BURMA RELATED NEWS

Reformist leader says Myanmar needs transformation
Reuters – 20 hrs ago

YANGON (Reuters) - Myanmar's president called on Wednesday for a shake-up in the running of his fast-changing country, which he said was still mired in corruption and inefficiency and lagging behind its international peers.

Thein Sein, the unlikely reformer to emerge from within a military junta 19 months ago, called for big improvements across Myanmar's outdated bureaucracy to strengthen democracy and the economy, as foreign firms weigh whether to invest in the resource-rich country.

"When it comes to measuring good governance, our country still falls far short of the international standards," the former general told a meeting of cabinet ministers, regional leaders and civil service chiefs aired on television and radio.

"There is still a lack of the characteristics of clean government and good governance ... reforms are needed from the grassroots to the union (national) levels."

World leaders like U.S. President Barack Obama have praised Thein Sein for spearheading political, democratic and social reforms since the military stopped ruling, but his government faces problems in ridding Myanmar of its reputation for being an army-dominated state and a risky place to do business.

Western diplomats and analysts believe the central government has the political will to drive reforms but question the limits of its influence, pointing to several standoffs with parliament, sectarian violence in Rakhine state, heavy-handed police and the president's inability to halt fighting between the army and ethnic Kachin rebels as signs of problems ahead.

Another challenge was implementing a raft of policy changes complicated by an outdated and inefficient bureaucracy, which Thein Sein said would need to be vastly improved, from top to bottom.

"For the prevalence of democratic practice and for the development of the nation, it is necessary to transform the administration system, under which the people can participate and cooperate," he said. ************************************************************
Myanmar Leader Voices Concern About Corruption
By AYE AYE WIN Associated Press
YANGON, Myanmar December 26, 2012 (AP)

Myanmar's president voiced rare public criticism of his government Wednesday, saying that rampant corruption, bribery and inefficiency were getting in the way of the country's much-touted reform process.

In another sign of the changes sweeping Myanmar, President Thein Sein reprimanded a gathering of Cabinet ministers, regional leaders and other senior bureaucrats in a speech broadcast live on nationwide television and radio.

It marked a sharp contrast to secretive leadership of the former military regime which did not admit its own failings.

Since taking office last year, Thein Sein has introduced a wave of new freedoms and democratic reforms that have opened the country to the outside world after a half-century of military rule.

He told Wednesday's gathering that the first wave of change under his government focused on political reforms and national reconciliation, while the second wave was aimed at helping the country's economy. The third phase, he said, will target corruption.

"Good governance is still very weak in Myanmar and still falls short of international norms," Thein Sein said. "I would like to stress that bribery and corruption must be effectively prevented in order to implement good governance."

Thein Sein has frequently spoken about the need to eliminate corruption, and said he has repeatedly told government officials "to strive for good governance and clean government."

"But we have found that departments at various levels of administration have failed to listen to the voices of the people and lack transparency."

He did not outline upcoming reforms but said that cleaning up and overhauling bureaucracy will be "the third phase of our strategy for the reforms and development of the country."

The 67-year-old ex-general, who had been prime minister under the ruling junta, has won international praise for spearheading reforms that have included ending direct media censorship, releasing political prisoners and allowing public demonstrations.

The U.N. General Assembly on Monday adopted a resolution welcoming positive changes in Myanmar but expressing serious concern at an upsurge of sectarian violence between Muslims and Buddhists in strife-torn Rakhine state. The resolution echoed concerns of the international community about continuing violations of human rights and fundamental freedoms.
************************************************************
Air Bagan survivors tell of terrifying crash-landing in Myanmar, airline finds black box
By Yadana Htun, The Associated Press | Associated Press – 11 hrs ago

YANGON, Myanmar - Survivors of a Christmas Day crash-landing of an airliner in Myanmar told terrifying tales of escape Wednesday as carrier Air Bagan apologized for what it called the worst accident since it started flying in 2004.

Details of the crash remain unclear but airline officials told a news conference Wednesday that they found the plane's two black boxes and were investigating what went wrong. So far, officials have blamed heavy fog for the aircraft's crash into a rice paddy field where it burst into flames. Two died and 11 were injured, including four foreigners.

