R EPA PE BUSINESS: KS 3 TN BUDGET DEFICIT IN SIGHT ✪5 First INDEPENDENT English daily www.elevenmyanmar.com THURSDAY, Januray 29, 2015 INSIDE Education minister bows to students’ demand NATIONAL Education Minister backs down, agreeing to amend the controversial education law amid heightened protest Kachin Red Cross Association to provide aid to IDPs ✪2 BUSINESS CHD Bank offers home loans at 13 per cent interest ✪5 EPA ASEAN+ Without education, some Myanmar workers earn a living by carrying baskets loaded with gravel. MYANMAR ELEVEN UNION Education Minister Dr Khin San Yi said measures would be taken to amend some provisions of the National Education Law following protests against the law by students across Myanmar. Parliament also recently announced that the education ministry is due to submit a bill to amend the education law for parliamentary discussion. A coordination meeting on the law’s amendment took place on Tuesday with comments by the deputy speaker of Union parliament, Lower House deputy speaker Nanda Kyaw Swa, Education Minister Khin San Yi, Deputy Education Minister Dr Zaw Min Aung and chairmen and members of parliamentary committees. The amended version will be discussed in the Union parliament. Since the law came into effect, students across the country have publicly protested the centralisation of the education system, called for the elimination of the National Education Commission and the Higher Education Coordination Committee and demanded freedom to form student unions. They also demand the insertion of all-inclusive education into the law and the development of ethnic minority cultures and literatures. The Union parliament passed the education law last September with 46 per cent of the provisions made by parliament and 54 by the education ministry. A major protest was hosted in November. Another one started on January 20 by dozens of students who were displeased with the government’s inaction. They started marching from Mandalay to Yangon to demand changes to the education law. As they have passed the first 100km of the 575-km journey, they have received overwhelming supports from villagers. On Tuesday, when the procession of some 300 people – comprised of students, monks and other activists – was marching through the Nanmyint valley, they were briefly blocked by Myanmar police. “We are trying to stop them to avoid further tension and instability,” government spokesman Ye Htut told AFP, adding the strength of the security response would be down to local authorities. Fearing another bloody clash, more than 60 NGOs in Myanmar urged the government to avoid using force against the students. Aung San Suu Kyi, the chairperson of the National League for Democracy (NLD), said all parties must prepare to compromise on the controversial national education bill. “One mustn’t take a stance carelessly. Democracy requires compromise and negotiation. The students have raised many different grievances. I don’t know how the government and the students reached an agreement. I did not participate in the drafting of the bill. I am not on the national education committee. But I am interested in this issue,” Suu Kyi said. “Compromise is reached through negotiation in any country. One side can’t solve the problem alone. All parties need to prepare to compromise. Compromise means agreement made between two people or groups in which each side gives up some of the things they want so that both sides are happy at the end. It is a basic culture of democracy,” Suu Kyi said. “If we want democracy, a solution must be sought through negotiation. If not, democracy will not take root in our society. If both sides have genuine desires to solve the problem through negotiation, a solution will be found. If both sides want to discuss only things they want, a solution will be impossible,” Suu Kyi said. “This matter concerns us all. The people discussing the matter must understand the situation well and must be skilful. Amendments should be made. They should not stick to a dogmatic approach in the compromise. By-laws have not been specified until now. Some said by-laws are not required. This bill absolutely needs by-laws,” Suu Kyi said. ✪ More on Page 4 Indonesia’s search for AirAsia crash victims could end in days ✪8 LIFESTYLE MMPO under fire ✪10 2 NATIONAL MYANMAR ELEVEN, Thursday, Januray 29, 2015 Kachin Red Cross Association to provide aid to IDPs THE Kachin State Red Cross Association has pledged to provide humanitarian assistance to villagers and internally displaced persons (IDPs) who are trapped in the Hpakant conflict area, said Ganic, the First-Officer of the Kachin State Red Cross Association. “We will focus on sending aid to the people in Kan Hsee village. We have learned that there are 1,459 people there. We will administer aid on a family basis. We don’t know the exact number of households. The aid includes household utensils and used items for women. The Relief and Resettlement Group and the Kachin State Government provided dry-noodles and 50 bags of rice. If in needed, the aid will be sent there. We will also be collecting the lists of victims. Road conditions may be difficult. The state government urged the army to open the sections of the road that are blocked,” said Ganic. On January 15, clashes between the Myanmar Army and Kachin armed groups took place in the surroundings of Kan Hsee village in Hpakant region, Kachin State. About 2,000 locals from three villages sought shelter at the pagoda compound and local monasteries. When the skirmish- A Kachin State Red Cross Association aid convoy of lorries to war-torn area of Hpakant Region. es ended about 10 days later, the army restricted the movement of villagers. Locals were only allowed to go outside their shelters individually, according to the locals. “The Kan Hsee road has not opened yet. The government troops sent aid to those who are trapped in conflict areas. They troops also allowed the [villagers] to move about individually or in groups of two people after security checks. We have learned that the issue about the IDPs was discussed at the Kachin State government office on January 26. At night, the security is tightened up in downtown Hpakant. Most of the businesses can’t do their work,” said township elder La Hsai from Hpakant. After three policemen were arrested by the Kachin Independence Army (KIA), skirmishes broke out between KIA and army. Due to the clashes, sections of the road to Hpakant Township were closed for about one week, leaving hundreds of villagers trapped. The KIA informed local companies to shut down the jade industry. At present, some jade companies have resumed their work. Army officers involved in massive illegal smuggling attempt MYANMAR ELEVEN A captain and a sergeant from the Myanmar Army were alleged of having involved in the smuggling of over 10,000 bags of ammonium nitrate, which can be used to make explosives. In the illegal convoy consisting of 17 lorries were also various illegal electronic items worth over Ks 2.5 billion, according to the anti-smuggling mobile enforcement team. The smugglers used the Military Import Form (MI Form) to transport illegal items from China to Myanmar. The MI Form was found to have been misused in Muse by the captain and the sergeant from the Eastern Command. The two officers were apprehended at the Naungcho checkpoint on January 24, and they are being investigated by the North-East Command, said officials from the mobile team. The mobile