Tuesday, October 25, 2016

The Irrawaddy Magazine

The Irrawaddy Magazine


U Khin Shwe: 30 Cronies Can’t Match A Foreign Investor

Posted: 25 Oct 2016 07:43 AM PDT

RANGOON — U Khin Shwe, chairman of the Zaykabar Group of Companies and former Union Solidarity and Development Party parliamentarian in the military-backed government, spoke to The Irrawaddy about his perspective on the newly enacted Myanmar Investment Law—approved by both houses of Parliament and signed by President U Htin Kyaw—and new economic policies released by the National League for Democracy government.

Featured on the US's Specially Designated Nationals list for over a decade, U Khin Shwe benefited from the recent lifting of American sanctions—a move deemed controversial by rights groups, who advocated for maintaining international financial restrictions against Burmese companies and individuals with military ties.

The government has now enacted the new investment law. Some local businessmen have criticized the legislation as providing the same footing for both local and foreign investors, saying that it may eventually harm local businessmen. What is your view on this?

Local businessmen will suffer, because it is like making a goat fight with an elephant in the pitch. Previously, there were separate laws for foreign investment and citizens' investment, mainly because the banking system, which is the lifeblood [of the economy], is not good and the local businessmen are far behind their international peers. In fact, even around 30 so-called cronies together can't match an individual foreign businessman. When there were separate laws for foreigners' and citizens' investments, there were some that favored local businessmen.  For example, the old laws did not allow foreigners to run eateries, restaurants, department stores and taxi services; those businesses were limited to citizen investors. But, under the new law, if foreign investors enter those businesses, local businessmen will find it difficult to compete. Then, citizens will remain as employees.

Perhaps the two laws were combined at the demand of the international [business] community. The combined version has some advantages, but the problem is that it is quite hard for local businessmen to obtain loans from banks. To obtain a loan, they have to put up their property as collateral, and they can only get a loan equal to 30 or 40 percent of the value of the property—not a proper amount for making an investment. And the interest rate here is 13 percent, but it is just below four percent in other countries. So, if we are to compete, we have no chance of winning.

The new investment law offers bigger incentives for investing in less developed areas, and smaller incentives for investing in areas that are more developed Which areas do you think will see greater development and what changes do you expect?

The previous governments set up industrial zones, but, for example, laborers from places like Twante and Kunchangon have difficulty in working in [Rangoon's] Hlaingtharyar Industrial Zone. So, if possible, [industrial zones] should be implemented where there is a large pool of laborers. [In places where the primary livelihood activity is agriculture,] it takes less than 20 days to grow rice paddies in a year and they are free the rest of the year. But jobs are scarce and textile plants could be set up there, as the Americans have lifted sanctions now. If they and their children who have reached 18 have work, then their socio-economic life will also improve.

What is important is to create jobs. As only those who are close to industrial zones in the town get jobs, and those from rural villages don't, and the children of those rural people who make up 70 percent of the country's population also do not get jobs when they grow up, and they still have to rely on farming.

For example, if my grandpa owned ten acres of farmland and he had six children, then each child would get less than two acres, and the grandchildren would not even get an acre. So, industrial production is the only option for them. One acre of farmland can provide livelihood for only a family, but one acre of industrial production can sustain the lives of around 2,000 people. So, it is a must to switch.

Some are optimistic that the country will see rapid economic growth since the US has ended sanctions, but some are concerned that inabilities and weaknesses will be revealed. You are one of those who were removed from the sanction list. What advantages do you think our country will gain from the ending of sanctions?

There is a saying it is never too late to mend. But, our country has been in economic ruins. We can't mend it overnight. We are very weak in terms of the morale of the people and the national infrastructure. In Rangoon, [the government] has warned that it would confiscate the inactive lands and structures in industrial zones. But how can those factories operate without electricity? [The government] can't provide electricity. Regarding infrastructure, there are only nominal changes. So, it is not possible to operate more businesses. It seems that the conditions are worse now. I would like to urge the authorities to change this.

The by-laws concerning the investment law have yet to come out. What are the business community's expectations for it?

Normally, by-laws are supposed to be enacted within three months of a law taking effect. The condominium by-law has yet to come out. The by-laws of many of the laws we enacted while we were in the Parliament have yet to be enacted. So, there is no progress. I think departments are responsible for this. They need to work.

Under the new investment law, [authorities] have to give permission for investment proposals within 45 days of the proposal being submitted. But there is problem with the way the proposals are handled by the lower level staff. In some cases, it takes three to four years to get permission. In my case, I have been waiting for five years and still did not get permission for my cement plant proposal. I have only been asked to submit the proposal again and again. While the other countries are providing one-stop service, the situation is different here—the authority is held by a single person. If the decision-making power is held by a single person, it won't work. Even in China, the lower echelon can make decisions, but it is just the opposite here, where any decision has to be made by the upper level.

Recently, the Rangoon government suspended high-rise buildings in Rangoon. While that decision has made many laborers redundant, international businessmen have questioned why the already permitted projects have been suspended, and they are concerned that they would meet the same fate if they came in. It is important that such cases do not happen frequently. The government needs to have a stable policy. There was a joke about laws in Burma—there are only two laws in Burma, one law at present, and something else at later time. The new government needs to avoid this.

Although international organizations are optimistic about the potential of Burma's economy, the inflation rate has increased in recent years and the US dollar has also appreciated. So, what do you think of the government's economic policies in their first six months?

