The Irrawaddy Magazine

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• Suu Kyi’s Trip to Refugee Camp in Thailand Scrapped
• Four More National Committees Formed
• UN Rapporteur Avoids Contentious Terms with Arakan Chief Minister
• Low-Grade Gems in High Demand in Moe Goke
• After Shooting of Kachin Teen, Protesters Dispute Burma Army Claims
• Credit Bureau Alone Won’t Overcome Limited Credit Access

Suu Kyi’s Trip to Refugee Camp in Thailand Scrapped Posted: 22 Jun 2016 05:48 AM PDT Suu Kyi addresses those gathered to meet her at the Mae La refugee camp near the Thailand-Burma border in 2012. (Photo: Reuters) BANGKOK, Thailand — Local Thai authorities have reportedly cancelled the State Counselor Aung San Suu Kyi's official visit to the Tham Hin refugee camp in Ratchaburi province on Saturday, according to sources close to the camp administration. Suu Kyi will be arriving in Thailand's capital Bangkok on Thursday for her three-day visit, and had planned to travel on Saturday to Tham Hin camp in Ratchaburi, where more than 6,000 Burmese refugees are residing. The source, who chose to remain anonymous due to the sensitivity of issues concerning the refugee camp, told The Irrawaddy that local Thai authorities had informed the camp committee on Wednesday that the trip had been cancelled, with no reason given. "Communities in the camp would like to welcome our leader Daw Aung San Suu Kyi," the source said. "We would like her to see the situation of the camp in order to help us. We would like to raise some questions regarding refugees and hear what she has to say too." Heavy restrictions on access are in place for non-residents in the Tham Hin camp, the second-smallest of the nine refugee camps along the Thailand-Burma border. Sally Thompson, director of the Thailand Border Consortium, said she had also been informed by her field staff about the cancellation of the trip, but had not received an official confirmation. "If it was cancelled, everybody [the refugees and the NGOs] will be disappointed," Thompson told The Irrawaddy. "It would have been a good opportunity for her [Aung San Suu Kyi] to have a dialogue with the refugees [who] can explain…why they are still here in the camp." Some of the issues related to refugee repatriation are supposed to be discussed during the State Counselor's meeting with the Thai Prime Minister Gen Prayuth Chan-ocha on Friday, she said. Landmines, land allocation issues and military presence have all been cited as obstacles preventing the refugees from returning to Burma. "The government of Myanmar is not ready, and at the moment the Thai government is waiting for the Myanmar government to say they are ready," the Thailand Border Consortium's Sally Thompson said. Thai government spokesperson Maj-Gen Werachon Sukondhapatipak was quoted by Thailand-based English-language newspaper The Nation on Wednesday as saying that Thailand has always been eager to return refugees to Burma but has been unable to overcome legal and logistical hurdles to doing so. Burma's Ambassador to Thailand U Win Maung did not respond to multiple requests for comment. The post Suu Kyi's Trip to Refugee Camp in Thailand Scrapped appeared first on The Irrawaddy.

Four More National Committees Formed Posted: 22 Jun 2016 05:41 AM PDT President Htin Kyaw enters Parliament on March 30, 2016. (Photo: JPaing / The Irrawaddy) RANGOON — Burma's President Htin Kyaw has formed four national-level committees for transportation, water resources, land use policy and foreigner supervision, chaired by two vice-presidents and two union ministers, according to a statement released by the President's Office today. The four committees: the Implementation Committee for National Transport Master Plan; National Committee for Water Resources; Central Committee for Vacant Land Management; and Central Committee for Foreigner Supervision, were signed into formation by the president on Monday. The controversial military-backed vice-president Myint Swe will chair the 19-member Foreigner Supervision Committee, which will be responsible for adopting policies and drafting appropriate laws for foreigners living in and visiting the country. The chief of police and the director-general of the immigration department will both act as secretaries. The 21-member Water Resources Committee will be chaired by ethnic Chin vice-president Henry Van Thio and will include several union ministers, the mayors of Naypyidaw, Rangoon and Mandalay, and a hydrology expert. It will be responsible for drafting a strategy for, and implementing, an integrated water resources management system, and developing a national policy for water resources. The Transport Committee will be chaired by transport and communications minister Thant Zin Maung, and joint chaired by the ministers of national planning and finance, and construction. The 22-member committee is responsible for analyzing the master plan and financial sources, specifying project priorities and time frames, allocating annual financial budgets for projects, seeking loans from foreign countries and collaborating with international organizations. Lastly, the Vacant Land Management Committee will be chaired by the union minister of agriculture, livestock and irrigation, Aung Thu. The 18-member committee will handle land use proposals for agriculture, livestock and minerals in line with the country's existing laws. The land use policy in Burma is complex due to past instances of land grabbing and customary land use practices in ethnic areas. The committee includes the director-general of the President's Office and two military-controlled offices—the Home Affairs Ministry's General Administration Department and the office of the Quartermaster-General. The previous administration, under former President Thein Sein, annulled 112 national committees on March 29, just before transferring power to President Htin Kyaw. The new government has formed multiple national committees during the last three months, including the Committee for the Prevention of the Recruitment of Minors in Military Service, the Preparatory Committee for the 21st Century Panglong Conference and the Committee for Arakan State Peace, Stability and Development. The post Four More National Committees Formed appeared first on The Irrawaddy.