team refused to give the number of the brigade to which the army officers belong but said they have been taken to their respective headquarters to face justice in accordance with the rules and regulations of the army. This is the third time illegal chemicals have been seized while being smuggled into Myanmar, the mobile team said. President Thein Sein organised a central committee for the prevention and control of illegal trading in 2012 and the mobile teams are now inspecting goods at airports, seaports, roads and border trade areas. In total, they seized illegal goods worth of over Ks 5 billion between the 20112012 and 2013-2014 fiscal years. This seizure had the largest volume and highest value of any illegal import attempt to date in Myanmar. The mobile teams have seized almost Ks 6 billion worth of illegal goods in the 2014-2015 fiscal year. Fighting along the border weakens Myanmar’s inspection capacity and allows the smuggling of illegal products in and out of the country. Earlier this month, over 100 Chinese nationals were arrested for illegal logging. This week, more Chinese citizens have been arrested and 4,529 logs were seized in Waimaw, Kachin State, according to officials from the state’s Forestry Department. “We made more arrests. Another eight Chinese nationals were arrested along with a seizure of 4,529 logs which were due to be smuggled. We also seized 11 logging vehicles,” said an official from the department. “The process to classify the types of the logs and tonnage is now under way. We are making more searches,” he continued. With support from government troops, the authorities arrested 132 Chinese citizens and 19 Myanmar nationals from January 2 to 6 in Waimaw for illegal logging. A new operation led to the eight further arrests, the forest officials said. The Chinese nationals are being held in Kachin and will face legal action. Interrogation found that they entered Myanmar annually to smuggle timber out of Kachin State. A military aerial surveillance operation in early January led to the arrests. The official seizures included one backhoe, two cranes, 436 logging trucks, four passenger vehicles, two double cabs and nine motorbikes. EMG Tun Lin Aung MYANMAR ELEVEN Myitkyina MYANMAR ELEVEN, Thursday, Januray 29, 2015 3 National 4 Same budget for defence MYANMAR ELEVEN The Ministry of Defence plans to spend 33 per cent of its 2015-2016 budget on defence operations, said Defence Minister Lt General Wai Lwin. The ministry hopes to win a budget of Ks 2.75 trillion in the fiscal year, including a sum of Ks 137 billion reserved for the pay hike. Of total, 58 per cent would cover fixed expenditure, 9 per cent to military infrastructure, 3 per cent for education and healthcare sectors and almost one per cent for elite forces. He noted that defence activities involve the procurement of armored vehicles, fighter jets, heavy guns and ammunition. The annual budget for defence purposes have not been changed in the past years. It remains one third of total military expenses. The minister also noted that for the next fiscal year, it originally asked for only Ks 2.612 trillion (excluding the salary increase). This is Ks 1 billion below the amount granted in the previous fiscal year, at Ks 2.613 trillion, he noted. MYANMAR ELEVEN, Thursday, Januray 29, 2015 Police under investigation on mine protester’s death Soe Moe Tun MYANMAR ELEVEN Monywa A team led by Police Brig-Gen Khin Maung Win from the Myanmar Police Force Headquarters in Nay Pyi Taw has begun investigating the head of the Sagaing Region Police Force and other officials in light of the death of Khin Win from Moegyo Pyin Village, who was shot during the conflict between police and local protesters at the Letpadaungtaung Copper Mine on December 22, 2014. “Two police colonels, including Police Brig-Gen Khin Maung Win, are now conducting an investigation at the Myoma Police Station in Monywa Township in Sagaing Region. The investigation team arrived at the station on January 25. The inquiry began the next day. The [team] won’t only investigate the head of the Sagaing Region Police Force. They will also inves- tigate the officials who were on duty during the conflict. I think the investigation period will take about one week,” said a police officer from the Monywa District Police Force. “We haven’t heard anything about the current investigations. In recent days, we went to the Salingyi Township Court to file a lawsuit over Khin Win’s death. However, the court dismissed our lawsuit. We will appeal to the higher courts and the parliament in cooperation with the Lawyers’ Network if the township or district courts do not accept the case,” said Khin Win’s nephew. The Myanmar National Human Rights Commission released a statement on January 14 saying the clashes occurred as the local people found themselves confronted by a line of police. People on both sides were injured due to the police squad’s poor management of the situation. The police did not use water cannons or tear gas to disperse the crowd, which would have been in line with conventional riot control techniques. The commission has urged law enforcement bodies to take action against the police officers who did not follow protocol. Khin Win’s death has sparked a series of protests, including several in front of the Chinese Embassy in Yangon. Last week, activists who led a protest in front of the Chinese embassy in Yangon on December 29 were refused bail. Nay Myo Zin, Naw Ohn Hla, Sein Htwe, Tin Htut Paing, Lay Lay, Than Swe and Mya Nu were arrested on December 30 and charged under six sections of the Penal Code of Myanmar. Lawyers representing the activists said that the court should rethink the lawsuit as the detention of activists without the court’s arrest warrants amounts to violating human rights. The state prosecutors objected to it as the accused would have no rights to get bail under section 505 (b). “The authority has filed a lawsuit against them with section 505 (b) as they don’t want to grant bail. The police needs to seek arrest warrants from the court to arrest them in accordance with section 505 (b). But now they are being charged under different sections,” said lawyer Robert San Aung. “We will start a strike in the jail if the authorities refuse to grant bail. We will rebel against the current rule of law. We strongly believe that the government is trying to use the dishonest ways to kill us in jail in place of peaceful methods,” said Nay Myo Zin. The government usually takes a tough line on Letpadaungtaung protests staged at the Chinese embassy. On December 10, 2013, Naw Ohn Hla, Tin Htut Paing, Aung Soe and Sithu were prosecuted for setting fire to the Chinese flag. AGENCIES More than 60 NGOs in Myanmar Tuesday urged the government to avoid using force against students marching from Mandalay to Yangon to demand changes to the education law. The students were demanding talks on amendments to the National Education Law. These included the establishment of independent student and teacher unions, changes to exam and entrance requirements at universities, the introduction of ethnic languages, and a modernisation of the national syllabus. “We found the education law is very undemocratic and restricted students’ rights. According to it, we can’t form a student union, and we have to stay away from politics,” said Ye Yint Kyaw, a spokesman for the All Burma Federation of Student Unions. According to Ye Yint Kyaw, while some of the student