We can only say that it is a wait-and-see period. It appears that only Daw Aung San Suu Kyi has been working. Despite her age, she goes to international countries and seeks assistance. She is working incredibly.  She is the hardest working person in the past 60 years. But in comparison, her government works less than her. This is the view of a businessman. It is not enough that she works alone. [Her government] needs to work shoulder to shoulder with her. It is fair to say both ministries and divisional and state governments still can't work shoulder to shoulder with her. They need more experience. There are also shortfalls that occur out of goodwill. We will have to wait and see how long the citizens can endure those errors stemming from goodwill.

What would be your advice to the government for the country's economy to pick up?

If we are to focus on industrial production, we can't compete with China, which has had worldwide influence in industrial production. The previous governments adopted the objective of building an agro-based economy. I as a lawmaker suggested the former minister breed livestock in Chin State, and establish an agricultural zone in Shan State and fish breeding zone in Irrawaddy Division. And Tenasserim produces minerals and can rely on the East-West economic corridor. The 30-year plan is not practical and it will take time to achieve economic development. But the market economy is the most effective means. That's the way we should practice.

The post U Khin Shwe: 30 Cronies Can't Match A Foreign Investor appeared first on The Irrawaddy.

President’s Office Rejects UN Call for Action on Alleged Rights Abuses in Arakan State

Posted: 25 Oct 2016 07:07 AM PDT

RANGOON — Burma's President Office spokesperson has denied accusations of human rights violations being carried out by security forces in northern Arakan State, saying, "we haven't done anything lawless."

His responses came after United Nations human rights experts called on the Burmese government to take action against alleged arbitrary arrests, extrajudicial killings and burning of mosques and homes by authorities during manhunts in Maungdaw and surrounding areas for suspected attackers against border guard outposts earlier this month.

"What troubles me most is the lack of access for a proper assessment of the true picture of the situation there at the present moment," said UN Special Rapporteur for Human Rights in Burma Yanghee Lee in the statement.

"The blanket security operations have restricted access for humanitarian actors with concerning consequences for communities' ability to secure food and conduct livelihood activities," the expert emphasized.

The UN Special Rapporteur on summary executions, Dr. Agnes Callamard, also said in the statement that the government should investigate and prosecute the perpetrators in a court of law and "not with violence."

"Reports of homes and mosques being burnt down and persons of a certain profile being rounded up and shot are alarming and unacceptable," she stated.

The President's Office Spokesperson U Zaw Htay told The Irrawaddy on Tuesday that reports of security forces carrying out extrajudicial killings, arbitrary arrests and village burnings were just "accusations."

He said that it was the government's security forces who tried to put out fires after suspected militants set ablaze houses where they had hidden guns, before running away in an effort to abandon any evidence.

"The security forces haven't arrested anyone without evidence. The arrests we made so far are based on the testimony and information we got through investigation of the attackers we have arrested," U Zaw Htay said.

When asked about killings, the spokesperson said that security forces acted in response to people trying to harm them during the manhunt for suspects. "We have already released information about it," he added.

Including the initial attack on three police border posts on Oct. 9, nine police officers and five soldiers have been killed during the manhunt for the attackers. A total of 32 alleged attackers have also been killed by government forces with 51 arrested as of Monday.

U Zaw Htay also denied the report of the Burma Army’s forced eviction of Muslim Rohingya villagers in a crackdown following attacks on border security forces, saying villagers had simply run away when the security forces came in.

"We are even encouraging them to stay at their homes rather than fleeing, as it makes more difficult to find the suspected attackers who are hiding among them."

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UEC to Conduct ‘Door-to-Door’ Voter List Update for By-Elections

Posted: 25 Oct 2016 07:01 AM PDT

NAYPYIDAW — Burma's Union Election Commission (UEC) is to conduct a "door-to-door" update of the voter list in 19 constituencies where by-elections will be held on April 1.

U Hla Thein, the chairperson of the UEC appointed by the National League for Democracy government in April, spoke to representatives of 67 political parties at the UEC headquarters in Naypyidaw on Monday.

"We will go door-to-door and check with heads of households whether any amendments need to be made. If anyone is found to be absent from the voter list, we will add him or her with the approval [of household heads]," he said.

A countrywide voter list was prepared from scratch, using individual household lists stored in ward and village tract government officers, starting in early 2015, in preparation for the general election held in November that year.

The voter list, when displayed for public scrutiny at various stages in the run-up to the 2015 election, attracted substantial criticism for its errors and omissions, but—after corrections were made—the list did not cause significant problems on polling day.

The UEC announced on Oct. 11 that by-elections would be held to fill 18 vacant seats—both in the Union Parliament and in state and divisional legislatures—for constituencies in Rangoon, Sagaing and Pegu divisions, and Shan, Karenni, Mon, Chin and Arakan states.

The seats were left open due to ministerial appointments, which require selected lawmakers to vacate their seats, two deaths, and the cancelation of constituencies due to armed conflict during the 2015 election—in Kyethi (Kesi) and Mong Hsu townships of central Shan State.

An additional constituency, Nyaung Shwe-1 in the Shan State parliament, was added to the by-election roster after the death of the lawmaker last week.

Candidate names must be submitted between Nov. 28 and Dec. 7. After scrutiny, the UEC will announce the definitive candidate list on Jan. 2.

U Han Shwe, the vice chairperson of the National Unity Party, welcomed the door-to-door initiative, stressing that it must cover all villages, since voter list data had previously been collected at the village tract level.

U Kyaw Kyaw Htay, the secretary of the Union Solidarity and Development Party, Burma's largest opposition party, promised that they would "collaborate to have a fair election." He recommended some changes in polling procedure, such as marking ballots by pencil rather than using stamps, and displaying names on the updated voter list in family groupings, rather than alphabetically.