UN Rapporteur Avoids Contentious Terms with Arakan Chief Minister Posted: 22 Jun 2016 05:36 AM PDT United Nations human rights rapporteur Yanghee Lee meets the Arakan State Chief Minister Nyi Pu in a room in Sittwe airport on Wednesday. (Photo: Tayzar) RANGOON — The United Nations (UN) special rapporteur on human rights in Burma, Yanghee Lee, and Arakan State Chief Minister Nyi Pu struck a conciliatory tone on a meeting in the state capital Sittwe on Wednesday, in which the contentious terms "Rohingya" and "Bengali" were avoided. Yanghee Lee expressed confidence in the leadership of Nyi Pu, a National League for Democracy (NLD) member who was appointed as Chief Minister by the NLD leadership in the face of opposition from the Arakan National Party (ANP), which represents the Arakanese Buddhist majority and holds the largest plurality of seats in the state parliament. Despite a reported request from Yanghee Lee, the ANP issued a statement on Wednesday saying they would not meet with her because she was "coming to write a biased report" for the UN. Yanghee Lee and the UN have been the subject of fierce criticism, and abuse, from nationalists in Burma for highlighting discrimination against the stateless Rohingya Muslim minority in Arakan State, whom the general public in Burma refers to as "Bengali," to imply they migrated illegally from Bangladesh. This week, the UN's human rights office released a report stating that violations against the Rohingya—including denial of citizenship rights, forced labor and sexual violence—could amount to "crimes against humanity." The report has already drawn criticism from within the Burmese government. Arakan State government spokesman Min Aung told The Irrawaddy on Wednesday that Yanghee Lee—who is in Arakan State for two days—was travelling to Kadi, a Muslim-majority village tract of 421 households in Ponnagyun Township. Yanghee Lee will then proceed to the Pa Nyar Wa camp in Kyauktaw Township, which is sheltering members of non-Muslim ethnic minority groups—including the Mro and Daingnet—displaced by recent fighting between the Burma Army and the Arakan Army. Min Aung said that Yanghee Lee arrived at 10 am on Wednesday at Sittwe airport, where she held a ten-minute meeting with Chief Minister Nyi Pu. According to Min Aung, Yanghee Lee did not use either of the controversial terms "Bengali" or "Rohingya." The Arakan State government spokesman also said that Yanghee Lee's agenda did not include visits to any of the camps for displaced Muslims. He said that Yanghee Lee was interested to visit Kadi village tract in Ponnagyun Township because it is one of the sites being targeted by the government's re-booted citizenship verification program aimed at stateless Muslims in Arakan State. As previously reported by The Irrawaddy, Muslim residents of the village tract have met the process with distrust, with some refusing to cooperate. The Irrawaddy contacted four separate individuals who attended the meeting between Yanghee Lee and Nyi Pu. They concurred with the account of spokesman Min Aung. A government source shared an audio file of the meeting with The Irrawaddy, which featured no mention of the words "Rohingya" or "Bengali." Chief Minister Nyi Pu said the state government is now "observing and analyzing" the situation in Arakan State and following instructions from State Counselor Aung San Suu Kyi, who chairs the new Committee for Arakan State Peace, Stability and Development. Nyi Pu said that, "under Suu Kyi's leadership, we will quickly implement changes and deliver development. I believe our people will fully obtain the benefits." Nyi Pu mentioned that the world is watching Aung San Suu Kyi and her actions will be judged according to "international standards." Nobody should doubt her sincerity, he said. He added that there was no cause for misunderstanding between the UN and the Burmese government. He called on Yanghee Lee to collaborate with the government's plan. Yanghee Lee said she had "come as a true friend" of Arakan State and was there to help. Yanghee Lee expressed her gladness that Aung San Suu Kyi was leading the new committee on Arakan State, and was devoting attention to its pressing issues. She also expressed confidence in Chief Minister Nyi Pu, whom she trusted would help deliver positive change. "Today I would like to take the opportunity again to thank you all for working hard on a very complex and very difficult situation," she said. On Tuesday, Ms. Yanghee Lee told civil society groups in Rangoon that she had been prohibited by the government from visiting northern Shan State, where several thousand civilians have fled armed conflict in recent months, out of concern for her "safety." The Irrawaddy phoned President Office's spokesman Zaw Htay on Wednesday to clarify this restriction imposed on Yanghee Lee but the calls went unanswered. The post UN Rapporteur Avoids Contentious Terms with Arakan Chief Minister appeared first on The Irrawaddy.

