Pyidaungsu Hluttaw discusses to receive ADB loan

10 September 2019

The 2nd time, Pyidaungsu Hluttaw 13th Regular Session, 22nd Day took place in Nay Pyi Taw on Monday, 09 September 2019.

Following the session, representatives of Pyidaungsu Hluttaw discussed to carry out Resilient Community Development Project with Asian Development Bank (ADB) Loan.  

Ministry of Agriculture, Livestock and Irrigation discussed at the Pyidaungsu Hluttaw to receive   the total of loan, USD 185 million for implementing the development work in Chin State, Sagaing Region, Tanintharyi Region and Ayeyarwady Region.  Regarding to this issue, representatives of different ministries projected their ideas to Pyidaungsu Hluttaw on Monday.

U Hla Kyaw, Deputy Minister of Ministry of Agriculture, Livestock and Irrigation explained the idea behind why and how Resilience Community Development Project has become.

“Myanmar is listed in the countries that can face natural disaster most, according to 2017 Global Climate Risk Index. The people living in the natural disaster zone, people working in the fields who are most likely to face natural disaster and people with limited knowledge of natural disaster prevention are those people who have suffered losses from natural disasters. In consequence, the poverty is occurred. Thus, for sustainable development and poverty reduction, we have to carry out the prevention and reduction of natural disasters at the same times. Based on that fact, Resilient Community Development Project (RCDP) is initiated.”

U Hla Kyaw, Deputy Minister of Ministry of Agriculture, Livestock and Irrigation further explained the main objectives of working for Resilient Community Development Project.

“The main objectives of carrying out Resilient Community Development Project are the people themselves are working for the community development and increasing rural income, supporting higher living standard, responding quick response to natural disasters. To be able to carry out the project, Asian Development Bank together with Department of Rural Development did preliminary survey in 2018 and drew the project design. Due to its project design, USD 244.95 million is needed and it is aimed that the project period will be seven years from 2019-2020 fiscal years to 2025-2026 fiscal years.”

Following the session, Deputy Minister of Ministry of Planning and Finance, U Maung Maung Win also engaged the session by explaining the rule and regulations of taking the loan from Asia Development Bank. “The rules and regulations of obtaining the loan from ADB are that the loan has a maturity of 32 years. We do not have to pay very much interest within the first 8 years. It will be just 1 percent during that period. And the interest rate will increase to 1.5 percent during the next 24 years, which means we could receive 47.2 percent grant. This means, the loan is reasonable.”

LOOM
Photo Credit - Pyidaungsu Hluttaw