The decision to arrange voters' names in alphabetical order during public display periods in wards and village tracts in the run-up to the 2015 election had caused confusion and annoyance to the public, since the absence of family names in Burma meant that members of the same family were found in disparate parts of the list.

However, the UEC chairperson responded that stamps would continue to be used in polling booths, and no other changes to the electoral process would be made.

Dr. Aye Maung, the chairperson of the Arakan National Party, who was present at the Naypyidaw meeting, told The Irrawaddy that he welcomed the release of the by-election schedule, and believed there was adequate time for candidate registration prior to Dec 7.

He confirmed his party would be contesting the Lower House seat of Ann Township, the only seat in Arakan State up for grabs in the by-elections.

He said most of the comments made by political party representatives in the Naypyidaw meeting related to the accuracy of the voter list—"making sure that those who are eligible are on the voter list, and enjoy their right to vote."

Dr. Aye Maung pointed out that there was no mention of when the updated voter list would be put on public display at the local level, but expressed confidence that the UEC would ensure the accuracy of the list, and had sufficient time to do so.

During the meeting on Monday, political parties also requested that they have party representatives present when ward and village tract election sub-commissions go door-to-door with the voter list.

Additional reporting by Nyein Nyein. 

The post UEC to Conduct 'Door-to-Door' Voter List Update for By-Elections appeared first on The Irrawaddy.

Rangoon Electricity Tender Awarded to Murky Consortium

Posted: 25 Oct 2016 05:37 AM PDT

RANGOON — A consortium with links to a Burmese company previously on the US blacklist and including an international energy company affiliated with the former US Secretary of State Madeleine Albright will work to alleviate Rangoon's electricity woes.

A consortium led by National Infrastructure Holdings won tender to generate an extra 300 megawatts of electricity for five years to prevent the city's frequent blackouts, announced Electric Power Generation Enterprise (EPGE), a state-owned utility under the Ministry of Electricity and Energy, on Oct. 13.

The consortium is made up of four companies: National Infrastructure Holdings Co. Ltd., MCM Pacific Pte. Ltd, APR Energy Plc. and ACE Resources Group Pte. Ltd.

Registered in Burma in 2015, National Infrastructure Holdings has an affiliation with Asia World Co. Ltd., run by Stephen Law a.k.a U Htun Myint Naing. Both Asia World and Stephen Law were blacklisted by the US government from 2008 until earlier this month.

Stephen Law's late father Lo Hsing Han, a warlord with close ties to Burma's military, was described by the US Treasury as one of the world's key heroin traffickers.

The Holdings' current director U Maung Kyay is a close associate of Stephen Law's. According to state-run newspaper reports dating back to 1997, U Maung Kyay was previously one of the senior members of Asia World.

In a New Light of Myanmar story published in Oct. 2001, he was mentioned as the director of Asia World, who accompanied the then Minister for Health Maj-Gen Ket Sein on an inspection tour of the construction of Yangon Psychiatric Hospital, which the company was building.

Due to Asia World's murky background, the director is believed have set up new companies under different names to act as fronts for doing businesses with western companies.

This is how National Infrastructure Holdings came to be in 2015. The following year, in partnership with Dutch energy giant Shell, the Holdings opened a road trial project near Naypyidaw International Airport.

Based in Jacksonville, Florida, APR Energy primarily supplies government utilities in developing nations with power plants that can be erected quickly to deal with a country's short-term lack of supply.

The company has been in Burma since 2014, deploying gas power modules at a power plant in Kyaukse Township in Mandalay Division.

Madeleine Albright, who chairs Albright Capital Management (ACM), has been a shareholder of APR Energy since Aug. 2009 and materially increased that investment in March 2011. ACM was among the members of an investor consortium who acquired APR and took the company private early this year.

The first woman to become a US Secretary of State, she was part of a 1995 US diplomatic contingent that warned Burma's generals the country would face continued isolation if the leaders of the military junta did not take steps toward greater political freedom and democracy.

Burma has been facing power shortages, especially during the hot season of March-May, since the late 1990s due to underdeveloped infrastructure, ageing power plants, and insufficient investment.

Hydropower stations, one of the country's main electricity sources, become idle in the hot season as reservoirs dry up.

More than half of the country's population still has no access to electricity but the country is facing annual growth of 400 megawatts in demand as more people are connecting to the national grid, according to EPGE's estimation.

In July, the enterprise invited tender to supply electricity for Rangoon—the country's business hub that takes the lion's share of the country's electricity.

The consortium led by National Infrastructure Holding was selected out of two finalists this month to generate electricity at the "cheapest price," according to the announcement.

"We have issued a letter of acceptance to the winner and are discussing the power-purchasing agreement to generate electricity by the coming [hot season]," said EPGE when the tender winner was announced.

The post Rangoon Electricity Tender Awarded to Murky Consortium appeared first on The Irrawaddy.

Residents Flee as Military Tensions Flare in Eastern Shan State

Posted: 25 Oct 2016 04:13 AM PDT

RANGOON — Several dozen residents in the town of Mongyang, including government workers, have fled south to Kengtung, the administrative capital of eastern Shan State, fearing the outbreak of fighting as tensions flare between the Burma Army and the United Wa State Army (UWSA).

Fears have mounted after the deadline of an ultimatum delivered by the Burma Army to the UWSA—to withdraw its troops who had occupied several bases belonging to a supposed ally, the National Democratic Alliance Army (NDAA), in the autonomous Chinese border enclave of Mongla—passed on Monday without action.

