AllSBNews: 12/15/15

Tuesday, December 15, 2015

The Irrawaddy Magazine

Tay Za’s Bank to Fund Training for NLD MP-Elects
Ethnic Groups Meet to Defuse Tensions in Northern Shan State
No More Strolling Along Goteik Viaduct in Shan State
Female Politicians Hope to Be Heard in Next Govt
One Dead, 10 Missing after Fresh Hpakant Landslide
‘The Election Is a Game-Changer Both Domestically and Internationally’
Pre-Christmas Fundraiser for Kachin IDPs in Full Swing
New Foreign Bank Licenses Planned for Early 2016
Burma’s High Opium Output a Huge Test for Suu Kyi Government: UN
Obama Expected to Move on Taiwan Arms Sales Before Year-End
Trial of China Rights Lawyer Lasts Three Hours, Police Block Court Access
From Icon to Politician: As Myanmar Changes, so Does Suu Kyi
Thai Activists Urge Release of Man Detained Over Facebook Post

Tay Za’s Bank to Fund Training for NLD MP-Elects

Posted: 15 Dec 2015 05:05 AM PST

National League for Democracy chairwoman Aung San Suu Kyi meets with her party's recently elected representatives from Upper Burma at May Hall in Pyinmana, Naypyidaw, on Dec. 5. (Photo: Facebook / NLD Chairperson)

RANGOON — Burmese tycoon Tay Za's Asia Green Development Bank will sponsor trainings for newly elected members of the National League for Democracy (NLD) as the party's winning candidates prepare to take up their roles, many for the first time, as legislators next year.

According to an NLD announcement released Monday, five separate three-day trainings for the party's MP-elects will be held, based on the geographic constituencies to which they won seats in Burma's Nov. 8 general election.

The first two AGD Bank-backed trainings will take place this month at the Shwe San Eain Hotel in Naypyidaw, a property owned by Tay Za, who remains on a US blacklist barring American companies from doing business with him.

"Since the trainings are for the development of the country, we, AGD Bank, are giving our sponsorship to it," Wai Lin Oo, deputy managing director of AGD Bank, told The Irrawaddy.

He said that although the exact amount of AGD Bank's donation was not yet known, the lender estimated that all told its contribution would be about 150 million kyats (US$115,000).

The bank's generosity—and acceptance of it from the NLD—is being met with some scrutiny, casting a spotlight on the sometimes awkward arrangements that are increasingly likely as the NLD takes the reins of government next year. Like Tay Za, many of the country's most prominent businessmen remain under US sanctions for their ties to Burma's former junta.

Yan Myo Thein, a political analyst, wrote on his Facebook that the NLD needed to think twice about whether to accept sponsorship from the "crony" Tay Za, to whom the party might later feel beholden.

"Must they hold the training in a crony-owned hotel and take their sponsorship? Until they are able to come up with a strategy [for handling] policies or projects related with cronies, they should consider this seriously," he wrote.

Asked about criticism over the party's decision to hold its first two trainings at a luxury hotel owned by the blacklisted tycoon, an NLD official said convenience was the overriding factor.

"I asked U Tay Za for the help and he agreed to it instantly. It will not be convenient to hold at a monastery since there will be around 200 people," said Myo Yan Naung Thein, secretary of the NLD central research management, who is also helping to arrange the trainings.

"We are now working for national reconciliation and the main thing is for it to be convenient for the MPs who will attend the trainings," he told The Irrawaddy.

NLD spokesman Nyan Win told The Irrawaddy that he was not aware of the sponsorship arrangement with AGD Bank, nor did he know of the Naypyidaw trainings' venue.

"Even if I did know, there is nothing serious, from my point of view, about whether we hire out or get for free the hotel, which is available to all customers," he said.

The NLD has accepted donations from the nation's so-called "crony class" in the past. At a fundraiser event held by the NLD to mark the second anniversary of the founding of its education network in Rangoon, the Shwe Than Lwin Company, owned by mogul Kyaw Win, and Htoo Group of Companies, Tay Za's sprawling business conglomerate, both made donations.

In 2013, NLD chairwoman Aung San Suu Kyi went on record as indifferent to any ethical quandary that might be presented by taking money from businesspeople accused of cozy ties to Burma's former military regime.

"Those who are considered cronies have supported the social activities of the NLD and others. What is wrong with that? Instead of spending their money on things that have no purpose, they have supported things that they should support. It's a good thing," Aung San Suu Kyi told reporters while attending parliamentary meetings in Naypyidaw on Jan. 9, 2013.

At the first meeting with NLD MP-elects in Rangoon following the party's electoral triumph last month, Suu Kyi encouraged all incoming lawmakers to study the Constitution and the party manifesto, and to build "healthy relationships" among each other to strengthen party solidarity and to improve their English language skills.

Of the two Naypyidaw trainings, the first will take place from Dec. 16-18 for winning candidates from Mandalay Division and Shan and Kachin states. MP-elects from Sagaing Division and Chin and Karenni states will get their go from Dec. 20-22.

A third training will be held from Jan. 6-8 at a yet to be determined location, with an additional two trainings to follow in Rangoon the week after.

Additional reporting by May Sitt Paing.

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Ethnic Groups Meet to Defuse Tensions in Northern Shan State

Posted: 15 Dec 2015 04:14 AM PST

Yawd Serk, left, and Twan Zaw speak to the press after a meeting between the Restoration Council of Shan State and the United Nationalities Federal Council on Tuesday. (Photo: Kyaw Kha / The Irrawaddy)

CHIANG MAI, Thailand — The Restoration Council of Shan State (RCSS) and the United Nationalities Federal Council (UNFC) met in Chiang Mai on Tuesday to defuse recent tensions after clashes between two ethnic armed groups in northern Shan State.