The Fokker 100 jet was 21 years old but passed inspections at annual renewals of its air worthiness certificate, the officials said. On Tuesday, it was carrying 71 people, including 48 foreigners, from the city of Yangon via Mandalay to Heho airport, which is the gateway to the popular tourist destination Inle Lake.

"We felt the first bump, then a few big bumps and then (started) sliding very fast," said 31-year-old Australian advertising executive Anna Bartsch. Her boyfriend, Stuart Benson, described the landing like "a roller coaster" ride.

The plane came to a stop and they felt relief — then panic.

"In my window I saw the flames, and it was hot and we knew straight away we didn't have much time to get out," Bartsch said during an interview at a Yangon hotel where the airline lodged passengers after evacuating them from the scene.

Passengers rushed up the aisle to the front door, which was initially stuck shut, she said.

"We didn't know then that the wings had come off," Bartsch said.

The door was quickly forced open and passengers raced from the plane, some in shock and some suffering smoke inhalation, she said. Once on safe ground, Bartsch said she saw the pilot and co-pilot with bloodied faces and other people with serious burns.

"It's amazing that the injuries were not more serious," she said. "It could have been much worse."

A flight attendant told reporters Wednesday that the crew realized something was wrong only when the plane hit the ground.

"We shouted, 'This is an emergency'," said flight attendant Khaing Su Naing, adding that despite one of the two doors initially getting stuck the crew evacuated the plane 90 seconds after it stopped moving.

The accident has raised concerns about the safety standards of Myanmar's overburdened airlines as foreign visitors have flocked to the Southeast Asian country which is emerging from a half-century of military rule.

Air Bagan is one of a half dozen private airlines that fly domestic routes in Myanmar. After one plane was destroyed in Tuesday's crash its fleet now consists of five planes, including four ATR turboprops and another Fokker 100, which is no longer made.

"We deeply apologize to all our passengers and to their family members," the airline's managing director Htoo Thet Htwe told the news conference. All passengers were paid $2,300, he said.

"This is the most serious accident Air Bagan has ever had," he said. In 2008, one of its planes overshot a provincial airport's runway, spun out of control and crashed, causing the wings and tail to snap off. Many passengers were injured but none died.

Air Bagan has said "the plane hit electrical cables about a mile (1.6 kilometres) from Heho airport as it descended and landed in rice fields."

The Information Ministry said the pilot mistook a road near the airport for the runway before stopping in a nearby rice paddy. It was unclear if the plane made its crash landing on the road or the rice field.

All fatalities were Myanmar citizens, including a man riding a motorcycle where the plane came down and a tour guide aboard the plane. There were earlier reports of an 11-year-old child also among the dead.
************************************************************
IANS - Myanmar establishes diplomatic ties with Iceland
By Indo Asian News Service | IANS India Private Limited – 22 hours ago

Yangon, Dec 26 (IANS) Myanmar has established diplomatic ties with Iceland, official media said Wednesday.

Iceland is the sixth country that Myanmar has forged links with in 2012 after Malawi, Bhutan, Luxembourg, Latvia and Estonia, reported Xinhua citing the New Light of Myanmar.

The diplomatic establishment with Iceland has brought the total number of countries in the world with which Myanmar has such links to 110 since it regained independence in 1948.

According to the foreign ministry, Myanmar has so far set up embassies in 30 countries and two permanent missions in New York and Geneva, and four consulates-general.

Twentyeight countries have their embassies in Myanmar. In addition, China and India have both set up consulates-general in Myanmar's Mandalay, the second largest city.
************************************************************
PR Newswire - The Nippon Foundation Delivers Relief Goods for Myanmar's Ethnic Minorities
Press Release: The Nippon Foundation – 23 hours ago

TOKYO, Dec. 26, 2012 /PRNewswire/ -- Japan's The Nippon Foundation, which had promised to donate $3 million in emergency aid to promote peace between the government of Myanmar and the country's ethnic minorities, completed the delivery of its first shipment of relief goods to Mon State in southern Myanmar by December 25. The shipment, delivered in five large trucks, consisted of rice and medicines. The supplies will be delivered to areas for internally displaced people before the end of the year.

The emergency aid was realized thanks to the exchange of two memorandums; between The Nippon Foundation and the government of Myanmar, and between The Nippon Foundation and the United Nationalities Federal Council (UNFC), which is a federation of 11 armed minority groups. This is the first aid to be extended by a private organization with the agreement of the government and minority groups in Myanmar. The aid goods will be delivered to other areas for displaced minorities as soon as transportation routes are secured.

