Myanmar Foreign Trade Bank has received a line of credit worth US$60mn from the Export-Import Bank of India (Indexim) for financing railway projects.
The projects will be implemented by India’s state-owned infrastructure development company, Rites.
Indexim has extended several credit lines to Myanmar, totalling around US$250mn, for a number of projects in sectors such as transport, telecoms and energy.
The Myanmar government is appealing to Indian investors, with government ministers Tin Naing Thein, Thaung and Soe Tha, reported to have said that the government was encouraging the involvement of the private sector in a big way in the development of Myanmar infrastructure.
Practical schemes that the three ministers mentioned were the government’s support for the setting up of private banks and the privatisation of some petrol stations.
According to Tha, around 400 foreign enterprises from over 30 countries were doing business from and with Myanmar, accounting for an investment of US$23bn.
In contrast, only five Indian companies are present in the country with a total investment of US$200,000.
Last Updated July 30, 2010
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