Since the end of November there has been simmering military tension between the RCSS, a signatory of the government's so-called "nationwide" ceasefire agreement, and the Ta'ang National Liberation Army (TNLA), a member of the UNFC alliance, over territory in Namkham Township near the Chinese border. It appears that Tuesday's meeting has, at least temporarily, smoothed over the dispute.

Both sides have accused the other of instigating the conflict, which occurred in an area that has traditionally been under the TNLA's control.

"We are not the enemy, so we must meet and negotiate," Lt-Gen Yawd Serk, chairman of the RCSS, said, remarking that it remains a "question as to why they [the TNLA] attack us."

Gen. Be Htoo of the Karenni National Progressive Party led UNFC representatives in meeting with Lt-Gen Yawd Serk and his deputy, Col. Sai Ngin.

The RCSS also urged the TNLA to immediately release civilians it accused the group of detaining, with Yawd Serk saying that "people are in fear" until the two sides meet.

The TNLA maintains that the Shan State Army-South—the armed wing of the RCSS—and the Burma Army cooperated in attacking its forces, a claim strongly denied by Yawd Serk.

TNLA spokesperson Tar Ban La could not say on Tuesday whether a meeting with the RCSS would occur. He added that his organization would wait for additional information from the UNFC after Tuesday's meeting concluded.

The RCSS is also reportedly at odds with the Kachin Independence Army's 4th Brigade, also based in northern Shan State. The KIA, a member of the UNFC, is not a party to the government's ceasefire accord.

In recent months, the Burma Army has also launched an offensive against the Shan State Progressive Party in northern Shan State. Clashes that began on Oct.6 have displaced an estimated 10,000 refugees in Mong Hsu and Kyethi townships.

Ywad Serk said that the government should be focusing on negotiating with non-signatories to its ceasefire agreement.

"We can't reach a political solution if the Burma Army keeps carrying out military offensives," he said.

The UNFC held its annual council meeting last week and also formed a nine-member committee to continue political negotiations with the next government. Twan Zaw, secretary of the UNFC and a leader of the Arakan National Council, told reporters that Tuesday's meeting was convened to encourage greater collaboration between those present.

"The NCA is not a barrier between us, even though we have not yet signed it," he said.

He added that the UNFC will continue working to mediate conflict between the RCSS and the TNLA, an issue that was also raised at last week's council meeting.

The post Ethnic Groups Meet to Defuse Tensions in Northern Shan State appeared first on The Irrawaddy.

No More Strolling Along Goteik Viaduct in Shan State

Posted: 15 Dec 2015 02:41 AM PST

Passengers lean out the window of a train as it crosses the Goteik Viaduct in Shan State's Nwangkhio Township. (Photo: Teza Hlaing/The Irrawaddy)

RANGOON — Authorities are clamping down on a restriction that prohibits walking along the Goteik Viaduct in Shan State's Nawnghkio Township, a ban already in place for the landmark railway trestle that was not previously enforced, according to Aye Maung, an assistant general manager with the state-owned Myanmar Railways.

"In fact, walking has never been allowed on the viaduct. Despite the warning notices, people walk on the viaduct. We are warning because of the danger of falling off it," Aye Maung told The Irrawaddy.

Previously, the viaduct was largely only accessible by train, but visitors can now easily reach the site by car. The viaduct's popularity as a tourist destination has grown as a result, say locals, drawing visitors from many parts of the country.

"There were already notices saying 'No passing except concerned authorities,' but we walked right through," said Pan Pan, a Mandalay resident who visited the viaduct earlier this month. "But some do not behave themselves. The train had to sound its horn to warn people sitting [on the viaduct] to get out of its way."

Aye Maung said the bolstered effort to enforce the restriction went into effect Monday.

In addition to a route linking Pyin Oo Lwin and Lashio that passes over the viaduct, Myanmar Railways operates a railway gang car for tourists looking to experience to scenic ride over the bridge without committing to the lengthier train journey connecting the two towns.

The largest railway trestle in the world at the time of its construction, the Goteik Viaduct is more than 115 years old and was built across a valley that sees the structure span 2,260 feet in length. Its tallest tower is more than 800 feet high.

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Female Politicians Hope to Be Heard in Next Govt

Posted: 15 Dec 2015 02:33 AM PST

Female parliamentarians meet for a roundtable discussion Naypyidaw on Monday. (Photo: Kyaw Hsu Mon / The Irrawaddy)

NAYPYIDAW — Burma's female politicians are optimistic that the increased number of women elected to the Union Parliament will spur the next government to take action on a number of prominent and neglected issues.

During a two-day roundtable discussion held in Naypyidaw by the Danish Institute for Parties and Democracies (DIPD), more than 40 women leaders and politicians from 19 political parties, including the National League for Democracy (NLD) and other small ethnic parties, gathered to discuss women's engagement in the political process.

Nan War Nu, an outgoing lawmaker for the Shan National Democratic Party, who lost her bid for re-election in November, told The Irrawaddy that she is confident the new government will be able to conclude the peace process, which would be crucial for women and children still living in camps for internally-displaced persons.

"In order for these IDPs to go back home, we need peace. I believe that an NLD-led government can achieve this. A related issue will be confronting violence aimed specifically at women and children," she said. "The quality of candidates will speak for itself. Quantity won't matter. We're just waiting to see what they can do."

Cing Ngaih Mang, an Upper House MP-elect for the Zomi Democracy Party in Chin State, said that women had powerful roles to play in national politics, particularly in ethnic areas.