leaders would discuss with the authorities over the law amendments, the rest would continue marching to Yangon. The 60-day period for negotiation declared by students has expired and students have resumed their protest against the law that was signed by President Thein Sein late last year. As some students started marching from Mandalay to Yangon, students from other parts of the country have also carried out protests. On Monday night, police surrounded a monastery compound in Myin Chan township where the students were staying the night but no violence was reported. On Tuesday, Myanmar police briefly blocked the path of a major student protest march. Student activism is a potent political force in former junta-run Myanmar, with young activists at the forefront of several major uprisings, including a mass 1988 demonstration that ended in a bloody military assault on demonstrators. The group was intercepted in a remote rural area in the Mandalay region, around seven miles (11 kilometres) from the nearest village, and local police told AFP they had been asked to send personnel to reinforce the roadblock. They added that the group had been allowed to pass in the early evening, but did not give a reason. Activists earlier said that the situation was tense but calm. “If we cannot continue we will sit and continue our protest,” Paing Ye Thu, a student in contact with the protesters, told AFP. Myanmar’s government had initially appeared wary of acting against the rallies for education reform, which erupted briefly in November and started again last week when students began a planned 14-day march from the second city of Mandalay to the commercial hub Yangon. But Ye Htut said authorities moved in response to continuing protests despite a statement from the president last week calling for parliament to rethink aspects of a controversial new education bill - a move protesters said fell short of their demands. State-backed media Tuesday reported that some students were wanted in connection with an incident at nearby Myingyan Degree College, where activists removed the national flag and replaced it with that of the student protest group. The students say the new law curbs academic freedom and want it altered to include free and compulsory education until children reach their early teens, permission to form student and teacher unions, and teaching in ethnic minority languages. EMG Government urged not to use force against students Farmers and military men clash near defence facility. Farmers clash with troops near Pyin Oo Lwin military school Min Thant MYANMAR ELEVEN Farmers and military personnel clashed on January 27 near the Pyin Oo Lwin Defence Service Technological Academy (DSTA) when soldiers tried to extend the fence around the facility. The farmers were previously allowed to cultivate the land around the military facility in exchange for tax fees. The land had been regarded as a standby area for the DSTA since 1993. The extension of the fence cut into the land being cultivated by the local farmers. “Female farmers requested that the military not extend the fence. Then, we tried to stop the building of the fence. They threw stones at us and beat us with sticks. Some were injured. One farmer was seriously injured and was sent to the hospital,” said local farmer Chan Thar. “This land was confiscated in 1993. We got permission to do cultivation on the land in 1994. Now they want to extend the fence. Approximately 350 households are now facing difficulties making a living since we lost land to cultivate,” a farmer said. KYAT EXCHANGE BUSINESS Buy Sell US $ 1,023 1,033 Euro ¤ 1,155 1,173 752 764 Singapore $ Source: KBZ Bank 5 MYANMAR ELEVEN, Thursday, Januray 29, 2015 CHD Bank offers home loans at 13 per cent interest MYANMAR ELEVEN THE Construction and Housing Development Bank is now offering loans to home buyers and builders at 12 per cent interest plus a one per cent service fee. “We are financing both buyers and builders. Savings accounts must be opened at the bank to apply for a 13 per cent interest loan. Some purchasing docu- mentation from both parties (buyers and sellers) is required to get a loan approved,” an official from the bank said. The bank has not put a limit on loan amounts for individual borrowers, but it will consider each borrower’s credit limit. “Those who are building homes can apply for equity loans as well. Property must be used as collateral. Loan terms will be between one and three years. We are not giving out loans to buyers who are purchasing units that are listed as having been developed by the government,” the banker continued. The banker said that they know the financing period seems short, but in the future, when they work together with foreign banks for financial assistance, they promise to provide long- Lower House to form committee to monitor ministry purchases term loans. Roughly Ks 1.5 billion has been lent to borrowers. The CHD bank, directly supervised by the Ministry of Construction, was licensed by the Central Bank of Myanmar last July in accordance with financial rules and regulations. The bank was launched with an initial capital of Ks 100 billion (US$103 million). MYANMAR ELEVEN Budget deficit to exceed Ks3tn in coming fiscal year Myanmar will run a budget deficit of over Ks 3.8 trillion in the 2015-2016 fiscal year, which will start from April 1. In the Union Budget bill submitted to parliament on January 26, the government proposed the expenditure of Ks 20.83 trillion, while expecting to generate Ks 17 trillion in revenue in the year. The 2015-2016 fiscal year is the fifth budget year for the current government. “Since taking office, the Union government has prepared the Union Budget and the Union Budget Law in accordance with the constitution on a yearly basis,” said Finance Minister Win Shein. The government is dealing with the clearance of local and foreign debts owed since the time of the previous government, as well as new debts. To control the local debt burden is crucial for an increased budget deficit. There is no a balanced budget or a budget surplus, as the government has to make strenuous efforts to become a modern, developed nation,” said Win Shein, the Union finance minister. The minister also stressed the importance of maintaining the EMG MYANMAR ELEVEN budget deficit at around 5 per cent of gross domestic product and the government debt at around 50 per cent of GDP. This will help the country avert any possible financial crisis that may hamper economic sta- bility resulting from a huge budget deficit, the minister added. Upper House Speaker Khin Aung Myint has criticised some government ministries for their irregular budget spending. MPs from the National league for Democracy (NLD) party have also pointed out that annual budget increases and spending and more overseas loans during the tenure of the current government may cause a huge burden to the Myanmar people. Wickerwork industry not competitive in global market MYANMAR ELEVEN Despite its status as one of the top producers of rattan and bamboo, Myanmar’s furniture production has yet to compete with its international peers, according to Myanmar Rattan and Bamboo Entrepreneurs Association. The local wickerwork industry is not competitive, even among regional rivals, even though Myanmar is the thirdbiggest producer of unrefined rattan and bamboo materials in Asean countries. Cheap foreign imports dominate the local furniture market. “Since local furniture