The seizure of the posts in early October was reportedly carried out to shore up the UWSA's strategic position against a potential Burma Army offensive, and was prompted by growing mistrust of its longtime junior partner, the NDAA—more popularly known as the Mongla Group—after the NDAA displayed a willingness to engage with the Burmese government's peace process that was out of step with the UWSA's cautious approach.

According to local sources, government staffers employed at a hospital and in schools in Mongyang town of eastern Shan State have fled south to Kengtung. Other local residents have sought sanctuary across the nearby Chinese border.

However, so far there have been no visible signs of an offensive by the Burma Army, which has a considerable presence across eastern Shan State, with Triangle Command headquartered in Kengtung. Mongyang is located between Mongla and the town of Mongpauk, a UWSA stronghold.

On Friday, the UWSA responded to a letter from the National Reconciliation and Peace Center—the Burmese government body charged with facilitating the peace process—asking them to withdraw their troops and requesting a meeting.

The UWSA said that reports that it had commandeered posts from the NDAA were based on a "misunderstanding" of the facts on the ground; they were merely conducting military exercises in a region belonging to their allies, and any concerns had been cleared up with the NDAA, with whom they preserved "brotherly" relations.

In the letter, the UWSA said they had ordered their troops to de-escalate tensions, and that the organization was committed to restoring peace and maintaining unity in Burma—and would not provoke conflict. They also turned down the request for a meeting.

Both the UWSA and the NDAA developed out of units of the Communist Party of Burma when it imploded in 1989, and signed ceasefires with the Burmese government more than 25 years ago, since which relations with the Burma Army have been peaceful.

The post Residents Flee as Military Tensions Flare in Eastern Shan State appeared first on The Irrawaddy.

First Group of Burmese Refugees in Thailand Repatriated

Posted: 25 Oct 2016 01:04 AM PDT

RANGOON — The first group of Burmese refugees sheltering in Thailand was repatriated by UNHCR, the United Nations' refugee agency, and Thai authorities.

Dozens of refugees were voluntarily resettled in places including Myawaddy, Kawkareik, and Kyainseikgyi townships in Karen State, according to Karen State’s chief minister Nang Khin Htwe Myint.

Refugees being resettled in Karen State will cross the Myawaddy-Mae Sot Thai-Burma Friendship Bridge on Tuesday and Karen State government officials will be visiting them on Wednesday, she told the Irrawaddy.

Other refugees being resettled in Tenasserim Division will be sent through another border crossing.

"We will welcome them tomorrow," said Nang Khin Htw Myint. "We heard that there are 58 refugees being sent through the Myawaddy-Mae Sot crossing."

She added that most of them come from the Nu Po refugee camp and that the UNHCR had arranged their repatriation.

Iain Hall, a senior field coordinator at the UNHCR told Reuters that the returnees made their own decision to return home after family members in Burma provided information that it was safe to do so.

"The Myanmar government came over and issued certificates of identification saying these people are their citizens," Hall told Reuters, adding that the repatriation is a "milestone."

The move is the first official group repatriation from the more than 120,000 registered Burmese refugees living in Thailand for over 20 years. Most of the refugees, who fled home to escape civil war, are from ethnic Karen communities who faced persecution by the Burma Army.

The post First Group of Burmese Refugees in Thailand Repatriated appeared first on The Irrawaddy.

Burma Army Forces Hundreds of Rohingya Villagers from Homes

Posted: 25 Oct 2016 12:52 AM PDT

RANGOON — Hundreds of Rohingya villagers are facing a second night hiding in rice fields without shelter, after the army on Sunday forcibly removed them from a village in a crackdown following attacks on border security forces.

Four Rohingya sources contacted by Reuters by telephone, said border guard officers went to Kyee Kan Pyin village on Sunday and ordered about 2,000 villagers to abandon it, giving them just enough time to collect basic household items.

The move marks an escalation in violence which has destabilized Burma's most volatile state located in the remote northwest. In Arakan State, also known as Rakhine, relations between the Rohingya and majority Buddhists have hit their lowest point since hundreds of people were killed and thousands displaced in ethnic and religious violence in 2012.

The government, led by Daw Aung San Suu Kyi, has said the army and police in Arakan are fighting a group of at least 400 insurgents, drawn from the Rohingya Muslim minority, with links to Islamist militants overseas.

While officials say the army has been conducting carefully targeted sweeps against the group behind attacks on police border posts on Oct. 9, residents have accused security forces of killing non-combatants and burning homes.

"I was kicked out from my house yesterday afternoon, now I live in a paddy field outside of my village with some 200 people including my family—I became homeless," said a Rohingya man from Kyee Kan Pyin village contacted by Reuters by telephone.

"After the soldiers arrived at our village, they said that if all of us didn't leave, they would shoot us," he said.

Another witness and two Rohingya community elders based in Maungdaw who are collecting information from across the area have corroborated the account, estimating a total of about 2,000 villagers were removed from homes.

Some were able to find shelter in neighboring villages, but hundreds spent last night hiding in the rice fields. They are still stranded and are facing another night without shelter.

U Mynt Kyaw, a government spokesman, said the government was unable to contact anyone in the area because it was a militarily-operated "red zone."

"A Muslim man called me this morning as they were being forcibly removed from their homes, but I was not able to confirm that information," said U Mynt Kyaw.

The military did not respond to a request for comment.

Videos uploaded on social media by Rohingya rights activists showed men and women speaking Rohingya language carrying their belongings and livestock to other villages or waiting out the crackdown in paddy fields.

Areas of Maungdaw Township, near the border with Bangladesh, are under military lockdown and journalists and aid workers have been barred from visiting them.