On December 22, a ceremony with government representatives, ethnic Mon residents and children, totaling 600 people, was held in the Mon State capital of Mawlamyine. Mr. Aung Min, a chief Minister of U Thein Sein's presidential office and principal peace negotiator, said that many international nongovernment organizations (NGOs) have begun to support the building of peace in Myanmar and that the Nippon Foundation was a representative of these organizations.

The Nippon Foundation Chairman Yohei Sasakawa, who is also the Japanese government's Goodwill Ambassador for the Welfare of the National Races in Myanmar, responded by saying, "I would like to make the present relief efforts a catalyst for realizing peace." Chairman Nai Htaw Mon of the New Mon State Party (NMSP), who is negotiating peace with the government, welcomed the aid, saying that it would constitute the first step toward promoting political dialogue with the government.

Myanmar's civil war between government forces and minority groups has lasted for more than 60 years, forcing more than one million people of ethnic minorities to find refuge in Thailand and other neighboring countries as well as in Myanmar's mountainous regions.

CONTACT:
Natsuko Tominaga
Public Relations Department
The Nippon Foundation
Phone: +81-3-6229-5131
E-mail: pr@ps.nippon-foundation.or.jp
************************************************************
The Nation - Myanmar banks join Visa ATM network
December 26, 2012 3:56 pm

Yangon - Visa today announced that Visa cards will now be accepted at nearly 90 ATMs operated by Co-operative Bank and Kanbawza Bank across Myanmar. Nearly 90 ATMs operated by Co-operative Bank andKanbawza Bank in Myanmar will begin accepting Visa cards.

This represents significant progress for Myanmar's electronic payments infrastructure as it provides the country with a platform to participate in the global financial system. By joining the Visa network, the banks agree to adopt Visa's global security standards for electronic payment.

Starting today, Visa cardholders will be able to access cash across major tourist regions in the country. Co-operative Bank and Kanbawza Bank's combined Visa ATM network covers major cities, towns and tourist sites in Myanmar including Mandalay, Bago, and Taunggyi. In Yangon, Visa cards will be accepted at ATMs located in the Yangon International Airport, Bogyoke Market, Inle Lake Hotel, City Mart Marketplace, Junction Square, Trader's Hotel, and Park Royal Hotel.

"We are proud to work with local banking partners to welcome Myanmar into Visa's international network of 1.96 million ATMs worldwide. This is an important step for Myanmar's electronic payment infrastructure. As the country's financial system continues to develop, ATMs are a way to grow the reach of financial services, and support the economic and tourism growth of the country. The acceptance of Visa cards at local ATMs in Myanmar will ensure that visitors have a convenient and safe way to access local currency," said Peter Maher, Visa Group Country Manager, Southeast Asia and Australasia.

Myanmar is hosting two major international events in 2013 - the World Economic Forum (WEF) on East Asia and the Southeast Asian Games.

"It becomes critical that easy and secure access to financial services becomes available. Through our growing ATM network, Visa cardholders will be able to get hold of local currency, which allow for increased spending to benefit local businesses," he added.

Visa partnered with Planet Payment to connect Myanmar bank's ATMs to VisaNet, and to manage the complexities of cross border ATM and POS processing. Philip Beck, chairman and CEO of Planet Payment, said that the company’s single proprietary processing platform enables the delivery of payment solutions that can be tailored quickly to meet the requirements of a particular market.

"Visa and Planet Payment share the vision that payments have the power to improve the way business is done and we are very excited to be working together to deliver innovative payment solutions to banks, merchants and consumers in developing economies around the world," he said.

This development comes just after Visa hosted the country's first ever Mobile and Electronic Payments Conference 2012 in the Naypyitaw. The conference was attended by 200 guests, including government officials, and addressed the economic benefits of electronic payments and potential for mobile payments in reaching out to the largely unbanked population of Myanmar.
************************************************************
December 26, 2012, 5:41 PM
The Wall Street Journal - Myanmar’s Central Bank Heads for the Cloud
By Yoree Koh

After decades of performing the bulk of the Central Bank of Myanmar’s work longhand, a trio of Japanese companies are pushing the institution to the technological cutting edge. The three companies — Daiwa Institute of Research Ltd Fujitsu 6702.TO +1.95% Limited and KDDI Corp. 9433.TO +0.66% — collaborated to build the Southeast Asian country its first Internet-linked computing platform in an attempt to help the central bank’s antiquated systems keep pace with Myanmar’s rapid change.