production is weak, the customers A bamboo plantation in Kawhmu. have no choice but to be content with low-cost foreign imports. The entrepreneurs will now focus on supplying furniture for domestic consumption rather than for the foreign market,” said Kyaw Thu, the chairperson of the association. Europe is Myanmar’s main market for rattan and bamboo exports. The association runs bamboo plantations of up to 1,000 acres in Taikkyi and Thayawady and holds training courses for farming in Kachin State. Experts from Indonesia and the Philippines will be invited for more extensive training sessions in Yangon, Mandalay, Sagaing and Ayeyawady regions. The Lower House of parliament decided on January 27 to form a national supervisory committee to oversee government ministries’ equipment purchases. Lower House MP Tin Nwe Oo of Dagon Myothit (North) submitted a proposal to form the supervisory committee monitor the product sharing contracts of the ministries of energy, electric power, mining and information. “The Ministry of Energy, the Ministry of Electric Power, the Ministry of Mines and the Ministry of Information signed product sharing contracts for the production and sales with foreign organisations and companies. Controversial issues are always appearing. To deal with these issues, I submitted a proposal to form the supervisory committee,” Lower House MP Tin Nwe Oo said. “According to the product sharing contracts, the government and the concerned companies must share profits after subtracting the expenditures and royalties that are paid to the State. The State can lose income due to ambiguous expressions in the contracts. Paying less royalties can hurt the income and the profits of the government. The State won’t be likely to acquire appropriate profits,” Tin Nwe Oo said. “Under the guidance of the State, the product sharing contract must serve the interests of the people. If a controversial issue appears in the ministries, the national supervisory committee should handle it instead of settling it among the ministries,” Tin Nwe Oo said. In response to a reporter’s question as to whether the supervisory committee has the right to supervise the ministries, Tin Nwe Oo replied that the purchase of machines must come with a warranty. “Quality must be guaranteed for machines bought by ministries. The committee must monitor these points,” he said. Business 6 BIZ BUZZ Ks 160 million in illegal imports seized this month MYANMAR ELEVEN During the three weeks from January 1 to 21, mobile inspection teams confiscated Ks 160 million (US$160,000) worth of illegal imports from border hubs to China and at the Techilek checkpoint at the Myanmar-Thailand border. Frozen meats, milk powder, coffee, water bottles, beverages, chicken-food, Ovaltine, tomato sauce, canned fish and betel chewing ingredients were among the seized merchandise. Electronic devices, mattresses and a CRV Motor loaded with fossils were also confiscated. The majority of the smuggled goods have come from China. The Mong Phyat forest department has also cracked down on illegal wood loggers and seized hazel wood timber. Most of the illegal trade is conducted through passenger buses, but some smugglers have begun using trains. Chinese beers and betel chewing ingredients worth Ks 100 million were seized at Yangon Central Railway Station this month. Between April and December 2014, over Ks 3 billion worth of smuggled merchandise, including jade pieces, gold chunks, forest products, handsets, computers and accessories, were seized along various trade routes. The value of illegal contraband confiscated during the 2013-14 fiscal year amounted to Ks 6 billion, according to the Customs Department. MYANMAR ELEVEN, Thursday, Januray 29, 2015 Economic growth driving development of construction industry VIENTIANE TIMES THE growth of Special and Specific Economic Zones (SEZs) in Laos has paved the way for the construction of modern urban structures in Laos, according to a Singaporean company. The developments referred to include the Laos-Myanmar Friendship Bridge across the Mekong, slated for completion in 2015, and multibillion-dollar infrastructure projects such as roads, high-speed railways and hydroelectric dams. Foreign investment coming mainly from China, Thailand and Vietnam has contributed significantly to the country’s remarkable economic growth in recent years, according to a handout from Sphere Exhibits Pte Ltd distributed ahead of a construction industry trade show titled ‘BuildTech Yangon’. There are many large construction projects in Laos, especially in Vientiane, including Special Economic Zones, apartments, condominiums and offices for rent, shopping centres, golf courses, five star hotels, new urban precincts, and modern car parks. There are between 700 to 800 investment projects in Vientiane, which are mainly funded by private investment in Specific and Special Economic Zones, general businesses and government land concessions, according to the Vientiane Planning and Investment Department. Company Chairman Chua Wee Phong noted on the handout that the CLMV countries Cambodia, Laos, Myanmar and Vietnam - are expected to grow at a robust pace over the medium term until 2018. “We are seeing greater interest from building and construc- tion industry players to bring the latest technologies and innovative solutions and seek new business partnerships at BuildTech Yangon this year,” he said. BuildTech Yangon, a trade show for the building and construction development sector, will take place in Myanmar from April 2 to 4. The trade show is a chance for Lao businesses to have a closer look at the current market place, as well as emphasise its position in Myanmar and other countries in the CMLV region, the handout noted. It will feature the latest construction machinery, and new materials as well as electrical and mechanical equipment from more than 150 companies around the Asia-Pacific region. Companies who are industry leaders in Asean have confirmed their participation. The trade show is projected to host some 4,000 industry professionals including architects, engineers, surveyors, contractors, developers and investors. The event will have a series of business seminars and networking sessions to foster knowledgesharing and drive the adoption of building and construction technologies. It aims to serve construction development with a focus on infrastructure, residential and commercial buildings, transportation, manufacturing and trading. It is an important platform for the building and construction industry to equip local professionals with the necessary knowledge and training to excel in the field, especially in areas such as high-rise construction. BuildTech Yangon aims to drive the adoption of new technologies and building materials that will elevate construction industry standards and workforce skills, and hasten the further development of key infrastructure, new homes, factories and satellite towns over the next few years. MYANMAR ELEVEN Loikaw The Ministry of Electric Power plans to upgrade the No 2 Baluchaung hydropower plant with Japanese aid, according to Japan International Cooperation Agency (JICA). JICA agreed to provide US$67 million for the aged machinery of Baluchaung hydropower plant, which was built in 1954 by the Japanese government as war reparations. The Baluchaung hydropower plant was extensively upgraded with an ODA loan from Japan in 1980. “JICA is mostly helping in the electricity generation