"As a mother and a female politician, I can help them [women in ethnic areas] promote and better their own lives. If more women have voices in Parliament, the outlook of women in these areas could become stronger," she said.

Though more than 100 female NLD candidates were elected in the recent election, some are worried about how their political roles might be overshadowed by party chairwoman Aung San Suu Kyi.

During the election campaign, a party edict required NLD candidates to gain the approval of Suu Kyi and the party's central executive committee to speak on most issues. Rival parliamentarians say that NLD lawmakers should work to serve their constituents and other MPs, rather than prioritizing the instructions of the party leadership.

"Candidates should work for the people. We've attempted many times to help women through the Parliament but we weren't successful," Khin Saw Wai, a Lower House lawmaker for the Arakan National Party, told The Irrawaddy. "I believe this second session will be better than the first because more of the parliamentarians will be women."

Zin Mar Aung, the NLD's elected MP for the Lower House seat of Yankin, agreed that the next parliament in Naypyidaw would benefit from the greater proportion of women elected to public office.

"If more women can participate in important political decision-making, this will be a positive step for Burma's transition," she said.

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One Dead, 10 Missing after Fresh Hpakant Landslide

Posted: 15 Dec 2015 02:05 AM PST

Small-scale prospectors search for jade residue at a mine in Hpakant, Kachin State on Nov. 27. (Photo: Soe Zeya Tun / Reuters)

MANDALAY — At least one jade miner has been killed and locals believe that 10 prospectors are still missing after a landslide in Kachin State's Hpakant Township.

A mountain of mine waste in La Mong Kone village collapsed on Monday while prospectors were searching for jade residue. The latest incident occurred just a few kilometers away from a landslide which last month killed at least 114 prospectors.

"As far as we can confirm, only one person has died," said a local police officer. "The landslide moved slowly, so most of the people working on the waste pile had time to run for their lives."

The officer added that it would be difficult to retrieve to body of the miner.

"According to witnesses, he fell down from a cliff and was buried deeply," he said. There is a danger of further landslides on the waste pile as well."

Witnesses contend that at least as many as 10 miners are still missing.

"There were about twenty people searching for jade residues on that waste pile," said Khin Maung, a prospector who witnessed the incident. "The waste pile slowly slid down, with people shouting and running away. Some escaped, but some did not."

Deadly landslides are common among the jade mines in Hpakant. Following last month's tragedy, lawmakers have called on the government to address longstanding safety concerns. No decisions on safety measures have yet been made by the Ministry of Mines.

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‘The Election Is a Game-Changer Both Domestically and Internationally’

Posted: 15 Dec 2015 01:54 AM PST

The director of Norwegian Burma Committee, Audun Aagre. (Photo: Supplied)

The Norwegian Burma Committee (NBC), a nongovernmental organization based in Oslo, has invited a group of leading Burmese activists to Norway to talk about the Southeast Asian nation's political transition, peace process and ethnic affairs. The activists include Ko Ko Gyi of the 88 Generation Peace and Open Society and Naw Zipporah Sein, the vice chairwoman of the Karen National Union (KNU), one of Burma's largest ethnic armed groups. The Burmese delegation arrived to Norway over the weekend and will conclude their visit on Dec. 17.

The Norwegian government and NGOs based in the country have been involved in Burma's pro-democracy movement for more than 20 years. Under the reformist government of President Thein Sein, Oslo began shifting its policy toward Burma, channeling financial support to the Burmese government and government-associated organizations while reducing or cutting support to exiled democratic forces.

The Irrawaddy this week interviewed the director of the NBC, Audun Aagre, about the Burmese delegation's trip, the role of the Norwegian government in Burma and its evolving policy toward the country following its historic election last month.

What is the purpose of inviting these Burmese activists to Norway?

We are really glad that Ko Ko Gyi, Zipporah Sein and Khine Win [director of the Sandhi Governance Institute] accepted our invitation, as we wanted to introduce the Norwegian public and policymakers to actors in the democratic transition. There will be open seminars, a session with the Myanmar Network at the parliament, several meetings with political leaders in the government and parliament, and a session with the leadership of the Liberal Party. There will also be lectures at the University of Oslo with introductions to the Scandinavian model of welfare state and social democracy, political transitions and peace processes, as desired by the delegates.

What issues will they talk about during their trip?

We will mainly discuss the post-election period, and the path to peace and democracy. The political process is in a crucial phase, where we expect to see a transition to a democratically elected government. We are now in unchartered waters, where it is crucial that the military decide to go with the people, and not work against them. Only then can we see democracy and peace. To see that happen, we depend on brave civilian and military leaders.

Who will they be meeting during the trip and how many countries are they visiting?

Khine Win and Zipporah Sein will visit Norway only. Ko Ko Gyi attended the Nobel Peace Prize ceremony on Dec. 10, and has visited Belgium, the Netherlands and France. They will meet the NBC Board; Myanmar Network at the Norwegian Parliament; former Prime Minister Kjell Magne Bondevik; the general secretary of the Liberal Party will talk about the party's responsibility; and professors at the University of Oslo will have an exclusive lecture.

There will be meetings with the deputy minister at the Ministry of Foreign Affairs, Mr. Tore Hattrem, and meetings with the Norwegian team involved in the peace process in Colombia. Besides that, there will be several meetings with the Burmese community in Norway, and we are happy that Mun Awng [a prominent Burmese singer] will play some songs too.

What issues will the KNU's vice chairwoman talk about during her trip there?