The post Burma Army Forces Hundreds of Rohingya Villagers from Homes appeared first on The Irrawaddy.

For Poorer, for Richer: The Burmese Change an American City

Posted: 25 Oct 2016 12:43 AM PDT

Like many refugees from Burma in Buffalo—an American city in western New York state—Htay Beh used to leave her sparsely furnished Riverside home and head to the Niagara River to catch dinner: fish that, eaten in large quantities, may cause cancer.

Aung Kaung Myat, who lives a few blocks away in a nicely furnished home with leather sofas and an aquarium, used to head to Buffalo's waterfront for a different reason. He liked to speed around Lake Erie on his motorboat, one of the rewards of working hard, marrying right and starting a business.

Both Htay Beh and Aung Kaung Myat come from the same long-troubled country in Southeast Asia, and while they have little else in common, their stories reflect what the numbers show. Refugees from Burma and elsewhere are making Buffalo both poorer and richer.

Driven from home by political violence, refugees arrive with nothing but what they can carry. Not surprisingly, then, census estimates show that Asians—a fast-growing group that includes thousands of refugees from Burma—are among Buffalo's poorest people. Because most don't speak English, they work in low-wage jobs that make them eligible for Medicaid and food stamps.

And as a result, the cost of social services to support refugees from around the world has grown nearly tenfold in Erie County in 10 years. The state and federal governments pay most of the cost, but Erie County taxpayers paid US$7.4 million for welfare and Medicaid for refugees in 2015. That averages $8.02 for every person living in the county.

But that's not just a tax bill. It's a long-term investment in a bigger, better Buffalo.

Over their lifetime, refugees pay more in taxes than the government pays out to support them, said Paul Hagstrom, a Hamilton College economist who did a study showing that a refugee influx in Utica boosted that long-beleaguered city's economy.

Buffalo's investment in refugees is already starting to pay off, too.

"You only have to go to Grant Street to see what they have brought to the city," said Karen M. Andolino Scott, executive director of Journey's End, one of the city's refugee resettlement agencies.

On Grant Street, a down-and-out stretch a decade ago, refugee businesses like Aung Kaung Myat's iT Garden have filled long-vacant storefronts. On the far West Side and in Black Rock/Riverside—the main refugee neighborhoods—job creation and the rate of business starts exceed the county average.

Meantime, Erie County's population has stabilized, and federal figures show it is because of the arrival of more than 12,000 immigrants—most of them refugees—just since the 2010 census.

That's hugely important, said Peter Rogerson, a professor of geography at the University at Buffalo. If the local population is stable or growing, young Buffalo natives will be more likely to believe they have a future here, too.

If those young Buffalonians stay, they will be part of a fast-changing city. The Census Bureau estimates that 12,822 Asians lived in the city last year—nearly double from five years earlier.

Many of those newcomers are refugees from Burma, and the vast majority live a lot like Htay Beh.

Htay Beh's Life

Htay Beh's home tells her story. The flowered wallpaper in the kitchen—now turned yellow with age—looks like it dates from the 1930s, save for the torn part that's patched with tinfoil. The refrigerator door handles are missing. Her living room is mostly empty except for a few hand-me-down patio chairs, a Kmart utility table and a shrine to Jesus near the TV. In the corner near the door, there is a small monitor, part of a security system designed to keep what's hers hers in a changing neighborhood where burglars lurk.

A plump, round-faced woman of 40, Htay Beh came to Buffalo with her family nine years ago from a refugee camp in Thailand. And ever since, she has tended to her husband and six children, who now range in age from 6 to 17.

For Htay Beh, tending to the family means picking out the family wardrobe at the Baby and Children's Ministry on Jefferson Avenue. It means taking a summer job in the farms of Eden so her husband can afford the plane ticket to visit his ill brother in Thailand. And it means turning the backyard into a garden lush with corn, cucumbers and exotic leafy vegetables.

This is the life of Buffalo's new working poor: its refugees.

Of the 100 refugees interviewed for this series, many recounted struggles like those Htay Beh described.

Like most refugees from Burma, neither she nor her husband speaks English. They said they are too busy working to learn it, and they are not alone. In fact, a recent Census Bureau estimate shows about two-thirds of the city's Asians speak English less than well.

That leaves many working low-skill, low-wage jobs. This spring, Htay Beh took a full-time job at MTS Sewing in West Seneca, earning $9 an hour. Her husband earns $12.15 an hour washing dishes at a restaurant in Hamburg.

The family has struggled for years just to put food on the table.

"The kids are growing up, and they demand more food," Htay Beh said through an interpreter. "The food stamps are not enough anymore."

That is why Htay Beh used to go to Unity Island, a patch of land in the Niagara River once called Squaw Island.

Dozens of refugees gather there on nice summer evenings. At the water's edge, men and women of all ages fish for their meals.

"I'm not sure what is in the water, but the fish tastes great," Htay Beh said last year.

What is in the water is the toxic legacy of Buffalo's industrial past. That is why the state set strict recommendations on the amount of fish people should eat from the Niagara River. Htay Beh used to feed her family fish from the PCB-laden river twice a week, which far exceeds the state's recommendations.

Told about the state's warnings, Htay Beh stopped fishing in the river. She said that since she started working full-time, she didn't have time to fish.

A Poorer City, for Now

Multiply Htay Beh's story by a few thousand, and you get a sense of the short-term financial impact this refugee wave has had on Buffalo.

