21 January 2004
Sectoral reviews of health, education, and agriculture sectors
The Bank Information Center has learned that the Asian Development Bank started reviews in 2002 of selected sectors (health, education, and agriculture) with respect to Burma, after pro-democracy leader Daw Aung San Suu Kyi was released from house arrest in May of that year. Sectoral reviews are conducted as one of the early steps in identifying potential projects and programs for the ADB (and other donors). It is reasonable to assume that any direct assistance to Burma from the ADB would likely start in the health, education and agriculture sectors.
Box 1: ADB assistance strategy documentsTypically, sectoral reviews form a basis of documents called "Country Strategy and Programs (CSP)," which the ADB prepares for each of its borrowing countries. The CSP identifies thematic and sectoral priorities, and lays out the ADB's assistance strategy for that country. In 2001, CSPs began replacing prior ADB strategy documents, including the Country Assistance Plan (CAP) and the Country Operational Strategy Study (COSS). In principle, CSPs are prepared with the borrowing country's participation, including consultation with the government, civil society, NGOs, and the private sector, as well as other aid agencies. There currently is no CSP for Burma. The ADB does, however, have a Country Assistance Plan (CAP) for Burma, but this CAP does not outline any specific area for targeting assistance from the ADB. Burma's CAP covers the period 2001-2003, and upon expiration presumably would be revised as a CSP. |
First drafts of the ADB's sectoral reviews were circulated to and reviewed by Burma's military regime (the State Peace and Development Council, or SPDC). The ADB also circulated second drafts to the SPDC, and the ADB had planned to share these drafts with other donors, such as the World Bank and agencies of the United Nations, once SPDC had given its approval. This process is apparently stalled, but only because SPDC has not yet commented on the drafts, and not because the ADB halted the process after events on May 30, 2003 ("Black Friday").
Tasang dam part of the GMS Power Grid
The ADB recently published the "Regional Indicative Master Plan on Power Interconnection in the GMS," which lays out a power connection scheme among the Greater Mekong Subregion (GMS) countries (see Box 2). The ADB is strongly promoting this scheme. Under the scheme, broadly put, electricity generated by large-scale hydropower plants in China, Laos, and Burma will be exported and consumed in Thailand and Vietnam.
The sole hydropower project in Burma included in the Master Plan is the controversial Tasang project in Shan State. While acknowledging that Tasang is considered "very controversial from an environmental point of view," the Master Plan nevertheless describes it as one of "the most promising interconnection projects investigated during the master plan study," and goes on to identify Tasang as one of the sources of electricity to be exported to Thailand. The ADB has yet to address allegations of human rights abuses, such as forced labor, in relation to the Tasang Project.
Box 2: The Greater Mekong Subregion (GMS)While it does not receive direct assistance from the ADB, Burma is part of the Greater Mekong Subregion (GMS) economic cooperation scheme, which is strongly supported and facilitated by the ADB. Six countries comprise the GMS: Burma, Thailand, Cambodia, Vietnam, Laos and China's Yunnan Province. As a member of the GMS, representatives of Burma's military regime participate in GMS-related meetings at various levels and in capacity building workshops. The ADB will be able to use the GMS scheme as a tool by which to test the waters toward full engagement with Burma. For more information on Burma and the GMS, see: |
Deep-sea port at Mawlamyine
The ADB has identified eleven "Flagship Initiatives" in the GMS, one of which is called the "East-West Economic Corridor (EWEC)". A key goal of the EWEC is to reduce significantly travel time and transport costs between the Andaman Sea and the South China Sea by establishing a land route through Burma, Thailand, Laos and Vietnam. The ADB identifies the building of an industrial port at Mawlamyine (Moulmein) in southern Burma on the Andaman Sea, as well as a road leading to it from the east, eventually connecting to Da Nang on the South China Sea in Vietnam, as a component of the EWEC.
Because the ADB is not providing direct financing for the deep-sea port project, the SPDC applied for a feasibility study for the project to be conducted by the "West East Corridor Working Group."* The Bank Information Center has learned that, at its recent meeting held in Rangoon, the Working Group decided not to approve the feasibility study, given the current political situation in Burma.
* The West East Corridor Working Group is one of eight Working Groups operating under the auspices of economic ministers of ASEAN and Japan. Unlike the EWEC, the West East Corridor is not promoted or supported directly by the ADB. While the EWEC includes construction of a major roadway as its core objective, the West East Corridor focuses on developing "soft" infrastructure, such as human resources and organizational capacity.
New Alternate Executive Director from Burma
U Sein Tin, formerly the Director General of the Central Statistical Organization in Rangoon, has been acting as Alternate Executive Director at the ADB since July 2003, for the Executive Director's office representing Burma, Thailand, Nepal, Malaysia and Singapore. The Executive Director for this office is Chaiyuth Sudthitanakorn from Thailand. As a representative of the SPDC, U Sein Tin, whose term is three years, likely will be advocating for resumption of assistance to Burma from the ADB.
NGO Contacts
Bank Information Center- Mishka Zaman, Asia Program Manager
Tel: +1-202-624-0622,