sec- tor, and they promised to lend a hand to regenerate Baluchaung No 2 hydropower plant. The upgrade process is expected to be complete in 2016,” said Senda Kanako, a representative from JICA. Japan is providing technological aid to Myanmar’s electricity generation sector and is also assisting with the design of a national electricity master plan. Only 26 per cent of households in Myanmar have access to electricity, which is the smallest proportion among Asean countries, according to officials from JICA quoting data released by the Ministry of Electric Power. EMG Japan agrees to rehabilitate Baluchaung No 2 hydropower plant No.2 Lawpita hydropower plant in Loikaw Township ASEAN+ 7 MYANMAR ELEVEN, Thursday, Januray 29, 2015 ‘Red Shirt’ leader handed 2-year prison sentence Agence France-Presse BANGKOK Malaysia in on China’s Silk Road plan The Star KUALA LUMPUR The Nation A Thai court Wednesday sentenced the leader of the opposition Red Shirt movement to two years in prison for defaming a former premier, a move analysts said was the latest attack against critics of the military regime. The ruling comes days after the retroactive impeachment and announcement of corruption charges against ex-prime minister Yingluck Shinawatra, whose toppled government was backed by the Red Shirts before May’s army coup. The court convicted Red Shirts chairman Jatuporn Prompan on two counts of defamation against former royalist prime minister Abhisit Vejjajiva during speeches he made in October 2009. “The verdict is two years in prison without suspension,” a court official told AFP. Jatuporn’s lawyer Winyat Chatmontree confirmed the sentencing, saying his client - who was accused of defamation for holding Abhisit responsible for a crackdown against protesters in 2009 - would not be imprisoned until the conclusion of his appeal.“The court has approved bail, after this we will submit an appeal,” he told AFP. Anti-coup voices - including lawmakers from Yingluck’s former ruling Pheu Thai party, academics and students’ groups have been silenced after the army outlawed political gatherings, briefly summoned dissenters and censored the media. The once mighty Red Shirts have gone to ground with Jatuporn one of their few public faces, back on the small screen after the junta lifted a ban on political TV channels despite his Jatuporn Prompan arrives at the Bangkok court. every word coming under close scrutiny by authorities. The firebrand leader has swapped his once rabble-rousing rhetoric for cautionary language, urging followers against taking to the streets after last Friday’s decision against Yingluck. Jatuporn, a former Pheu Thai MP, has faced a slew of court cases in recent years. In August 2013 he was cleared of slandering Abhisit in a separate probe. Thailand analyst David Streckfuss told AFP Wednesday’s ruling was the latest attempt to quash any opposition to the military regime. “It seems to be part of a larger plan by the Bangkok establishment to silence and force aside their vocal critics,” he said, adding it was rare for someone to face jail time over criminal defamation, with suspended sen- tences more common. Thailand’s long-running political conflict broadly pits Bangkok’s middle-class and royalist elites, backed by parts of the military, against rural and working-class voters loyal to Yingluck’s older brother and former prime minister Thaksin Shinawatra. Parties led by or aligned to Thaksin, who lives in self-exile to avoid jail for a corruption conviction, have won every election in Thailand since 2001. Streckfuss said the recent rulings against Yingluck and Jatuporn pointed to a “step-bystep dismantling of the Red Shirt and Pheu Thai leadership”. “They are attempting to weaken the infrastructure of prodemocracy forces ahead of when an election is eventually held,” he said. Junta chief and premier Prayut Chan-O-Cha has said the army takeover was necessary to end months of political unrest that left nearly 30 people dead. He initially said fresh polls would be held around October this year, but the appointed government’s officials have since said an election will be delayed until at least early 2016. Yingluck’s impeachment by a junta-stacked parliament has seen her face an automatic fiveyear ban from politics. She had already been forced out of office in a controversial court ruling before the military’s coup. The same day she was impeached, prosecutors announced corruption charges that could see her face a decade in jail. Singapore forms Cyber Security Agency after world hack attacks Agence France-Presse Singapore’s government will set up a new agency to strengthen cyber security, Prime Minister Lee Hsien Loong’s office said Tuesday, amid more reports of high-profile hacking incidents worldwide. The Cyber Security Agency of Singapore, to be established on April 1, “will provide dedicated and centralised oversight of national cyber security functions,” Lee’s office said in a statement. The creation of the new agency follows a string of attacks on Singapore government portals, including the websites of the office of the prime minister and the president in 2013, as well as other hacking incidents around the world. In neighbouring Malaysia, the website of Malaysia Airlines was commandeered Monday by hackers who referenced Islamic State jihadists and claimed to be from the “Lizard Squad”, a group known for previous denial-of-service attacks. There have also been other recent cyber attacks around the world, including one on the US Central Command’s Twitter account this month and on Hollywood studio Sony Pictures last year. The agency, which will work closely with the private sector, will be involved in “strategy and policy development, cyber security operations, industry development and outreach,” according to the statement. Minister for Communications and Information Yaacob Ibrahim will be put in charge of cyber security, it said. Last year Yaacob said the city-state was upgrading its Cyber-Watch Centre, allowing it to track malicious activities and respond swiftly when there are security breaches. He said the government was working to increase the number of homegrown cyber security experts by partnering with local universities that offer specialist degrees. Malaysia’s recommendations for the 21st Century Maritime Silk Road economic belt have been incorporated in China’s outline of the plan, said transport minister Liow Tiong Lai. Liow, who met his Chinese counterpart Yang Chuantang for a bilateral meeting in Beijing on Monday, said that Malaysia’s recommendations had been incorporated into the outline. “China will be sharing the final version of the outline with Asian ministers, in particular those from Asean countries,” said Liow in a statement made available here yesterday. Liow said that Malaysia’s proposal was made during the bilateral meeting on the sidelines of the 20th Asean Transport Ministers Meeting in Myanmar in November. The 21st Century Maritime Silk Road would involve the cooperation of all countries along the route and more than 50 countries had expressed their support for the initiative, he said. China’s proposal to build a 21st Century Maritime Silk Road is aimed at exploring the unique values and concepts of the ancient road and actively developing economic partnerships with countries situated along the route. It is a global initiative that pursues win-win results through cross-border cooperation. Liow said that the Silk Road initiative would strengthen