Saturday, July 8, 2017

The Irrawaddy Magazine

The Irrawaddy Magazine

Journalists’ Case to Test Judiciary

Posted: 08 Jul 2017 12:19 AM PDT

The ball is now in the court of the judiciary when it comes to the recent arrest of three reporters.

"It is not for us to comment on how the various cases should be tried in the court. That's for the justice sector to take care of," said Daw Aung San Suu Kyi on Thursday when asked about the recent arrest of three reporters.

Myanmar's de facto leader said in a press conference on Thursday, "But if we think the justice sector is not doing its work well, then we have the responsibility as the executive to take necessary actions."

The State Counselor was commenting about The Irrawaddy's reporter Lawi Weng (Thein Zaw) and DVB reporters Aye Nai and Pyae Phone Aung who were arrested by the military and charged under the Unlawful Associations Act enacted by the British colony in 1908.

I think what she said can be interpreted as the justice sector should act independently. That is exactly what it is supposed to do. But the question is whether the judiciary in our country is independent.

The problem Myanmar still faces today is that courts and judges have not yet emerged from the bad legacy of the past, in which the judiciary was controlled or at least influenced by the country's authoritarian and military systems after a 1962 military coup d'état. The country has opened since 2011 but reform of the judicial system has lagged far behind reform in other sectors, even under the democratically elected government of Daw Aung San Suu Kyi.

Courts here were no more than a stage that was influenced by authorities or bought by the rich. During the military regime from 1988 to early 2011, military authorities instructed judges and courts to give lengthy sentences to those who were charged in connection with anti-government activities. No courts could deter these arbitrary sentences and most of the judges merely read verdicts from paper that had come from upstairs. Otherwise, military trials directly handled such cases. For apolitical cases, those who were rich enough to buy judges or had connections with high-ranking military officials usually won.

Nothing significant has changed over the past few years. Local legal experts say that the country's judiciary operates based on the military-drafted 2008 Constitution. In 2011, the general-turned-president U Thein Sein appointed current judges for the Supreme Court with a former military official as Chief Justice of the Union. The 2008 Constitution allows them to hold these positions until they turn 70.

Like many critics, I doubt that such judicial system will bring justice for the three reporters of The Irrawaddy and DVB.

But Daw Aung San Suu Kyi is obviously aware of this situation. She added in the press conference: "But if we think the justice sector is not doing its work well, then we have the responsibility as the executive to take necessary actions, so this should not be seen very narrowly as three journalists against the army or vice versa, but in general, as to whether the existing laws now are in line with our desires for justice and democratization."

It seems to me that that's also the message for the courts and judges, especially for particular courts and judges that will handle the arrest of the three journalists in northern Shan State and The Voice Daily's editor U Kyaw Min Swe. It's pretty clear that both she and her government can't tell the military not to prosecute those that they want to. But the verdict for the three journalists will be in accordance with the law if the court or judge acts independently.

The State Counselor continued to say, "And if they are not in line with our desire for justice and democratization, then we must go to due process of amending the laws through the legislature. And we have to make sure of course that our courts are vetting the integrity."

The upcoming court date for our three journalists will be a trial in which we will see whether the court and its judge will act independently and justly without being influenced or intimidated by anyone.

Thus, the ball is now in the court of judiciary. This case will be another testimony for the country's judicial system.

The post Journalists' Case to Test Judiciary appeared first on The Irrawaddy.

This Week in Parliament (July 3 – July 7)

Posted: 07 Jul 2017 09:02 PM PDT

Monday (July 3)

In the Lower House, Thabaung Township lawmaker U Thein Htun asked about land use permits issued by central committee for management of vacant, fallow and virgin lands. Deputy Minister for Agriculture, Livestock and Irrigation U Hla Kyaw said that the committee has issued permits for a total of 2.33 million acres of land, but found that over 1.3 million acres remain inactive and would be taken back.

