China has proposed a list of infrastructure projects to be implemented along the China-Myanmar economic corridor. The projects are expected to meet basic infrastructure needs in Myanmar as well as enhance China’s strategic footprint within the country.
Last week, a Chinese delegation led by Yang Haodong, Party Secretary of the Lincang Municipal Committee, presented the proposal to officials from the Directorate of Investment and Company Administration (DICA) and Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).
The list of projects includes construction of Kwanlon Bridge and a highway and railroad connecting Chinshwehaw and Lashio in Shan State.
The Chinese also proposed approving Chinshwehaw as an international border gate and construction of a Special Economic Zone (SEZ) in the town as part of efforts to boost trade and tourism between China and Myanmar. Cross border agriculture cooperation between the two countries was also discussed.
The China-Myanmar economic corridor was established late last year as part of a wider push to enhance cooperation between the two countries.
The economic corridor, which authorities say takes into account Myanmar’s national development plan and its actual needs, starts in China’s Yunnan Province and extends into Mandalay, Yangon and Rakhine, where the Chinese are also discussing the construction of a port and SEZ in Kyaukphyu.
The authorities of both countries hope this will connect all the large China-backed projects along the route and boost development in Myanmar.
The proposal is also a further development of China-Myanmar cooperation under the Belt and Road (B&R) Initiative. During her China trip last year, State Counsellor Daw Aung San Suu Kyi agreed to participate in the initiative, which includes more than 60 countries.
Since then though, critics in the country have voiced concerns regarding Myanmar’s involvement in B&R. There are worries about China’s influence over Myanmar sovereignty and rising debt levels, for example.
Lincang link
Nevertheless, both governments have agreed to cement the economic corridor and further enhance economic ties with each other. Now, the authorities are also working towards signing an agreement to build up tourism in Lashio and Lincang, which is located southwest of Yunnan, according to Dr Maung Maung Lay, UMFCCI vice president, who attended the meeting with the Lincang delegation.
“If it is a good proposal and beneficial and convenient for us after it is considered by the experts and the government, we will not make any objections to the agreement as we also need support to develop the Myanmar economy, especially near the border areas,” he said.
“Myanmar cannot avoid the B&R initiative and it will have to use China’s involvement as an opportunity to negotiate deals that will be to the country’s benefit. These are good proposals if they are implemented well,” said economist U Zaw Pe Win.
Peace process
In fact, accepting the plans submitted by Lincang could help Myanmar’s ongoing peace process by generating economic growth within the more problematic areas along the border such as Kokang and Wa, which are unrecognised and self-administered states in Myanmar located in Shan.
“There is nothing to lose by cooperating with Lincang. As the projects may yield job opportunities and economic growth for the Kokang and Wa people, peace may actually be achieved,” said U Zaw Pe Win.
With the exchange of trade and culture, economy, social lives will be improved. If social lives are improved, armed conflicts will be solved, Dr. Maung Maung Lay said.
“We need to be cautious when negotiating the details of the deals but overall if the projects provide jobs, security will be better and undesired drug issues can be eliminated,” he said.
For now, the authorities are considering the projects and a list of approved projects will be announced once they are confirmed, said U Than Aung Kyaw, deputy director general at DICA told The Myanmar Times.
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