Myanmar cancels Thai investment in controversial mega-port

YANGON : Myanmar on Monday (Jan 18) announced it was cancelling contracts with a Thai industrial giant to work on a controversial deep sea port project.

The Dawei mega-project was touted as a way to encourage foreign investment in Myanmar as it emerged from decades of military rule, but it has been hit by numerous setbacks, including funding struggles and local opposition.

As well as a port, the long-delayed project around the southern town of Dawei aims to develop an industrial area of around 200 square kilometres.

The Dawei mega-project has been hit by numerous setbacks over the years, including funding struggles and local opposition AFP/Soe Than WIN

The committee in charge of the Dawei Special Economic Zone said Monday it had “lost confidence” in Italian-Thai Development (ITD) after repeated issues.

Announcing the cancellation, the Dawei Special Economic Zone Management Committee complained of “repeated delays, continuing breaches of financial obligations under the contracts and the concessionaires’ failure to confirm their financial capacity to proceed with development”.

The chair of the Dawei management committee Tun Naing said Myanmar would now look for new developers to invest in the projects.

ITD could not be reached for immediate comment.

The Bangkok-based firm had already scaled back its involvement in the project in 2013, while Japan has shown some interest in getting involved.

Source: AFP/CNA

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s