Myanmar has ushered in a raft of reforms over the last 18 months in a move to breathe new economic life into the country left impoverished and stuck in time after decades of military rule ended two years ago. One of the key challenges is to modernize Myanmar’s aging systems. The wide-ranging and extensive menu includes its power grid and sewage system as well as a need to bolster its financial institutions.

The central bank’s painstaking method of performing most of its complex operations by hand was a headache in the making. In stepped Japan Inc.

“This new computing environment paves the way to build an ICT (information and communication technology) infrastructure that is indispensable for the modernization of Myanmar’s financial system and represents an important milestone toward the establishment of a stock exchange,” said Takashi Fukai, President of Daiwa Institute of Research, in a statement released Tuesday. The Tokyo Stock Exchange and the research arm of Daiwa Securities Group Inc. 8601.TO -1.68% signed an agreement with Myanmar in May to help it establish a securities exchange.

Eager to grab a slice of what could be Asia’s last frontier, Japanese companies have charged into Myanmar, pushing its technological expertise to edge out a growing field of global competitors. Japanese technology firms see the country as a clean slate, offering tremendous potential for the type of growth missing in the domestic market.

The central bank’s new private cloud computing system, essentially computers running applications such as word processing and spreadsheets over the Internet, will raise the institution’s efficiency and strengthen its information security. Each of the companies provided a different part of the system. Daiwa designed and built the platform, Fujitsu provided the servers and personal computers, and KDDI crafted and constructed the bank’s communications infrastructure, the companies said in a joint statement. The bank is currently outfitted with 150 terminals. The system also includes capabilities to deal with the country’s patchy power problems.
************************************************************
The Scotsman - Burma opens up to positive criticism
By AYE AYE WIN
Published on Thursday 27 December 2012 00:00

Burma’s president voiced rare public criticism of his government yesterday, saying that rampant corruption, bribery and inefficiency were getting in the way of the country’s much-touted reform process.

In another sign of the changes sweeping the country, president Thein Sein reprimanded a gathering of cabinet ministers, regional leaders and other senior bureaucrats in a speech broadcast live on television and radio.

It marked a sharp contrast to secretive leadership of the former military regime, which did not admit its own failings.

Since taking office last year, the president has introduced a wave of freedoms and democratic reforms that have opened the country to the outside world after a half-century of military rule.

He said yesterday that the first wave of change under his government focused on political reforms and national reconciliation, while the second wave was aimed at helping the country’s economy. The third phase, he said, will target corruption.

“Good governance is still very weak in Myanmar and still falls short of international norms,” he said. “Bribery and corruption must be effectively prevented in order to implement good governance”.
************************************************************
ABS-CBNNEWS.COM - Japan's Lawson eyes expansion in SE Asia
Kyodo
Posted at 12/27/2012 10:44 AM |

TOKYO - Lawson Inc. President Takeshi Niinami said in a recent interview with Kyodo News that the convenience store chain operator will enter the Thai market in fiscal 2013, a move he hopes will serve as a springboard to pushing into Myanmar and other emerging markets in Southeast Asia.

The major retailer's push into Thailand signifies Japanese convenience store firms' expansion abroad is going into high gear, as the domestic market is shrinking due to the aging of the population.

Thailand is becoming a magnet for businesses in Southeast Asia and there are many English-speaking people, he said, adding Lawson will spend five years to build a solid base in the country.

While the company had aimed to set up operations in Myanmar this year, Niinami said, "We've decided to secure a firm footing in Thailand before launching an offensive in Myanmar where distribution infrastructure and the legal system are still insufficient."

For the same reason, Lawson is delaying its plan to open stores in India, according to Niinami.

In China, its key overseas market, Lawson is sticking to its policy to set up shop in Beijing in fiscal 2013 although bilateral relations, which have become strained over contested islets in the East China Sea, caused some proposed business deals to fall through.

However, Niinami pointed to the need to adopt the concept of "China plus one" in order to diversify risk.