Both Zipporah Sein and Ko Ko Gyi are involved in the peace process, representing the KNU, NCCT [Nationwide Ceasefire Coordination Team] and 88 Generation Peace and Open Society. Zipporah Sein will surely focus on the next steps in the process—how to make it more inclusive; how to get a better balance in the international support of the process; how to hand over the leading role of the process to an elected government, from an outgoing government and the Myanmar Peace Center.

We cannot have a setup where representatives of an outgoing government and Parliament have more influence than an elected [incoming] Parliament and the next government. It is positive that the current government and President Thein Sein have said they will secure a responsible handover.

How does the NBC view Burma's historic election?

The election was extremely important, despite the obvious limitations, and the government and UEC [Union Election Commission] deserve credit for that. The election proved a strong mandate to NLD [National League for Democracy]. The results in 1990 and 2015 were almost the same. It is more than impressive. This alone is a game-changer both domestically and internationally. Still, the election doesn't change the military's political influence.

The Constitution secures a kind of coalition government of the elected party and the non-elected military. The military has the power to work against an elected government, from the parliament, from the government and on the battlefield. To put it the other way around, the military has the power to work with the process and with the people. We should believe in the power of doing good, but it must be proven by the military. It might be that the NLD will fail to live up to the expectations; we need to carefully assess whether this is to be blamed on the NLD or the military. This comes with the responsibility the military has granted themselves.

How will the outcome of the Nov. 8 vote impact Norway's policy on Burma?

NBC is a nongovernmental organization. We are not under the influence of the government, and it is not a secret that we have been critical of the shift in EU and Norwegian policies, as too one-sided, and more supportive of a pro-military government than an opposition that undoubtedly the people wanted to lead. This understanding is not political rocket science. It has been obvious for years.

Now the international policy needs to change, thanks to brave political candidates and the people's voting on Nov. 8. It is legitimate to argue that a policy change at this time is not very honorable, but still is important.

Since the NLD will form the new government, how will the NBC cooperate with the party?

NBC has worked on Burma/Myanmar issues for 23 years. Our founder was an important player in the nomination process for Aung San Suu Kyi for the Nobel Peace Prize in 1991. We were co-founding DVB [Democratic Voice of Burma], and even shared an office in the early days. We have a good network with the ethnic organizations and parties, the NLD, but also the current government and USDP [Union Solidarity and Development Party].

I believe we have one of the most important assets for foreign organizations in Burma/Myanmar politics: trust. It doesn't come easily. We will continue to contribute in a way our partners believe will benefit the Burmese people the most. I have to stress that NBC is not a part of the Norwegian government, and one of our main tasks is to work for an improved policy from our own government.

And what about the peace process in Burma?

For the peace process, other actors have been given a more prominent role than the NBC, but we have a good political understanding. I would like to say that it is time to rethink the process, to ensure that all groups in the NCCT and UNFC [United Nationalities Federal Council] are included. The single text is agreed upon, and it should be easy to make the process inclusive if there is a will.

The international setup for the process has been based on a weak understanding of the complexity of the process. You cannot support an MPC [Myanmar Peace Center] under the government without supporting a peace center under the ethnic armed organizations. You cannot put the money for well-functioning education and health systems in the ethnic states, and channel the money to Naypyidaw, and let the MPC be the gatekeeper for these funds. When international monetary flows in reality are strengthening a centralized structure, weakening federal structures, it is about the worst signal you could send to the ethnic minorities.

And it is about time to stop calling ethnic armed organizations 'rebels,' including journalists. The ethnic groups are not the aggressor. They are not fighting to conquer Burman territory. They are not fighting for separation from the union. They are legitimately defending ethnic territory and defending their people.

I hope to see a positive development, with mutual respect between the Burmans and the ethnic minorities. The suffering in the ethnic areas has been immense and beyond belief for many.

Aung San Suu Kyi will lead the next government. How do you see Norway's Burma policy shifting under her government compared with the outgoing administration?

I hope Norwegian policies will change for the better. Many of the projects Norway has supported and invested in the last years are good, and should continue. The problem has been a weak and one-sided policy, and a problematic understanding by some diplomats. Norway had a prominent role in Burma/Myanmar in the '90s for the right reasons. The Norwegian political U-turn was problematic, and hailed by the military and criticized by Aung San Suu Kyi and many ethnic organizations.

Norway obviously needs to improve their policy again. Not very honorable and brave at this time, but still very important. The international community should be more willing to support a weak elected government, than a strong non-elected government. And we should understand the opportunities and constraints for an elected government.

The NBC is also known by its Norwegian name, Den Norske Burmakomité.

The post 'The Election Is a Game-Changer Both Domestically and Internationally' appeared first on The Irrawaddy.

Pre-Christmas Fundraiser for Kachin IDPs in Full Swing

Posted: 15 Dec 2015 01:52 AM PST

A promotional flyer for a fundraiser organized by the Kachin Peace Network for internally displaced persons (IDPs) in Kachin and northern Shan States. (Photo: Facebook / Shine Khit)

In the weeks before Christmas, a local civil society group has launched a holiday fundraiser to provide aid to Burma's tens of thousands of ethnic Kachin internally displaced persons (IDPs).

The campaign, organized by the Kachin Peace Network, is being carried out through Facebook and will last until Dec. 20. Funds collected will be given to IDPs, in conjunction with the Joint Strategy Team (JST) for Humanitarian Response in Kachin and Northern Shan State, a collaboration of nine Kachin civil society groups that have joined together to support IDPs.

Mai Hla Aye, a volunteer with the network, told The Irrawaddy on Monday that the campaign was started with the simple goal of contributing as much as possible to IDPs, the majority of whom are Christian.

