India extends new $ 500 m concessional line of credit to Myanmar

India will extend a new concessional line of credit facility of $500 million to Myanmar for specific projects including irrigation.

This is stated in a joint statement issued after official level talks between the Prime Minister, Dr Manmohan Singh, and the Myanmar President, Mr U. Thein Sein, here on Friday. The statement adds that each project will be duly processed in accordance with the modalities applicable for Least Developed Countries for such lines of credit.

The Prime Minister announced that India would extend technical and financial support for setting up an advanced centre for agriculture research and education in Yezin and for setting up a rice bio park demonstrating the various rice biomass utilisation in the integrated demonstration farm at Nay Pyi Taw.

The two sides agreed to promote trade, investment and economic cooperation in a sustainable manner. In this context, the two leaders endorsed the understandings arrived at the fourth meeting of the bilateral Joint Trade Committee held recently, and called for the expeditious implementation of the decisions taken.

It was agreed to consider opening up new border trading points for the economic upliftment of the people of the border areas.

Myanmar agreed to encourage further investments by Indian companies, both in the public and private sector, in the oil and natural gas sectors.

Both sides agreed to examine the feasibility of establishing railway links, ferry and bus services between the two countries. In this context, both sides agreed to examine commencement of ferry services on the Kolkata-Yangon and Chennai-Yangon routes.

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