These are not immigrants like the ones who come to America for medical school, or even those who leave their homes in Mexico for seasonal farm work. Refugees flee their home country with just the basics and typically acquire few more possessions in their next makeshift home, be it a refugee camp or an urban slum. Htay Beh remembers coming to America with just a few blouses and longyis—long, often colorful wraps that are popular in Burma. Aung Kaung Myat had two shirts, two pairs of jeans and one pair of shoes.

In arriving so poor, they were hardly unusual. Last year, almost half of the city's Asians—many of them refugees—lived in poverty, the US Census Bureau's American Community Survey estimated.

Nearly 14,000 refugees from around the world settled in Buffalo in the past 15 years, and thousands more moved to the city after first settling somewhere else. And since so many are poor, 7,171 refugees in Erie County were on welfare at some point last year. Some 9,888 enrolled in Medicaid, and 12,635 received food stamps.

The federal government pays all the social services costs for the first eight months after a refugee arrives, but after that, the federal government and the state share the costs for food stamps. And after those first eight months, the state and federal governments pay about 90 percent of Medicaid and welfare costs, with the county picking up the rest.

That means Erie County now pays 10 times more for refugee social services than it did a decade ago.

That's a matter of concern to Joseph Lorigo, majority leader of the Erie County Legislature.

"We can't afford this," said Lorigo, a West Seneca Conservative. "These refugees are continuing to cost Erie County taxpayers money—and it's growing at an exponential rate—while they are not on the whole contributing to the tax base."

Erie County Executive Mark C. Poloncarz disagreed.

"The long-term gain is so great that it justifies the short-term expense," said Poloncarz, a Democrat.

Academic research indicates that refugees do eventually bring economic benefits to the cities where they settle. For example, a Fiscal Policy Institute study of refugees from Burma nationwide found that those who had been in the United States less than 10 years earned about $19,000 annually. Those who had been here more than a decade earned $39,000, which is almost a third more than the typical immigrant who had been here that long.

Similarly, a study of refugees who arrived in the 1970s, conducted by Kalena Cortes, a Texas A&M economist, found refugees earn more than other immigrants and bring more value to their communities than it costs to resettle them.

It takes time, though, for that payoff to occur. The study of Utica's refugee community by Hagstrom, the Hamilton College economist, found that refugees become a net economic benefit in their 15th year after arrival. And they don't end up paying off the community's investment in them until year 23.

Eventually, many refugees thrive in America, and economists say it is because they work so hard. Many refugees interviewed for this series said they worked not one job, but two, and several employers praised the refugees' work ethic.

"They're willing to do everything you ask them to do," said Jim Schnorr, president of Wendt USA, an abrasives manufacturer in Buffalo that employs refugees from Burma. "They're reliable. They want to succeed, to better themselves. They don't look at anything as being beneath them."

A Refugee's Dream

Aung Kaung Myat helps a customer at the counter of his iT Garden store on Grant Street, Sept. 20, 2016. (Derek Gee/Buffalo News)
Aung Kaung Myat helps a customer at the counter of his iT Garden store on Grant Street, Sept. 20, 2016. (Derek Gee/Buffalo News)

For about 50 hours a week, a cherubic young man wearing thick-rimmed Prada glasses and a patch of whiskers on his chin stands behind the counter of a storefront on Grant Street.

Meet Aung Kaung Myat, 29, owner of iT Garden. Day after day, he stands there, serving immigrants in search of cellphone deals and iPad and computer repairs.

Aung Kaung Myat arrived in Buffalo in 2008 and quickly worked his way up from McDonald's to a factory job to running his own business. To hear him tell it, he moved so far so fast because of a decision he made as a young refugee studying in Mae Sot, Thailand.

"I was so eager to learn to speak English," he said. "I knew that if I could speak English, I would know how to succeed."

Armed with that skill, Aung Kaung Myat and his friend Mustafa Abdo, a Somali refugee, opened their own business in the summer of 2013, But that's not the reason Aung Kaung Myat owns a nicely appointed home. For that he credits his wife, So Nia, who works long hours as a teacher's aide and at a data processing center, not to mention keeping the books at iT Garden.

"Everything we have is because she knows how to manage the money," he said.

For his part, Aung Kaung Myat knows how to manage the store. He graduated with an IT security degree from Erie Community College, where he met Abdo, and then took an entrepreneurship course and immersed himself in videos about customer service.

He then built a business on the fact that so many refugees know him, given the time he's spent interpreting for and otherwise helping refugees who don't know English.

Still, he has his indulgences. There was that boat and a motorcycle and an occasional vacation like the one to Florida last year where he and his buddies rented a Lamborghini just for the hell of it.

In other words, Aung Kaung Myat has seen the American dream, and embraced it.

"There's an opportunity to get a life here," he said. "All you have to do is work every day, and nobody can take away what you have."

Somebody tried, though, on the Fourth of July 2015, smashing the glass door at iT Garden and stealing everything inside, all $15,000 of it. Security camera images showed a drag queen did the deed.

Two weeks later, burglars returned twice in one night, grabbing $6,000 of loot.

Aung Kaung Myat grumbled mightily about the slow police response to the burglaries, but the thieves didn't slow him down. He just moved his store down the street to a safer spot.

Best of all, he landed a contract to sell computers to a local college, so business is getting better, which means Aung Kaung Myat is getting busier. He said he's so busy now, in fact, that he sold his boat because he had no time to use it.

Aung Kaung Myat may be an atypical refugee, but not an atypical refugee businessman.

Kevin Lin went from sushi chef to owner of the popular Sun Restaurants.

Khin Maung Soe, who came here penniless in 2008, now owns two grocery stores and the Lin Restaurant.