connectivity between China and the Asean nations and support economic growth and trade activities within the region. The project will focus on building roads, railways, ports and airports across Central and South Asia. An overland route will pass through Kazakhstan, Kyrgyzstan and Iran en route to Vienna in Austria; and a maritime route will be from Chinese ports to Belgium’s Antwerp. The initiative also serves as an opportunity for Asean countries to speed up the plan to establish the Asean Economic Community. Liow said he also took the opportunity during the meeting to reiterate that the search for MAS Flight MH370 remained a top priority for Malaysia. To date, four specialised vessels had been deployed for the underwater search, he said. ASEAN+ 8 GLOBAL BRIEFS Military helicopter crash kills 4 in Vietnam MYANMAR ELEVEN, Thursday, Januray 29, 2015 Indonesia’s search for AirAsia crash victims could end in days Four Vietnamese military personnel were killed when an air force helicopter crashed during an exercise on Wednesday, the army said, in the second such accident in seven months. The United States-made UH-1 helicopter went down in a suburb of Ho Chi Minh City and all those on board were killed, said LieutenantGeneral Vo Van Tuan, deputy chief of the staff of the army. “We are investigating the cause of the crash,” Tuan told Reuters, adding that no civilians were affected. - REUTERS The problem of stateless people, including the Bajau Laut or sea gypsies, must be resolved jointly by Malaysia, Indonesia and the Philippines, Indonesian ambassador Herman Prayitno said here. He said the matter of stateless people affected three governments and involved human rights issues. “We cannot just throw these stateless people, such as the Bajau Laut, from one place to another, especially when they enter our countries,” he said. Speaking on the sidelines of the Asean foreign ministers retreat, Herman voiced optimism that maritime border issues between Malaysia and Indonesia could be resolved. He said the Indonesian government decided to strictly enforce its maritime border regulations because it wanted to protect the country’s resources and sovereignty. - THE STAR Hanoi opens drug rehab centres Two rehabilitation centres offering the methadone treatment method for drug addicts were opened at the HIV/AIDS Prevention and Control Centre and Hospital 09 in Ha Noi yesterday. The new centres are part of the city’s plan to launch 11 treatment facilities to accommodate 8,500 people by February this year, said Nguyen Khac Hien, director of the municipal department of health. Infrastructure facilities, equipment procurement and staff training are also part of the programme’s priorities, Hien added. In 2014, as many as 2,300 drug addicts were treated with the methadone method in six local centres, helping them to reintegrate with the community. Currently, Hospital 09 cares for nearly 400 HIV/AIDS patients who are receiving antiretroviral (ARV) therapy. Roughly 70 to 80 per cent of the patients are former drug addicts and are struggling to follow the strict treatment schedule. The new facilities will help ensure the effectiveness of the treatment, while easing the financial burden on HIV patients and their families. - VIET NAM NEWS EPA Jakarta wants joint approach with M’sia on stateless folk The Chief of the Indonesian National Search and Rescue Agency (BASARNAS), Bambang Soelistyo (C) speaks to journalists, accompanied by several relatives and his staff in Jakarta. Agencies JAKARTA Indonesia’s search for dozens of victims still unaccounted for from last month’s crash of an AirAsia passenger jet could end within days if no more bodies are found, a senior government official said on Wednesday. The Airbus A320 vanished from radar screens in bad weather over the Java Sea on Dec. 28, less than half-way into a twohour flight from Surabaya, Indonesia’s second-biggest city, to Singapore. All 162 people on board were killed. Indonesia’s civilian National Search and Rescue Agency said it would scour the sea for bodies for at least another week. “Within one week we will eval- uate (our search) depending on the result,” agency chief Fransiskus Bambang Soelistyo told reporters. “If we can find one or two more bodies, that means we have the opportunity to prolong the operation.” The military withdrew from the search on Tuesday, apologising to the victims’ families for not being able to do more after a month of work. A multinational search and recovery operation has found 70 bodies in the Java Sea and had hoped to find more after finding the fuselage of the plane. But days of rough weather and poor underwater visibility hampered navy divers’ efforts. “The fuselage is no longer intact and it’s fragile like crackers after a month in the sea, so it’s very difficult to lift it,” armed forces chief General Moeldoko said. Many divers had to be hospitalised for serious decompression sickness after spending days in the sea, the military said. Divers have recovered both the cockpit voice recorder and flight data recorder from the sea floor. Investigators say they have yet to start their analysis of the aircraft’s two “black box” flight recorders and have been compiling other data for the inquiry. Indonesian Transport Minister Ignasius Jonan has said that, based on radar data, the plane had climbed faster than normal in its final minutes, and then stalled. Investigators have found no evidence of foul play. Officials said yesterday that Indonesian investigators submitted a preliminary report on the crash to the International Civil Aviation Organisation (ICAO). “It has been sent to ICAO but won’t be made public,” said Nurcahyo Utomo of the National Transport Safety Committee. ICAO requires a preliminary report within 30 days after an air accident, he said. The report contains general information, such as the number of passengers and details on the aircraft, but not an analysis of data from the flight recorders, he said. Flight QZ8501 was en route from Surabaya, Indonesia, to Singapore when it crashed into the Java Sea on December 28, killing all 162people on board. A total of 70 bodies have been found. Road accidents in Vientiane increasing Vientiane Times The number of road accidents in Vientiane has already gone up as all the different villages in and around the city celebrate their traditional festivals. Chief of the Vientiane Traffic Police Department Lieutenant Colonel Youttaphong Souvannasing told Vientiane Times yesterday that road accidents are happening more often at the moment because many areas in Vientiane are involved in traditional celebrations. From January 19-25 there were 44 road accidents in the capital. Of those involved, 28 people were slightly injured, 36 were seriously injured and 10 were critically hurt while seven died at the scene. Some 37 vehicles sustained minor damage, 45 were moderately damaged and surprisingly only three were written off, according to the figures. Most of the accidents took place in Xaythany, Chanthabouly, Hadxaifong and Sisattanak districts and most of the critical injuries and fatalities occurred in the evening to around midnight, when the number of drunken drivers is known to go up. Lieutenant Colonel Youttaphong Souvannasing said the majority of accidents in Vientiane involved drunk driving or general violations of the traffic rules. Most of the accidents happen because people drive at high speed, sometimes when drunk, and the drivers are unable to