"They haven't been able to participate in Christmas activities for years, so we just want to give them something, especially since we tend to celebrate this time of year with family," she said.

So far the campaign has raised more than 12 million kyats (US$9,200) in two weeks' time. Supporters can donate in person, online or through the bank.

Mai Hla Aye, who is ethnic Chin and director of the think-tank Another Development, said funds will be transferred to the JST, which will then see to it that they are distributed to Kachin, Shan and Palaung IDPs in remote displacement camps.

Since a 17-year ceasefire between the Kachin Independence Army (KIA) and Burma Army broke down in 2011, violence in Kachin and northern Shan states has displaced an estimated 100,000 people. When including returnees, host families, and other crisis-affected people, this number spikes to about 140,000.

According to campaign organizers, less than 48 percent of IDPs' basic needs are being met, and they are in desperate need of sustained humanitarian assistance.

The Facebook page of the Concern, Care and Contribute to IDPs group, of which the Kachin Peace Network is a member, states that as a result of conflict, IDPs have not been able to properly celebrate Christmas for the past five years. Rather than a time of joy, this time of year is one of "sorrow and sadness," as violence has stripped them of their property and separated them from their loved ones.

"We want this civil war to cease. We have suffered the military's abuses not only in Kachin State but also in Chin State," added Mai Hla Aye, who has spearheaded other fundraising campaigns for IDPs this year.

Last Tuesday, the German Embassy in Rangoon released a statement pledging some 1.3 million euros ($1.43 million), via the Metta Development Foundation, in humanitarian assistance to aid Burma's war-torn areas.

But there has been a shortage of IDP assistance in 2015, according to the United Nations Office for the Coordination of Humanitarian Affairs (OCHA), which said Friday that about 1 million people in Burma, including victims of both conflict and natural disasters, need support.

Of this total need, Kachin and Shan refugees account for more than 100,000 IDPs. An additional 4,000 people in Kyethi and Mong Hsu townships in southern Shan State have also recently been displaced. The 2015 Humanitarian Response Plan called for $71.4 million to meet humanitarian needs in Kachin and northern Shan states. As of now, only $35.7 million, or 50 percent, has been received this year.

"Because these particular areas are unstable, refugees and IDPs there suffer every winter," said Aye Win, a UN information officer in Rangoon.

"We need collaboration from local groups in order to meet their humanitarian needs."

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New Foreign Bank Licenses Planned for Early 2016

Posted: 15 Dec 2015 01:52 AM PST

The Industrial and Commercial Bank of China is one of nine foreign banks to win licenses to commence limited operations in Burma in 2014. (Photo: Jason Lee / Reuters)

NAYPYIDAW — The Central Bank of Myanmar has announced that it will issue a second round of licenses to foreign banks, possibly before the next government takes office at the end of March.

Monday's announcement said that new licenses would be offered to banks based in neighboring countries and Burma's important trading partners, with priority given to institutions that already had representative offices in the country or were in the process of establishing one.

Banks based in countries with institutions which had already won licenses in 2014—including Australia, Japan, Malaysia, China, Singapore and Thailand—will not be permitted to compete in the current licensing round.

Nine foreign banks are currently operating in Burma under stringent conditions. Each are prevented from competing in the retail banking sector against local lenders and are only permitted to operate a single branch.

Chit Khine, chairman of the Myanmar Apex Bank, said that the introduction of more foreign operators was a welcome development but questioned the timing of the licensing process, which will coincide with the incoming parliament and transfer of power to the next government.

"It's still too early to issue more licenses for foreign banks, as they can't operate much in the local market with their restrictions—they are not able to lend money to people," he added. "Foreign banks can only work for their countries here. If they want to work here, at least, they will have to deal with local banks, that's why their operations have not increased in size over the last year."

Among the 25 foreign banks who competed for licenses last year, all nine winners are based in the Asia-Pacific. They are the Industrial and Commercial Bank of China, Australia's ANZ Bank, the Bangkok Bank, Malaysia's Maybank, the United Overseas Bank and Oversea-Chinese Banking Corporation of Singapore, and Japanese lenders Bank of Tokyo Mitsubishi, Sumitomo Bank and Mizuho Bank.

Central Bank deputy governor Sett Aung was unavailable for comment on Tuesday, with his staff telling The Irrawaddy he was currently out of the country.

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Burma’s High Opium Output a Huge Test for Suu Kyi Government: UN

Posted: 15 Dec 2015 01:39 AM PST

A young woman gathers opium poppy resin in southern Shan State. (Photo: Steve Tickner / The Irrawaddy)

BANGKOK — Opium production in Burma has stabilized for a third year, the United Nations said on Tuesday, but remained a daunting challenge for the untested government of Nobel laureate Aung San Suu Kyi that takes power in February.

Burma produced an estimated 647 tons of opium in 2015, second only to Afghanistan, the United Nations Office on Drugs and Crime (UNODC) said in a new report.

That figure was steady from the previous year, as was the total area under opium poppy cultivation, which stood at 55,500 hectares (212 sq miles) in 2015, the UNODC said.

Jeremy Douglas, the UNODC's chief in Southeast Asia and the Pacific, warned against calling the stabilization a "success."

"Production remains at high levels, and displaced farmers without alternatives may return to growing poppy," he told Reuters.

Burma is a major producer of not only opium and its derivative heroin, but also the highly addictive drug methamphetamine, known across Asia by its Thai name "yaba," or crazy medicine.

The illicit industry is worth billions of dollars, and is driven by poverty, conflict and Chinese demand.

Narcotics pose another headache for Suu Kyi's National League for Democracy (NLD) party, which will soon govern a large, impoverished and fractious nation after winning a landslide election victory in November.

