The Government will continue to develop Kyaukphyu Special Economic Zone project after Kyaukphyu Deep Sea port project in Rakhine State

Kyaukphyu Special Economic Zone project will be developed after Kyaukphyu Deep Sea port Project in Rakhine State, Union Minister for Commerce Dr. Than Myint told the Daily Eleven.

“A framework agreement to launch the first phase of Kyaukphyu Deep Sea Port Project will be signed during this year. The first phase of Kyaukphyu Deep Sea Port Project will be developed with a total investment of US$ 1.3 billion,” added Dr. Than Myint, who is also of the Special Economic Zone Central Working Committee.

Previously, the project was planned to develop with an 85 per-cent stake by CITIC from China and the rest by Myanmar. But after negotiations and adjustments in the time of the current government, the new investment ratio becomes  70-per-cent stake by the CITIC and the rest shouldered by Myanmar (15 % by the government and 15 % by the citizen-owned public company).

“The government will continue to develop the projects based on the economical condition. There will be no breakeven immediately. For instance, the project is developed step by step if we get about 70 per cent of operation costs. It will be more economical when the road between Kyaukphyu-Muse-Yunnan,” he continued.

There are three special economic zones in Myanmar, namely Thilawa SEZ project in Yangon Region Kyaukphyu SEZ in Rakhine State and Dawei SEZ project in Taninthayi Region. Currently, 17 countries have invested over US$ 1.5 billion in Thilawa SEZ project.

(Eleven Media Group: http://elevenmyanmar.com/business/15406 )

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