Low-Grade Gems in High Demand in Moe Goke Posted: 22 Jun 2016 04:27 AM PDT RANGOON — The demand for large quantities of low-grade stones in Burma's ruby rich Moe Goke has remained strong even as prices increase and the country enters the rainy season, gems traders said. Moe Goke, also known as 'Ruby Land', is a lush valley known for its rubies, sapphires, moonstones and other gems located about 202 kilometers (126 miles) north of Mandalay city. The area is peppered with dozens of varieties of semi-precious stones, but miners have said the deposits are noticeably thinning. While rubies and other semi-precious gemstones have become more difficult to find, low-grade gems are in demand for buyer's who eye a bigger market share, Moe Goke gems traders said. "Last year, the price for low-grade stones was about 100,000 kyats (about US$85) per stone, but this year some have fetched up to 3-5 million kyats as demand continues to increase, said Yu Yu Hlaing, a trader in Hta Pwe, Moe Goke's gems market. Hta Pwe, which translates to 'a plate for showing,'  opens every day at noon when both local and foreign traders rush in. "More traders are coming to Hta Pwe from all over the country," she said. Because the once-abundant quality stones are no longer so easily found, thousands of low-grade gem stones are passing hands alongside the slower market for rubies and other semi-precious stones. Nge Nge, another gems trader, said some low-grade stones, especially one known by the local name 'hot pink,' are in particularly high demand. These stones are not common in other areas of the country and are in high demand in Yangon, she added. Locals have mined the area by hand since the British colonial era, setting up modest mining operations. Those small businesses began winding down around 1988, when the then-ruling military junta offered up large-scale mining concessions. The post Low-Grade Gems in High Demand in Moe Goke appeared first on The Irrawaddy.