"Given the scale of the challenge … she has a big task in front of her. It's not something that's going to be fixed in a day," Douglas said.

The NLD's election manifesto contained only two fleeting references to narcotics.

"We do recognize the existence of this problem but we're too preoccupied with preparations for transfer of power and can't find a chance to think of it seriously at the moment," Win Htein, a senior NLD leader, told Reuters.

Suu Kyi has often addressed the issue of drugs in her speeches, he said.

Even under an NLD government, the military will retain formal control over the ministries of defense, border affairs and home affairs—all crucial to counter-narcotics efforts.

Most drugs are produced in border areas controlled by ethnic rebel armies or by the Burmese military and allied militias.

Burma, Laos and Thailand make up the so-called Golden Triangle, which churns out a quarter of the world's opium.

The area under cultivation in Laos also stabilized at 5,700 hectares (22 sq miles) in 2015, while Thailand had only a few hundred hectares, said the UNODC.

Most Golden Triangle opium and heroin goes to China, but they are also widely available in Burma, where addiction is common and many injecting drug users are HIV-positive.

Experts fear that Burma could soon witness an explosion in methamphetamine use, already common in the rest of Asia.

The Burmese police launched an aggressive poppy-eradication campaign in 2012, a year after a semi-civilian government replaced military rule. However, the UNODC's Douglas said its impact had been "minimal."

He called for the scaling up UNODC projects in Burma to provide opium farmers with alternative sources of income, such as coffee.

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Obama Expected to Move on Taiwan Arms Sales Before Year-End

Posted: 14 Dec 2015 09:22 PM PST

Activists protest against the Singapore meeting between Taiwan's President Ma Ying-jeou and China's President Xi Jinping outside the Ministry of Economic Affairs in Taipei, Taiwan, on Nov. 7, 2015. (Photo: Pichi Chuang / Reuters)

WASHINGTON — The Obama administration is expected as soon as this week to authorize the sale of two guided missile frigates to Taiwan, US congressional sources said on Monday, in spite of China's opposition to the deal.

"We're expecting an announcement as early as this week," a Republican congressional aide said. Another congressional aide said the notification from the administration was expected "any time now."

The sale would mark the first time in four years that the United States has shipped arms to Taiwan, the longest gap in such arms sales in nearly four decades.

It comes a year after Congress passed the Naval Transfer Act authorizing the sale of up to four Perry-class frigates to Taiwan in December 2014.

Taiwan has said it expects to pay about US$176 million for the two vessels and that it would review its needs before making a decision on two more.

President Barack Obama signed the transfer act into law, but his administration still has to tell Congress its plans to move ahead with the sale, part of Washington's commitment under the Taiwan Relations Act to ensure Taipei can maintain a credible defense.

The White House declined comment about the sale, which would come after increasingly intense pressure from Congress, including a unanimous vote last week by the House Foreign Affairs Committee on legislation calling on Obama to provide a timeline on when it would move forward.

Past US weapons sales to Taiwan have attracted strong condemnation in China, which considers Taiwan a renegade province.

Analysts and congressional sources believe the process has been held up by the administration's desire to maintain stable working relations with China, an increasingly powerful strategic rival but also a vital economic partner as the world's second-largest economy.

Most recently the Obama administration has been working with Beijing to forge a landmark global climate agreement that was sealed on Saturday after two weeks of intense negotiations, setting the course for a historic transformation of the world's fossil fuel-driven economy within decades.

Congressional sources said the White House was pushing to move ahead with the Taiwan deal before the end of 2015—an important deadline because of Taipei's budget cycle.

The frigates will come out of existing US inventory and will not require new ships to be built.

Chinese Opposition

A spokesman for the Chinese Embassy said on Friday that China "firmly opposes any arms sales from the United States to Taiwan."

"We urge the US government to stop selling arms to Taiwan to avoid hurting China-US relations and disturbing peaceful development of cross-strait relations."

Beijing expressed anger at last year's bill, although arms sales to date to Taiwan have not caused lasting damage to Beijing's relations with either Washington or Taipei.

The new sales would come at a period of heightened tensions between the United States and China over the South China Sea, where Washington has been critical of China's building of man-made islands to assert expansive territorial claims.

China was angered when the United States sent a guided-missile destroyer close to one of the islands in October and B-52 bombers nearby last month.

While Taiwan has been overshadowed recently as a US-China issue by the South China Sea, it has the potential to flare up again, especially with Taiwanese elections coming up next month and a party which traditionally favors independence from China expected to win.

The House of Representatives Foreign Affairs Committee last week unanimously passed the Taiwan Naval Support Act, which asked Obama to submit to Congress a timeframe for sending the ships.

Representative Eliot Engel, the ranking Democrat on the committee, called last week for more regular arms sales to Taiwan, despite China's political sensitivity on the subject.

"Our desire not to upset Beijing shouldn't come at the expense of Taiwan's security," Engel said.

In November, Republican Senator John McCain, chairman of the Senate Armed Services Committee, and Democratic Senator Ben Cardin, ranking member of the Senate Foreign Relations panel, wrote to Obama urging "more robust" US security assistance and sales to Taiwan.

"We are troubled that it has now been over four years—the longest period since the passage of the Taiwan Relations Act in 1979—since the administration has notified Congress of a new arms sale package," the senators wrote.

