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Burmese government to continue privatization: Official
Irrawaddy - January 13, 2011
Burma's government will privatize most remaining state-owned industries as part of the country's transition to democracy, according to a senior regime official quoted by a local news journal.
Burma will follow the example of other newly democratized countries and privatize 90 percent of state-owned industries, said Deputy Minister of Industry (2) Khin Maung Kyaw, according to a report by the Bi-Weekly Eleven on Thursday.
"This is not only happening in Burma. This is a part of the democratization process in other countries, too," the deputy minister reportedly said in a speech on Jan. 9 at the annual meeting of the Burma Engineering Society in Rangoon. He added that there would be conditions in the process of transferring state assets to private ownership.
The Bi-Weekly Eleven reported that last year the regime privatized 110 business properties, 32 buildings, 246 gas stations and a number of ports along the Rangoon River.
Since late 2009, the Burmese regime has transferred ownership of state-run factories and enterprises to companies run by leading military figures or regime cronies like Tay Za, one of Burma's richest businessmen and a close associate of junta leader Snr-Gen Than Shwe.
Soe Myint, a senior official of the Myanmar Federation of Chambers of Commerce and Industry, said he welcomed the news that privatization will continue.
"This is similar to the process in countries like Vietnam, so we are optimistic," he said. But, he added, "There has still been no official announcement of this from the government."
The news came after state media announced earlier this week that Burma's new Parliament would convene its first session on Jan. 31.
Critics say that the ruling generals are transferring ownership of state assets to private individuals to avoid losing control of them to local authorities after Burma's 2008 Constitution comes into effect when the first session of Parliament convenes.
The Constitution contains a number of provisions granting states and divisions the right to manage some of their natural resources.
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