He is one of several grocers from Burma. Meanwhile, refugees from Burma run the Hill Tribe cab company, the Thaw Thaw Beauty Salon, L&K Auto Repair, and several eateries and shops at the West Side Bazaar.

Taking note of all those new businesses, Buffalo Mayor Byron W. Brown said: "I think what this community demonstrates is that the American dream is still alive and the American dream is still real."

And it's producing a bit of a boomlet on Buffalo's West Side.

Census Bureau figures show the number of jobs on the West Side and Black Rock/Riverside—where most of the refugees have settled—grew 10.1 percent between 2009 and 2015. That's nearly three times the countywide rate.

Meanwhile, the number of businesses in refugee neighborhoods grew 3.3 percent, compared to 0.9 percent across the county.

It happened because the refugee influx has been so intense.

"There are more businesses in the neighborhood because there are more people in the neighborhood," and those people need services, said David Kallick of the Fiscal Policy Institute, an Albany think tank that is researching the refugee influx. "It makes perfect sense."

What's more, refugees have bought houses, as have investors who know there's more demand for housing in the refugee neighborhoods now.

The result: housing prices on the West Side nearly doubled in six years, according to ATTOM Data Solutions, parent of the RealtyTrac real estate research service. Meantime, housing prices went up nearly a third in Black Rock/Riverside.

A host of programs over the years have helped refugees buy their first home, said Khaing Moe Naing, one of the city's first refugee real estate agents.

He explained how it can be that, only a few years after coming here penniless, some refugees save enough to start a business or buy a home.

"It's the Burmese culture," Khaing Moe Naing said. "You save money. There's no Social Security in Burma, so every single day you have to think about your tomorrow."

'A Little Burma'

The refugee wave is changing Buffalo in ways that economic statistics can't measure, too.

In the words of refugee Aung Thu, "the West Side now is a little Burma."

Every day, refugees from Burma crowd the West Side Bazaar, the WASH Project laundromat and the Lin Restaurant.

Beh Meh carries the cross to lead the processional at the start of Mass at Our Lady of Hope, April 19, 2015. (Derek Gee/Buffalo News)
Beh Meh carries the cross to lead the processional at the start of Mass at Our Lady of Hope, April 19, 2015. (Derek Gee/Buffalo News)

Every Sunday, Our Lady of Hope Catholic Church, once a struggling West Side parish, teems with refugee voices singing Sunday hymns—with some of the lyrics in Burmese.

And every few weeks, refugees come together at one of the many cultural events that they brought to Buffalo, be it the Burmese Water Festival [Thingyan], Karenni National Day, Chin National Day or the annual Karen wrist-tying ceremony.

Htay Beh was there with a thousand others at last year's wrist-tying, which symbolizes the bonds that unite Burma's Karen ethnic minority. She wore a white traditional dress, a Karen flag in her hair and a smile from cheek to cheek.

Aung Kaung Myat stood beside the stage at the opening ceremonies at City Hall, dressed in a traditional white and blue Karen shirt, looking on as if he was supervising even though he wasn't.

Htay Beh approached him as he mingled in the crowd a bit later, and what happened next may just say a little something about them both, and about the culture they brought to Buffalo.

She looked Aung Kaung Myat dead in the eye and spoke to him insistently in a strangely rat-a-tat-tat, sing-song language: Burmese. Aung Kaung Myat replied with a laugh and a shake of the head, but Htay Beh kept talking, insisting.

Finally, the baby-faced businessman relented and took some cash from the diminutive lady from Riverside.

She wanted to pay her phone bill, they both said later. She didn't want to take time off work to make a trip to iT Garden, but she didn't want to be late on a payment, either.

This story originally appeared in The Buffalo News.

The post For Poorer, for Richer: The Burmese Change an American City appeared first on The Irrawaddy.

Ten Things to Do in Rangoon This Week

Posted: 24 Oct 2016 10:26 PM PDT

g-lattbigbagYouk Shi Acoustic

Big Bag and G Latt will be rocking out at Mya Yeik Nyo Hotel. Ticket prices are 9,000 kyats (US$7) per person, available over the phone at 09420211961 and 09785156769. Oh, and don't forget to bring a mat with you—the show will be held on the lawn.

Where: Mya Nyeik Nyo Hotel, Bahan Tsp.

When: Saturday, Oct. 29 (5:00-11:00pm)

marizzaMarizza Unplugged

Famous Burmese singer Marizza will be putting on an unplugged solo performance at the National Theater on Friday. Tickets prices range from 10,000 kyats ($7.80) to 30,000 kyats ($23.40) per person and are available at Call Center 1876.

Where: National Theater, Myoma Kyaung Street

When: Friday, Oct. 28

 

Anti-Human Trafficking Charity Show

A charity show to raise funds for anti-human trafficking efforts will be held at People's Park and feature performances from dozens of famous singers, including Sandi Myint Lwin, J-Me, Eaint Chit, and dance groups. Tickets are available at City Mart supermarkets for 8,000 kyats ($6.24).

Where: People's Park

When: Saturday, Oct. 29 (starts at 5pm)

loftThadingyut Night at the Loft House

Chart-topping Burmese singers Wai La and Ni Ni Khin Zaw, along with pianist Myo Naing, will be performing at a Thadingyut show at the Loft House on Wednesday. For reservations, call 09788887788 or 09795258650.

Where: The Loft House, No. 33, Kyaik Waing Pagoda Road, Mayangon Tsp.

When: Wednesday, Oct. 26 (7:00-11.00pm)

halloweenHalloween Party at 50th Street Bar

What's that? You don't have plans for Halloween? Well, don't miss what's being touted as the best Halloween party in town, happening at 50th Street Bar and featuring a night of live music.