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Trial of China Rights Lawyer Lasts Three Hours, Police Block Court Access

Posted: 14 Dec 2015 09:14 PM PST

Plainclothes police officers lift a supporter of China's rights lawyer Pu Zhiqiang who was pushed to the ground by police officers near a court where Pu's trial is being held, in Beijing on Dec. 14, 2015. (Photo: Kim Kyung-Hoon / Reuters)

BEIJING — The trial of one of China's most high profile human rights lawyers on charges of inciting ethnic hatred and provoking trouble lasted just three hours on Monday, with police blocking diplomats, foreign reporters and protesters from the court.

Pu Zhiqiang, who has spent nearly 19 months in detention, faces up to eight years in prison if convicted, according to one of his lawyers, Shang Baojun.

As many as 11 diplomats from countries including the United States, Germany and France congregated near the Beijing courthouse seeking to observe the trial. They were refused admittance by the police.

Dan Biers, deputy political counsellor of the US Embassy in Beijing, called for Pu's release and criticized the "vague charges" that have been handed down against Pu.

Police tried to prevent Biers from reading out a statement near the courthouse, pushing him and foreign reporters out of the way. Dozens of police and plainclothes security surrounded the Beijing No. 2 Intermediate People's Court, where they blocked foreign journalists attempting to report on the trial.

Neither the court nor public security authorities could immediately be reached for comment. China's Foreign Ministry spokesman Hong Lei said "law enforcement authorities carried out order management at the scene in accordance with the law."

"The relevant people should cooperate," Hong said at a daily news briefing, urging all foreign countries to "respect China's judicial sovereignty."

US State Department spokesman John Kirby said the United States was "dismayed with the physical harassment of Chinese and international observers, including journalists and diplomatic personnel outside the court house."

China has charged many rights activists with "picking quarrels and provoking trouble," saying it is a country with rule of law and dismissing any international criticism on its rights record.

The main accusations against Pu revolve around seven microblog posts on his online accounts, his lawyers say. The posts had criticized China's ethnic policy in the troubled western region of Xinjiang and denounced several officials.

Pu's trial lasted a little over three hours, Mo Shaoping, another one of his lawyers, told Reuters.

"He admitted the seven microblogs were written by him, there was no issue with it, this is a fact," Mo said, recounting what Pu said in court.

"Secondly, he said that if these microblog posts had caused injury to other people, he apologizes for it. Thirdly, he had no intention to incite ethnic hatred or pick quarrels and provoke trouble."

Mo said the court did not ask Pu specifically whether he was pleading guilty.

Clampdown

Pu's case will be seen by rights groups and the West as a measure of what they say is the most severe clampdown on human rights in two decades in China.

"Pu's trial is extremely important—he's the ultimate canary in the coalmine," said Maya Wang, a China researcher for Human Rights Watch. "If they decide to be harsh against him, I'd say it'll signify a further escalation of hostility toward human rights activism."

Pu has represented many well-known dissidents, including artist Ai Weiwei and activists of the "New Citizens' Movement," a group that has called on Chinese leaders to make their wealth public.

Despite being pushed back by the police, about 40 supporters gathered outside the courthouse and chanted slogans to show their solidarity with Pu.

"Pu Zhiqiang is not a criminal. He will be judged by history," said Qu Biao, 53, a teacher from northern Shaanxi province who had traveled to Beijing to show his support for Pu.

"The Chinese constitution protects freedom of speech, so putting him on trial is unjust and shameless. If Pu Zhiqiang is guilty, then we are all guilty."

Pu, 50, was detained in May 2014 after he attended a meeting in a private home to commemorate the suppression of pro-democracy protests in and around Tiananmen Square in 1989. Pu, who had participated in the protests, had vowed to commemorate the anniversary every year.

Authorities had rejected his lawyers' request for medical parole earlier in September, his lawyer, Shang, said.

In the past two years, the government has launched a crackdown on online rumors, detained hundreds of human rights lawyers in a nationwide sweep, and jailed a journalist on a charge of leaking state secrets.

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From Icon to Politician: As Myanmar Changes, so Does Suu Kyi

Posted: 14 Dec 2015 08:46 PM PST

National League for Democracy (NLD) leader Aung San Suu Kyi attends Burma's first Parliament meeting after the Nov. 8 general election on Nov. 16, 2015. (Photo: Reuters)

NAYPYIDAW — When Aung San Suu Kyi spoke warmly on a recent radio show about a critical meeting that followed her landslide election victory, she was referring to talks with the very man who had detained her for 15 years.

Listeners might have been surprised by the Nobel peace laureate's gentle tone toward Than Shwe, former head of the junta that ruled Burma for nearly half a century.

But it was just one of several conciliatory gestures Suu Kyi has made toward her one-time enemies since the Nov. 8 poll, underlining her transformation from persecuted democracy icon to pragmatic politician.

Her readiness to forge alliances with even those she once reviled could augur well for Burma, no longer a global pariah but still a country fraught with political risk as Suu Kyi's National League for Democracy (NLD) and the military prepare to share power.

"We should think of working for the emergence of a brighter future based on the present situation, instead of thinking why we didn't do it in the past," Suu Kyi said after meeting Than Shwe, whose regime kept her locked up in her lakeside Rangoon home and prevented her dying British husband from visiting Burma.

In the month since her election triumph, the 70-year-old Suu Kyi has also held talks—cordial, according to media reports—with President Thein Sein, a former military commander, and armed forces chief Snr-Gen Min Aung Hlaing.

In other mollifying moves, she has called on her supporters to restrain their victory celebrations and warned NLD lawmakers not to call themselves "winners" in media interviews.

"It's about smoothening the way," said analyst Richard Horsey, a former senior United Nations official in Burma. "It's about building relationships and political positioning, which is very important."

The events suggest that Suu Kyi, who often comes across as stern and uncompromising, is settling into realpolitik.