control their vehicles. In the past the police have only been able to check for sobriety on the road at important festival celebrations because they had insufficient equipment to do more. They will seek further budget allocation from the Traffic Police department of the Ministry of Public Security to obtain more and better equipment to be more effective in the future. However, the police are concentrating on re-educating offenders who commit general violations of the traffic rules and are demanding that people not drive when drunk and observe the traffic regulations at all times. According to one official report, 873 people were killed in road accidents nationwide in 2013 while unofficial reports indicate that more than 1000 people lost their lives on the roads in Laos in 2014. MYANMAR ELEVEN, Thursday, Januray 29, 2015 9 ASEAN+ “Zombies” haunt Vietnam’s trade bonanza bid Nguyen Nam owns an engineering services firm in Ho Chi Minh City that pays no taxes nor any salaries. The flip side is it earns no revenue either. Nam calls it a “zombie”, a familiar term in communist Vietnam, where the government’s priority of luring foreign multinationals and resuscitating its own inefficient firms has left small and medium-sized enterprises (SMEs) in dire straits. Small enterprises are a vital link in Vietnam’s aspirations to become a global manufacturing dynamo as the country gears up to sign a slew of international trade deals, but many of these firms are uncompetitive, poorly managed and sunken by debt. A record 67,800 companies were shut last year - 60,737 in 2013 and 54,277 in 2012 - in an astonishing run of closures. “It’s really a waste,” said Nam, 34, who laid off staff as margins shrank. “It hurt, because it’s like...your own child and if you find it dying, you’ll feel very sad about that. That’s exactly what I felt.” SMEs make up nine-tenths of local companies, but firms such as Nam’s, survive only in name, accounting for millions of dollars in unpaid loans and taxes. It’s a headache for the state, which injected stimulus of $9 billion to rescue firms in 2009, with limited success. Prime Minister Nguyen Tan Dung has said Vietnam’s half-million companies are too few and too weak to compete, even at home. Vietnam is climbing out of a half-decade slowdown but manufacturing and exports of the $184 billion economy are largely driven by multinationals and stateowned energy and textile firms. Supportive industries are Reuters Reuters HO CHI MINH CITY/HANOI Dam Viet Sinh works with a made in China quilting embroidery machine. woefully weak and few firms have the capital or expertise to join a supply chain for resident giants such as Samsung Electronics Co Ltd, LG Electronics Inc Microsoft Corp and Intel Corp. Such weaknesses could expose Vietnam as it braces for an influx of investment once a Trans-Pacific Partnership (TPP) is agreed that will slash tariffs among 12 countries worth 40 percent of global GDP, including Japan and the United States. A European Union trade deal and an integrated Southeast Asian market coming soon are also putting Vietnam on the radar of investors drawn by tariff perks, infrastructure improvements, cheap labour, tax breaks and political stability. However, the government has a lot more to do to win over foreign firms, which have invested an average $11.3 billion a year since 2010. “SMEs’ limited knowledge of the market become even more limited amid deeper integration,” said former central bank governor Cao Si Kiem, now chairman of Vietnam’s SME association. That strain is showing in the $138 billion retail market, where weak spending has hurt local shops, compounded by expansion of operators keen to exploit the fast-swelling middle class, among them Aeon Co Ltd, Robinson Department Store and Lotte Shopping Co Ltd. What irks business owners is that SOEs, notorious for graft and wastefulness, account for half of Vietnam’s credit and many non-performing loans but still get preferential treatment. Nguyen Son has a publishing firm in Ho Chi Minh City that has published nothing since 2011. He says he paid a bribe to get a loan - with interest at more than 20 per cent. “For ordinary people like me, it’s very difficult, but for big businessmen with support from authorities, from politicians, it’s easy,” he said. There are scattered signs of hope though. Vietnam’s textile factories are punching above their weight and could eclipse China in TPP mar- kets. Last year, it shipped $31 billion of garments and footwear, including a tenth of the world’s shoes. And as firms close in their droves, new ones are also setting up - 74,842 last year and 76,955 in 2013. Key to their survival, according to former government adviser Le Dang Doanh, is a shift in the state’s priorities to building a domestic business bedrock. “We’re excessively chasing after foreign firms...we can’t industrialise on the basis of foreign firms. We cannot say our brand is Samsung,” Doanh said. “Vietnamese firms will have to reform and change direction very strongly.” S’pore, British banks to collaborate in promoting use of the yuan The Straits Times Banking players from Singapore and Britain have pledged closer cooperation in efforts to boost the use of the yuan in their financial markets. They will work on raising their clients’ awareness of yuan market developments and launching more yuan products, among other steps. The commitment comes following a dialogue involving representatives of 16 financial institutions from both countries held at the Grand Hyatt yesterday and hosted by the Association of Banks in Singapore (ABS). “These areas of collaboration will support the continued growth of the RMB business in Singapore and London as well as strengthen their status as leading offshore RMB centres in Asia and Europe,” said ABS chairman Samuel Tsien, who is also the chief executive of OCBC. The RMB or renminbi is another name for the yuan. Offshore yuan trade has been identified by both Singapore and Britain as a new area of growth and demand is growing. A survey commissioned by ABS showed firms that now settle 32 per cent of their overseas trade in yuan expect the figure to rise to 42 per cent in two years. About 66 per cent also forecast they will be using three or more offshore yuan products in six months, up from 40 per cent who do so now. The survey of 52 companies mostly based here was conducted last month and this month, with about half of them active in Britain. United Overseas Bank head of group transaction banking So Lay Hua said in a statement: “At UOB, we have seen a threefold increase in the number of (yuan) accounts opened by companies since Singapore became a (yuan)-clearing centre in 2013.” Standard Chartered Singapore head of transaction banking Motasim Iqbal also noted in a statement that yuan volume from Britain to Singapore rose from US$765 million in 2013 to US$25 billion last year, presenting huge opportunities for cooperation. Singapore became the first offshore yuan-clearing centre outside Greater China in 2013. Since then, China has been rapidly ramping up its yuan internationalisation efforts, signing deals to launch yuan-clear- ing banks in Canada, Switzerland, Malaysia and Thailand in the past three months. Foreign exchange trading of the yuan in London, meanwhile, hit $25.3 billion a day in 2013, up 50 per cent from 2012. Even though Singapore will no longer have the monopoly of being the only Southeast Asian nation to have such facilities, with Malaysia and