------------------The Daily Star - August 20, 2001. Japanese envoy meets Suu Kyi Myanmar's democracy leader Aung San Suu Kyi has met
the Japanese ambassador in Yangon, a report said
yesterday. The National
League for Democracy (NLD) leader was visited by the ambassador, Shigeru
Tsumori, and former Japanese ambassador to the United Nations Hisashi Owada on
Friday, the Japanese news agency Jiji Press said. It was their
first meeting since she was put under house arrest last
September. Japan is the
biggest creditor nation and aid donor to Myanmar. It suspended all but a small
amount of humanitarian aid in the aftermath of the 1988 military takeover, but
the flow of funds resumed in 1994. The meeting was
approved by Myanmar's junta authorities and lasted about 90 minutes at Aung San
Suu Kyi's home in Yangon, Jiji quoted junta sources as
saying. Although the
contents of the meeting were not disclosed, Aung San Suu Kyi appeared to have
explained progress in initiating contact between herself and the junta with the
aim of starting "political dialogue," Jiji said. Bangkok
Post - August
20, 2001.
EDITORIAL - Wa,
triads speed drugs to Europe
Switzerland made a major drug sweep last week. More Golden Triangle methamphetamines were seized than in any raid outside Thailand. The entry of the burma-based gangs into such a far-away market confirms the urgent need for increased efforts against transnational crime. To his credit and despite his focus on local and
populist policies, Prime Minister Thaksin Shinawatra understands that Thailand
is deeply involved in a world that gets increasingly smaller. The prime minister
has supported and led efforts to involve the country in regional efforts to
combat regional problems. Last week's record seizure of speed tablets in
Switzerland should cause the government to re-double efforts against
transnational criminals who have globalised crime and
corruption. Authorities
across Switzerland seized 450,000 methamphetamine tablets made in the Burmese
pill factories of the United Wa State Army. They arrested 102 dealers across
Switzerland, but apparently no major traffickers. Most of those arrested were
Asian. Andrea Canonica of the Swiss customs service said brothels and individual
prostitutes were the biggest group of dealers _ which raises suspicion of
involvement by Thais. Evidence from the investigation that led to the drug sweep
indicates a major and highly profitable ring of international traffickers
remains at large in Switzerland. In our region,
the smuggling ring includes the Wa and their Burmese government enablers. The
14K Chinese criminal syndicate reportedly exports both speed pills and heroin
for the Wa. A number of Thai-based smugglers pack and ship the drugs to Europe
by air, hidden among legitimate exports of clothing, canned food and children's
toys among other items. The Swiss
investigation covered five countries. Thai police co-operated, according to
senior officials in Switzerland. So did the forces of Germany, Austria and
Liechtenstein, where drugs were sent after being stockpiled by the Swiss-based
gangs. Profits were astounding. Street dealers in Swiss cities charged users the
equivalent of 400 to 530 baht per pill, according to authorities _ roughly eight
to 10 times the hugely inflated street price in Bangkok. The Swiss bust
provided the first major confirmation that the drug trafficking of the United Wa
State Army has grown to include methamphetamines. The Wa continue to expand
their drug business. Since moving into the former territory of wanted drug
warlord Khun Sa, the former ``Red Wa'' have renewed his old opium and heroin
traffic. They have formed a trafficking alliance with the 14K triads. Now, they
have hugely expanded their ya ba market into Europe. Mr Thaksin last
week authorised the Foreign Ministry to take policemen into foreign embassies to
help fight transnational crime. The timing was a coincidence, but the Swiss drug
bust proved the point. Some western countries began to include a police post in
their embassy staff a decade ago. The officers can provide direct contact
between and among police forces and work on international crime such as the drug
trafficking to Switzerland and the rest of Europe. Thailand and Mr
Thaksin also have become the leaders of the effort to increase regional
co-operation against drug trafficking. China has assumed a prime role in some
ways, including financing. But it has become clear that the Thaksin government
must come up with both the motivation and means to move the effort. Laos and
Burma may be willing to help. But Rangoon, in particular, remains one of the
biggest drags on advances against drug trafficking in the entire
world. Swiss authorities were honest, even as they took congratulations for last week's big bust of Wa-made methamphetamines. They removed some tentacles from the trafficking monster, but the head remained intact. It remains to be seen if the drug gangs consider their market test in Switzerland to be successful, or if they will look for different weak spots in their next trafficking venture. The exact, next step by the criminals is unknown but the lesson is clear.: Only cross-border co-operation stands a chance against cross-border crime. ------------------------------------------------------------------
Australian Broadcasting Corporation
August 20, 2001.
Laotian leader starts goodwill
visit to Burma
The Prime Minister of Laos, Boungnang Vorachith has arrived in the Burmese
capital Rangoon at the start of a four-day goodwill visit, aimed at further
strengthening ties.
The Prime Minister, who was accompanied by his wife and a 21-member Laotian
delegation, was greeted by Burma's leader, Than Shwe.
Burma's official media marked the visit with a front-page profile of the
Lao leader, saying the visit shows the good relations between the two
nations.
The Laos prime minister's official program includes a visit to the ancient
city of Mandalay, before leaving Burma on Wednesday.
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