The army's powers have not substantially diminished since a shift to semi-civilian rule in 2011: Under the Constitution, it is guaranteed 25 percent of the seats in Parliament, and controls three big-budget and powerful ministries.

Than Shwe resigned as head of state and army chief in 2011 and stepped away from active politics, but diplomats and observers say he retains enough clout to make the closed-door appointment with Suu Kyi a major step in easing her party's formation of government.

"It is the truth that she will become the future leader of the country. I will support her with all of my efforts," the former dictator was quoted as saying by his grandson Nay Shwe Thway Aung after the meeting.

Suu Kyi's journey from the barricades to the corridors of power began more than three years ago when she won a parliamentary seat. She cultivated ties with assembly speaker Shwe Mann, another former general who had been part of Than Shwe's inner circle.

Shwe Mann was sacked from the leadership of the then-ruling party by Thein Sein in August, partly because of his closeness to Suu Kyi. The military-backed Union Solidarity and Development Party (USDP) was trounced in last month's election.

"Daw Aung San Suu Kyi and I meet quite often," Shwe Mann told Reuters last week, referring to her with an honorific.

"We got to understand each other during these meetings," he added, calling her "straightforward, courageous and very frank."

Now, Shwe Mann advises Suu Kyi on how to navigate the transition and deal with the military. "We thought that it's important to use [Than Shwe's] influence to the best advantage of the country by holding frank and sincere talks," he said.

The military has made no official comment on Suu Kyi's meeting with Than Shwe.

"No doubt U Than Shwe still has influence on all and enjoys the respects of both the military and the government," said a high-ranking military lawmaker who did not want to be named. "But we can't say for sure that the current commander-in-chief will nod to everything that others say when it comes to national security."

Despite her own tribulations at its hands, Suu Kyi has refrained from openly criticizing the military and she once admitted to having a "soft spot" for the armed forces. Her father, Gen. Aung San, is the hero of post-colonial Burma, and one of the founders of its army.

Analysts say Suu Kyi is also treading carefully after what happened in 1990, when the military ignored a thumping election victory by the NLD, placed her and hundreds of her party members under arrest, and continued in power.

"This traumatic experience is informing their very careful approach," said Horsey, the analyst, referring to the NLD.

"It is informing the talk of reconciliation in a broad sense, but more practically Suu Kyi is reaching out to other political forces saying: 'We're going to reach out and work hand in hand.'"

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Thai Activists Urge Release of Man Detained Over Facebook Post

Posted: 14 Dec 2015 08:34 PM PST

Laborers work on giant bronze statues of former King Ram Khamhaeng, center, and King Naresuan, left, at Ratchapakdi Park in Hua Hin, Prachuap Khiri Khan province, Thailand, on July 27, 2015. (Photo: Reuters)

BANGKOK — Thai activists demanded on Monday the release of a man arrested for sharing an infographic on Facebook detailing alleged graft in an army-built park, saying plainclothes security officers had taken him by force.

Since taking power in a military coup in May 2014, Thailand's ruling junta has issued directives that have largely stifled dissent, including barring political discussions and debate.

On Sunday, a 25-year-old student, Thanet Anantawong, was taken from a hospital while he awaited an operation, said prominent anti-junta activist, Siriwat Serithiwat.

"Plainclothes security officers went to a hospital where Thanet was staying," Siriwat told reporters outside a criminal court in the capital. "I would like the court to release Thanet. He needs medical attention. We are afraid for his life."

Human Rights Watch said on Tuesday Thai authorities should give Thanet immediate medical treatment.

"Thailand's junta has reached a new level of ruthlessness by snatching an activist from his hospital bed, putting him in military detention, and depriving him of needed medical treatment," Brad Adams, Asia director at Human Rights Watch, said in a statement.

A junta spokesman declined to comment on the arrest of Thanet, who is being held at Bangkok's 11th Army Circle military base.

Thanet was among a group of activists who tried to visit the park, which is at the center of a corruption scandal that threatens to embroil the military government.

Soldiers and police intercepted them at a train station, and detained some for several hours before their release.

Rajabakti Park, built in the seaside resort town of Hua Hin south of Bangkok and dedicated to the monarchy, has been at the center of allegations of corruption and misspent funds.

A military probe into its finances found no corruption, but graft accusations persist among opposition groups and the media.

Thanet faces charges under Article 116 of Thailand's criminal code—the equivalent of sedition—as well as under the wide-ranging Computer Crimes Act, for allegedly re-posting a diagram on Facebook linking junta leader Prayuth Chan-ocha and other officials to alleged corruption involving the park.

A second man, Thanakorn Siripaiboon, 27, was arrested on Dec. 8 for sharing posts about government corruption and hitting the "like" button on a post with an image deemed insulting to Thailand's king, Human Rights Watch said on Saturday.

He is being held at Bangkok's high-security Klong Prem Central prison, police said.

The US State Department said it was aware of the reports and was "concerned by continued limitations on human rights and fundamental freedoms in Thailand, including undue restrictions on freedom of expression and the detention of individuals without charge."

Thailand is a long-time treaty ally of the United States but relations have cooled since the coup and concerns have grown in Washington about the junta's use of royal defamation, or "lese-majeste" laws, which are among the world's harshest.

Last week Thai police said they had launched an inquiry into US Ambassador to Thailand Glyn Davies after he criticized "lengthy and unprecedented" jail sentences for those found guilty of lese-majeste.

Those accused of lese-majeste are tried in military courts, which have handed down record sentences.

A military court refused Thanakorn bail, said his lawyer, Anon Nampa.

"They said his crimes are punishable by many years in prison and they are afraid he will offend again if released," he said.

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