After Shooting of Kachin Teen, Protesters Dispute Burma Army Claims Posted: 22 Jun 2016 04:00 AM PDT A group of protesters march in Myitkyina Tuesday, carrying the dead body of Gum Seng Awng from the hospital to his home. (Photo: Kachin Waves / Facebook) RANGOON — After nearly one thousand local residents in Myitkyina, Kachin State took to the streets on Tuesday to protest the shooting of a teen by a Burma Army soldier, the Ministry of Defense has officially announced the cause of death as a "misfire." On Monday night in the Kachin State capital, an unarmed 19-year-old ethnic Kachin university student, Gum Seng Awng, was shot to death by a Burma Army soldier. The Ministry of Defense announced in The Global New Light of Myanmar, a state-run newspaper, on Wednesday, "The death of a Kachin man on Monday night was caused by a misfire from a soldier's gun." "The two soldiers were providing security at the Bala Min Htin Bridge in Myitkyina and were escorting four [female] civilians who asked them to help as they were being threatened by a group of men," said the statement. "When the soldiers arrived back [at] the bridge, a group comprising eight men fought them and attempted to grab the arm of a soldier, who then apparently misfired his weapon killing a young male." The two soldiers were injured and are receiving medical treatment at a local Army battalion base. "Action will be taken according to the procedures," said the Ministry of Defense. However, residents and relatives remain upset because the victim was an unarmed civilian. Local sources confirmed that there was an argument between the two soldiers and a group of young Kachin men that led to the Gum Seng Awng's death. But they dispute the events that led up to the shooting. Zau Lat, Gum Seng Awng's uncle, told The Irrawaddy the cause of the death was unclear because his nephew's friends had different accounts. "His friends said they were on their way home when they saw two girls and joked around with them. But then the two soldiers drove behind the girls and asked the young men why they were talking with the girls, so they had an argument," said Zau Lat. "But, looking at his injures, it looks like he was shot from behind deliberately at close range," added Zau Lat, adding that his nephew's body had three bullet holes. According to the account Zau Lat heard, Gum Seng Awng was with three of his friends, as opposed to the Army's claim of a group of eight men. Relatives of the victim wanted local authorities to investigate the killing and bring to justice those responsible. However, they said they had low expectations and claimed the local authorities tried to prevent them from seeing and examining Gum Seng Awng's corpse at the hospital on the night of the incident. In their march on Tuesday, the protesters held placards and posters that read, "Stop killing students, stop killing unarmed civilians, stop killing Kachins." "They marched yesterday [Tuesday] to condemn the killing of civilians, and they want guarantees it won't happen again," Zau Lat said. "They are trying to put pressure [on the authorities]." There was no protest today, and a funeral ceremony will be held Thursday at 1 pm, led by the Kachin Baptist Convention, a local Christian civil society organization. The post After Shooting of Kachin Teen, Protesters Dispute Burma Army Claims appeared first on The Irrawaddy.

Credit Bureau Alone Won’t Overcome Limited Credit Access Posted: 22 Jun 2016 02:10 AM PDT Cashiers behind piles of kyat banknotes in a private bank in Rangoon. (Photo: Reuters) The creation of a credit bureau is usually a key enabler in improving the access of credit for individuals, business owners and small enterprises. A credit bureau provides lenders with the credit history of borrowers and statistical information to assess their ability to repay loans. It also introduces a level playing field with all lenders accessing the same information, driving borrowing costs down through competition for prime customers. Eventually, it limits the number of nonperforming loans that remain outstanding because lenders can make better-informed decisions. These are the benefits of a successful credit bureau, whether it is a public credit registry attached to the central bank or a privately-run entity with obligations to the regulator or the banking association. However, the introduction of a credit bureau in Burma may not bring significant benefits in the short- and medium-term. The implementation of a credit bureau will take time and face many of the operational issues commonly observed in emerging markets. These include difficulties in identifying customers, the absence of reported financial information, and the lack of comprehensive and accurate data from lenders. Many banks do not yet have a core banking system or a developed IT system, and have to resort to manual and paper-based reporting. The existence of a large informal lending sector also presents an obstacle to building a reliable credit bureau, because informal sector credit will not be reported. More fundamentally, current limitations in credit access are not just linked to an absence of information that would be overcome by a credit bureau, but more to existing regulation and insufficient credit and risk management skills in the banking sector. The relaxation of eligible collateral rules and the widening of the credit spread (the difference between the minimum deposit rate and the maximum credit rate, which is currently set at 5% by the Central Bank) would allow consumers with a higher risk profile, who are nonetheless still creditworthy, to borrow. The development of credit risk management processes and skills in the banking sector would be needed to encourage the banks to do away with their current practices of monetizing existing collateral rather than lending to creditworthy economic agents. The establishment of a credit bureau is undoubtedly an important step but should be part of a broader, much-needed banking sector transformation plan. Sequencing the plan and defining priorities would be key to maximizing impact, given the capacity constraints of both the government regulator and the banking industry. Mr. Chassat is a Partner with Roland Berger and Head of Financial Services Practice, Southeast Asia.  He has been advising the Central Bank of Myanmar on Foreign Bank Licensing and Interbank Market development. The post Credit Bureau Alone Won't Overcome Limited Credit Access appeared first on The Irrawaddy.

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