Thailand coming on board, analysts noted the outcome is not necessarily negative. Vina Cheung, the global head of yuan internationalisation, global payments and cash management at HSBC Asia Pacific, said at a briefing yesterday that competition could enlarge the pie. “The promotion of the currency will greatly increase the local financial activities denominated in RMB, so it’s... a new volume of business activity which has never existed in the past.” Clifford Lee, head of fixed income at DBS, said: “The most important takeaway of the forum is that the market may have wrongly focused on potential competition among clearing centres, instead of concentrating on working together to each be a relevant part of the overall offshore RMB market. “There are essentially two RMB markets - offshore and onshore - there cannot be multiple offshore RMB markets.” The dialogue came about after British Chancellor of the Exchequer George Osborne visited Singapore in February last year and both sides agreed to enhance financial ties. LIFESTYLE 10 MYANMAR ELEVEN, Thursday, Januray 29, 2015 MMPO under fire MYANMAR ELEVEN The 19-member executive board of the Myanmar Motion Picture Organisation voted to reelect Lu Min as chairman for a second term yesterday. “We have re-organised the executive board today. All of the positions were selected through a voting system,” said Aye Kyu Lay, one of the vice-chairmen of the MMPO, adding: “Some positions have three candidates, but selection was based on a vote.” The executive members have of late attracted criticism from all sides because the same old members have been re-elected to the executive board for a second time – so has their chairman. After the MMPO became a non-governmental organisation in 2012, it pledged to hold an election of new executives every two years. The executive board consists of 19 members, themselves professionals representing the 10 layers of the film industry: editor, actor, scriptwriter, producer, director, technician and cameraman. Each layer sends five to 10 candidates to run in an election to find new executive members. Only two from each of the layers are elected to the executive board in a vote by members of the MMPO. This year the producer layer sent one candidate. The executives then elect chairman. The election of the MMPO’s executives was held for three days from January 22 to 24. The point is despite a low turnout of MPO members on the voting day, the vote went ahead, the results were announced and the new executive board was formed yesterday. “The number of voters was significantly low. One of the rea- The new executive board of the Myanmar Motion Picture Organisation chiefly consists of the same old members. sons is lack of trust in the Election Commission. [The members] are not active anymore,” said film-maker Wyne, one of the candidates in the election who failed to be elected [as an executive member]. “I believe the Election Commission should have held the election only after gauging the desire of the members. The majority of the members did not participate in the election. By looking at this [MMPO] election, I’m really worried about the upcoming national election. These people are experts in vote rigging. If people are fighting for power in a mere NGO like the MMPO, I’m worried about how they would cheat in the election where the highest position in the country will be elected,” he added. Although the MMPO this year invited all of its members to submit their candidates, the number of candidates was markedly low. This resulted in many of the incumbent executives, including chairman Lu Min, being re-elected. Lu Min himself once claimed that he was not interested in running for election for the top post again, which he eventually did “for the sake of the film industry”.“I only decided to enter the election after thinking about it carefully. Even though this contradicts my earlier announcement in the media not to enter, and though I have been criticised for backtracking, I’m not doing this for my personal benefit. I believe the organisation still needs me,” said Lu Min. Myint Oo Myint, who voted in the executive scriptwriter race, said: “I’ve come to cast my vote because I want to see new executives that will benefit the film industry. I don’t know why the same people have been re-elected.” “They are doing this just to have a position in an NGO. People who don’t attend meetings and don’t do anything have been re-elected. I’m sad that the people who would actually lift the standards of the film industry have not been elected. There have been mistakes made by the previous executives. That’s why we don’t have any hope for the MMPO and the future of the film industry,” he said. Kyaw Lin Tun from Shwe Sin Oo Video Production also expressed his disappointment with the election. “I don’t know why they are pining for these positions. The eligible voter list is debatable. In our [video] department alone, only six people voted out of 60 eligible voters. That’s only 10 per cent. We need to see whether they will confirm this or not,” he said. The MMPO and the Election Supervisory Commission that oversaw the election have been plagued with accusations of the lack of transparency. Their critics denounced the exclusion of technician awards at the [Myanmar] Academy Awards last month. When the MMPO underwent a structural reform in 2012, Zin Wine was elected as chairman while Lu Min served as vicechairman of the organisation. Caught in a storm of protest from the film industry, Zin Wine resigned his post, citing ill health, and Lu Min took over as chairman. Some members of the Election Commission requested that the electoral decisions be revised in case less than 50 percent of the MMPO’s members cast their vote. Their proposal was turned down and the election has been held ever since under the existing rules and regulations. “I didn’t go to the election. I didn’t cast my vote. The voters have already been persuaded. We are waiting to see what they will do with the results and act as necessary,” said film-maker Maung Myo Min (Yintwinphit). Human Rights filmfest to tour Natmaukt MYANMAR ELEVEN The Human Rights Human Dignity Traveling Film Festival is to be mounted in Natmauk next month to celebrate Bogyoke Aung San’s centenary. The Human Rights Human Dignity Travelling Film Festival will be held from February 12 to 13 at Sutaungpyae Payagyi monastery in Natmauk, the birthplace of Bogyoke (General) Aung San to mark the centennial of his birth. “We will screen finished episodes from the Bogyoke biopic at the film festival [with the rest of the film still in the works as a result of budget constraints]. We will also screen award-winning entries from the Human Rights Human Dignity Film Festival as well as those on the shortlist,” said Min Htin Ko Ko Gyi, director of the film festival. Plans have been made to screen a teaser of the much-anticipated Bogyoke Aung San’s biopic at the tribute programmes and entertainment activities to be held in various cities in each state and region in the run-up to Bogyoke’s centenary, which falls on February 13. The teaser will also be broadcasted on TV and uploaded on to YouTube as well. The traveling film festival will feature international documentaries, award-winning films and shortlisted films from the 2nd edition of the HRHDFF. The film festival has been touring across the country, stirring up interest among provincial film buffs.
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