Press: Myanmar parliament delays approval of French aid loan for Yangon development

29, Nov. 2018

YANGON, NNA – Myanmar’s legislature, the Assembly of the Union, has postponed the approval of a 70-million-euro ($79.6 million) loan from the French Development Agency for urban development in the Yangon Region as the government tries to keep a lid on foreign debt.

Speaker U T Khun Myat told parliament on Monday that the loan needs to be reviewed because some lawmakers from the Yangon Region, the commercial center of the emerging economy, opposed the projects, the Myanmar Times reported.

Parliament’s Joint Public Accounts Committee will meet the agencies that will use the loan and submit a report before Dec. 3, the newspaper said.

Some members of parliament want to further discuss the effectiveness of the loan for the projects aimed at reducing traffic congestion and alleviating flooding, it said.

Earlier this year, Myanmar scaled back plans for a Chinese-backed port on its western coast, sharply reducing the cost of the project as it was feared to push up the Southeast Asian country’s foreign debt.