In the Upper House, lawmaker U Maung Maung Latt, from Sagaing Division urged the Union government to crack down on insurgents of Meitei decent (Kathe)—a majority ethnic group of the northeastern Indian state of Manipur—saying that the insurgents pose grave threat to security of Sagaing's border town Tamu.

Tuesday (July 4)

According to the report of the Public Accounts Joint Committee submitted to the Union Parliament, the total tax revenues for 2016-17 fiscal year amounted over 7 trillion kyats, exceeding the targeted amount by 600 billion kyats. In 2011-12 fiscal year, the tax revenues accounted for 26 percent of the Union revenues, and the percentage has increased to 42 percent in 2016-17 fiscal year, according to the report.

Deputy Minister for Planning and Finance U Maung Maung Win put forward a bill to amend the 2016 special commodities law which imposes a higher tax rate on tobacco, liquor, teak, jade and gems, natural gas and fuel.

Wednesday (July 5)

There was no parliamentary session.

Thursday (July 6)

In the Lower House, regarding the question of Kyauktan Township lawmaker Daw Aye Mya Mya Myo, deputy commerce minister U Aung Htoo said that a total of 68 households in Zone A of Yangon's Thilawa Special Economic Zone have been relocated to Kyauktan Township, and vocational training in tailoring, furniture making, electrical wiring, electronics repair, driving, and other skills were provided to them; a total of 91 households in Zone B would also be relocated.

The deputy minister, regarding the question of Kyaukphyu Township lawmaker U Ba Shein, said that information about Kyaukphyu Special Economic Zone could be sought through the Ministry of Commerce and China's CITIC Group, and that the SEZ management committee was still holding detailed discussions on share proportion, bank loans, and environmental and social impact assessment with CITIC and a local public company.

In the Upper House, in response to a question from U Okkar Min of Tanintharyi Region, Deputy Minister for Agriculture, Livestock and Irrigation replied that his ministry applied harsh penalties against offshore fishing trawlers that violate the three-month fishing ban during the monsoon, including permanently revoking the offenders' licenses.

Friday (July 7)

In the Lower House, deputy education minister U Win Maw Htun, in response to question of Thanatpin lawmaker U Myint Oo, said that his ministry promoted a total of 5,099 schools across the country to higher levels in 2017-18 academic year, with some primary schools becoming middle schools, and some middle schools being designated as high schools.

The Upper House approved a discussion of a proposal submitted by lawmaker U Aung Thein of Pegu which urged the Union government to take actions against illegal gambling machines which businessmen are operating across the country on the pretext of 'amusement' for children.

The post This Week in Parliament (July 3 – July 7) appeared first on The Irrawaddy.

The Irrawaddy Business Roundup (July 8)

Posted: 07 Jul 2017 08:44 PM PDT

IFC Seeks to Boost Agriculture Role

The International Finance Corporation (IFC), the investment arm of the World Bank, is seeking to play a wider role in supporting agriculture in Myanmar, according to DealStreet Asia.

Agriculture employs more than 60 percent of the country's workforce and contributes 38 percent of its Gross Domestic Product (GDP).

Myanmar has a "significant comparative advantage'' in the sector, the IFC's Vikram Kumar said, citing the country's strong growing conditions.

"The country can really benefit going back to its original glory of the rice bowl of Asia, located between the two markets which are very hungry for food products. Myanmar really has that potential. Much more than manufacturing," he said.

So far, IFC's investments in agriculture include US$10 million in financing to the Myanma Awba Group, which manufactures fertilizers, pesticides and other products and a $1.5 million stake in the Maha Agriculture Public Company, a Myanma Awba subsidiary.

Altogether, the IFC had invested $566 million in Myanmar in about 18 private companies in telecoms, tourism and energy by the end of June, and facilitated a total of $1.13 billion.

IFC investments that closed in the current financial year include $2 million in the Oway Group, a travel operator and ride-hailing provider, $8.5 million in the Amata Hotel Group, and a $13.5 million package in three microfinance firms.