So it is important for Japan to sign up for the Trans-Pacific Partnership that seeks in principle to eliminate all trade tariffs, as well as other free trade deals involving Southeast Asian nations, he said. Japanese retailers can become competitive by exporting quality farm produce from Japan at low cost, he added.

Niinami on the other hand took a less sanguine view of the Japanese market, which he said is embattled by "deflation and heated competition (among retailers) to open new shops."

He said Lawson will try for the moment to attract more customers to existing outlets instead of opening more, indicating the company will adopt a tack that differs from those of its rivals that will continue to open even more stores in Japan in fiscal 2013.

In order to broaden his company's customer base, Niinami said, "We won't try to be another alternative to supermarkets but compete with shops in the basements of department stores." Sections in Japanese department store basements are known for the abundance of quality food.

Niinami said he goes out to inspect basement shops of department stores himself in search of new ideas.

He said his aim is to reform the company's production and distribution systems to deliver premium vegetables and precooked dishes at even lower prices.
************************************************************
The Asahi Shimbun - BIZ BRIEF: Myanmar Central Bank modernizes with Japanese cloud network
December 26, 2012

Daiwa Institute of Research Ltd., Fujitsu Ltd. and KDDI Corp. said Dec. 25 they have built an online computer system for the Central Bank of Myanmar and that, in doing so, they have created the country's first cloud data-storage environment.

The companies said the new system was designed to improve efficiency at the bank, where many operations have traditionally been performed by hand.

Myanmar is currently trying to modernize its financial sector by creating institutions such as a stock exchange.

"Under these circumstances, operating stability at the Central Bank of Myanmar is ever more crucial to the country's financial system, given its pivotal role in issuing and managing currency and implementing monetary policy," the companies said in a statement.

The project partners said they contributed in the following ways: Daiwa Institute of Research designed and built the cloud platform and desktop terminal environment; Fujitsu provided hardware; and KDDI designed and built the bank's local-area network.
************************************************************
December 26, 2012
AVweb - Spitfires' Excavation Date Set    
By Mary Grady, Contributing editor

The long-anticipated dig to unearth a cache of brand-new Spitfires that are believed to be buried in Burma is expected to start on Jan. 12, local press has reported. According to The Irrawaddy, archeologists first will spend about a week studying the site, then the digging can begin. Up to 36 pristine Spitfires, still in the packing crates they were delivered in near the end of World War II, are expected to be found. David Cundall, who located the burial site, said he has confirmed the airplanes are there by sending a camera through a borehole. "We went into a crate, you can see an object which resembles a Spitfire," he said.

The British troops buried the airplanes when they left Burma in 1945, Cundall said, because they didn't want to take them home but also didn't want anyone else to use them. The crates were tarred and placed on massive teak timbers to assist drainage, and a wooden roof was placed over the crates to protect them, Cundall said. The crates are buried about 30 feet deep in an area close to a runway at Mingaladon Airport in Rangoon. Cundall also has permission to excavate two other sites in Burma. At one of those sites, Cundall said he expects to find up to six crated Mark 8 Spitfires, a rare variation with only one copy still flying.
************************************************************
Thursday, 27 December 2012
Lakehouse Daily News, Sri Lanka - Lankans among fake asylum seekers nabbed in Korea

Twenty-one foreigners from Sri Lanka, Nepal and Burma have been caught falsely applying for asylum to extend their stay, the Korean Justice Ministry said yesterday. They were caught by immigration officials paying brokers to illegally obtain refugee status in Korea.

They cited death threats from the Taliban and political oppression in Pakistan among their reasons for applying for refugee status. But when immigration officials investigated, they admitted seeking to extend their stays in Korea to earn money.

Foreigners applying for refugee status have the right to contest decisions by the Korean government to reject their applications or can turn to a court of law to appeal. But the offenders said they had made enough money in Korea and agreed to be deported, according to immigration officials.

Immigration officials believe more are abusing the process.

The number of foreigners applying for refugee status rose from 12 in 1997 to more than 100 in 2004 and surpassed 1,000 for the first time in 2011.

"If foreigners apply for refugee status, they can legitimately remain in Korea for the one to two-year period until their applications are accepted or rejected," an immigration official said.

"This has led to a widespread belief that applying for refugee status automatically extends their stay. We may end up discovering a larger number of people abusing the regulations once we start investigating suspicious applicants."
************************************************************