Bangkok's Count the Thief will be taking over the upstairs stage for two nights—Friday and Saturday, Oct. 28-29. Also on Friday, Maze of Mara will be kicking off the night at 9:00pm, while on Saturday The Myth will open at 9pm. Other special guests, including Mat Callaghan, are also confirmed to perform. If you're interested in playing, that's an option, too.

Drink and food specials will also be available. All you have to do is show up in a costume.

When: Friday and Saturday, Oct. 28-29

Where: 50th Street Café Restaurant and Bar, 50th Street, Botahtaung Tsp.

lawkanetArt Exhibition by Nu Nu

Artist Nu Nu will showcase her fourth solo exhibition, featuring over 30 acrylic pantings.

Where: Lokanat Galleries, 62nd Pansodan St, Kyauktada Tsp.

When: Thursday October 27 to Monday October 31

gallary-65Art Exhibition by Khaing Thazin Thet

Khaing Thazin Thet will showcase her first solo exhibition, featuring over 30 works with depictions of gold-colored trees in acrylic paint.

Where: Gallery 65, No. 65 Yaw Min Gyi Road, Dagon Tsp.

When: Saturday, Oct. 29 to Monday, Oct. 31

ayawonMandalay Group Artist Exhibition

Seven artists from Mandalay will hold a group art exhibition featuring some 70 works that depict rural scenes of Upper Burma.

Where: Ayerwon Art Gallery, No. 903-904, U Ba Kyi St, 58 Ward, Dagon Seikkan Tsp.

When: Saturday, Oct. 22 to Wednesday, Nov. 2

duwun-talksDuwun Talks: From Employee to Entrepreneur

Three young businesspersons who have forged careers as successful entrepreneurs will share their experiences during an afternoon discussion that is free to the public.

Where: Melia Hotel Yangon, Kaba Aye Pagoda Road

When: Saturday, Oct. 29 (3:00-6:00pm)

mpt-fairMPT Job Fair

One of Burma's telecom operators, Myanma Posts and Telecommunications (MPT), will recruit for various positions in Sales & Distribution, Marketing, Communications, Engineering and Technology. For details, call 09-31349834

Where: Park Royal Hotel, No. 33, Alan Pya Phaya Road, Dagon Tsp.

 Where: Saturday, Oct. 29 and Sunday, Oct. 30 (9:00am-4.00pm)

The post Ten Things to Do in Rangoon This Week appeared first on The Irrawaddy.

National News

National News


Residents fear restart of coal power plant

Posted: 25 Oct 2016 12:27 AM PDT

A coal-fired power plant in southern Shan State that was shut down two years ago due to residents' complaints may be reopening, despite the opposition of the local community, villagers say. They are already accusing local officials of breaking their promises.

Whereabouts of Muslims fleeing Rakhine violence said to be unknown

Posted: 25 Oct 2016 12:26 AM PDT

Two weeks after a series of deadly attacks on border guard posts in northern Rakhine State left the region reeling, authorities say the whereabouts of Muslim residents who fled following the assault remain unknown.

Ya Ka Sa responds to criticism after ferry disaster

Posted: 25 Oct 2016 12:22 AM PDT

Members of Ya Sa Ka, the country's private vessel supervisory committee, have responded to allegations of negligence in the wake of the Aung Soe Moe Kyaw 2 ferry sinking, saying they had made complaints about overloaded vessels in the past but that their authority is constrained.

USDP secretary levels criticism at Union Election Commission

Posted: 25 Oct 2016 12:21 AM PDT

Secretary of the former ruling party U Kyaw Kyaw Htay said yesterday that the Union Election Commission is failing to cooperate with the media during a meeting between the UEC and political parties in Nay Pyi Taw.

Tempers flare at NLD tribunal for U Win Htein

Posted: 25 Oct 2016 12:21 AM PDT

Both sides of an intra-party spat pointed fingers at the first day of a tribunal for National League for Democracy central executive committee member U Win Htein, who is being questioned in relation to the ouster of five members of the NLD's Shan State party leadership.

Tatmadaw, SSA-N fighting displaces 400 civilians

Posted: 25 Oct 2016 12:19 AM PDT

Fighting between the military and the Shan State Army-North (SSA-N) in Thibaw/Hsipaw township, Shan State, has displaced as many as 400 villagers over the past two days, according to a local MP.

Cyclone skirts Myanmar

Posted: 25 Oct 2016 12:18 AM PDT

A storm gathering in the Bay of Bengal is now anticipated to unleash heavy rain on Myanmar, but the cyclone has turned northwest and is forecast to hit India and Bangladesh instead.

Environmental ministry to launch ‘forest farms’ initiative

Posted: 25 Oct 2016 12:15 AM PDT

A 10-year program will seek to undo some of the damage that years of unchecked logging has done to the nation's woodlands through the cultivation of so-called "forest farms", Forestry Department director general U Myo Min has said.

Two inmates die of illnesses at Insein Prison hospital

Posted: 25 Oct 2016 12:07 AM PDT

Two inmates at Yangon's Insein Prison died over the last week following severe health conditions. Officials say the young men were unhealthy when they arrived at the facility, but rights groups allege that inadequate prison hospitals and poor sanitation regularly leads to the spread of disease and preventable deaths behind bars.

President to visit Vietnam

Posted: 25 Oct 2016 12:05 AM PDT

President U Htin Kyaw and First Lady Daw Su Su Lwin are set to make an official state visit to Vietnam at the invitation of Vietnamese President Tran Dai Quang.