"We also closed our investment in Irrawaddy Green Towers; $95 million (including a parallel loan of $42.5 million) in June 2017," said Kumar.

As well as investing more in agriculture, the IFC is interested to move into education, particularly vocational skills and higher education, Kumar said.

Korean Bank Sets Sights on Myanmar Expansion

Korea-based NongHyup Financial Group is considering raising capital to finance expansion in Southeast Asia, including in Myanmar, Kim Jong-hee, managing director of the local arm of the bank, told the Korea Times.

Long-term opportunities in Myanmar include investing in strategic partnerships with banks, the representative said, but this would have to wait until laws are in place to deregulate foreign bank services.

NongHyup Finance Myanmar was launched with $3 million capital in Yangon in January this year, and was the bank's first overseas bank unit. It is hoping to have seven branches in Myanmar by the end of 2017 and twelve in 2018, Kim Jong-hee said.

Currently, the bank mainly provides microcredit of less than one million kyats per person, and savings accounts, to people working in the agriculture sector.

"Our ambition is to have assets of $10 million in three years in Myanmar, and develop NongHyup’s first successful overseas business model," the representative said.

NongHyup is also interested in mobile banking and is seeking to help develop Myanmar's production, distribution, sales and storage systems of agricultural goods, with the Korea International Cooperation Agency (KOICA) and Korea Rural Community Corp. (KRC), he added.

Startups Raise New Funds

Two Yangon-based tech startups have secured additional investment from local and foreign investors, DealStreet Asia reported.

Freelancing platform Chate Sat and animated comics app White Merak have secured six-figure sums each, the report said.

Chate Sat attracted funds from Singapore-based Theta Capital and a Myanmar-based angel investor, on top of a seed fund by Singapore-based Vulpes Investment Management Pte Ltd in May. It has more than 4,600 freelancers and 770 employers on its platform, and plans to expand to Mandalay, Naypyitaw and Taunggyi.

White Merak's comic reader mobile app raised $140,000 from five local angel investors; Kyaw Tha, Managing Director of KTS Myanmar; U Thar Htet, Managing Director at Zwenexsys; U Htoo Myint Naung, CEO of Technomation; U Kyaw Thu Aung Ba, VR & AR investor; and Mike Myat Min Han, founder of Cars DB. The deals will allow the company to expand services to customers outside of Yangon, Mandalay and Naypyitaw, and improve its distribution and payment systems.

"The content market in Myanmar is heating up. With international content providers coming in, local tech businesses need to make sure that they have the competitive edge. This requires a great understanding of the consumers as well as financial support from investors. Our aim is to become the number one entertainment platform in Myanmar," said U Aung Ye Kyaw, founder and CEO of White Merak.

Three New Hotels Planned

AccorHotels of France and LP Holdings of Thailand are joining forces to open a new hotel in Yangon and two in Mandalay.

The Pullman Yangon Centrepoint in Yangon and Mercure Mandalay Hill Resort are due to open by the end of this year while the Mandalay Hill Resort MGallery is expected to be opened in 2020.

Pullman Yangon Centrepoint will have 300 rooms in Centrepoint Towers in the downtown area.

Mercure Mandalay Hill Resort will have 206 rooms offering views of Mandalay Hill, the Royal Palace and the Irrawaddy River. Mandalay Hill Resort, MGallery by Sofitel will have 150 rooms and villas.

Fuel Demand Set to Grow

Growth in consumption of refined fuel is set to rise in Myanmar over the next eight years due to strong economic growth, a rapid rise in car ownership and a surge in aviation traffic, Reuters reported.

Citing data from BMI Research, the report said Myanmar is the sixth-largest net fuel importer in Asia and imports are expected to grow from an estimated 212,000 barrels per day in 2017 to 345,000 barrels per day by 2026.

The post The Irrawaddy Business Roundup (July 8) appeared first on The Irrawaddy.
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