Gov’t to loan Ks100 million each to SMEs

June 14, 2017

The government is planning to grant loans of Ks100 million each to small and medium-sized enterprises, said U Khin Maung Cho, Union Minister for Industry, at the Pyithu Hluttaw yesterday.

He made the remarks in his reply to a question raised by Dr Daw Khin Nyo of Dedaye constituency.

“Arrangements are being made for the German government-owned development bank based in Frankfurt, Germany and the Co-operative Bank in Myanmar to disburse loans of Ks100 million each at the utmost to small and medium-sized enterprises in Myanmar, amounting to 4.45 million euros (equivalent to Ks6.757.325 million), regardless of whether money borrowers hock or not,” he said.

The loans will be disbursed to those who will initiate SMEs if they are in strong condition for the enterprises, in regions and states. And, with a view for SMEs in Myanmar to producing export-quality products, technical support is being given out through international organisations, with educating and sharing knowledge on food production and training on strategic development for upgrading innovative ideas being conducted in regions and states. As for the international loans, 5 billion yen (Ks50 billion) from JICA has been received to lend to SMEs. Out of these, Ks41.558 billion has been being disbursed to 185 initiators in 10 regions and states starting from 2016 via KBZ Bank, SME Industrial Development Bank, Ayeyawady Bank, CB Bank and MAB Bank, with 26 people in Ayeyawady Region disbursed.”

He added, “Arrangements are being made to give out the remaining loans of Ks8.442 billion in FY 2017-2018. SMEs desirous of borrowing money may apply to respective banks and loans will be disbursed after scrutiny through the banks’ board of directors. As for coconut-orientated enterprises, they can apply through Ayeyawady Region Industry Supervision and Examination Department, if they need techniques and know-how, thus trainings will be conducted by linking with local professionals.”

Major General Aung Soe, Deputy Minister for Home Affairs, replied to the question raised by U Aung Sein of Dawei constituency on the designation of land in Dawei Township.

“Lands in Myitta Myo of Dawei township were categorised in the garden group, which were not yet surveyed since the time before the designation as a town. As they were not systematically recorded in mapping as town land, they cannot be allowed to be copied in land record form 105 for applying for grants in accord with the law. For acquisition of secure land grants for the lands on which people reside in Myitta town, arrangements of changing land categories, collecting data on ownership and applying for grants of land lease are required to be performed step by step in accord with the law. To do so in the whole town, there has not been presently sufficient staff in the department of farming land management and statistics, and finance and machinery are scarce as well.”

Afterward, U Khin Maung Cho, Union Minister for Industry and Deputy Minister for Home Affairs Maj Gen Aung Soe replied to questions raised by U Thaung Aye of Pyawbwe constituency, Daw Nan Kham Aye of Namtu constituency, U Kyaw Min of Kamayut constituency and U Sai Ba Thein of Langkho constituency.

Following that, parliamentarians debated the motion put forward by U Khin Cho of Hlinebwe constituency urging the Union Government to systematically implement the project for alleviating the unemployment problems in the country.

“Myriads of graduates in Myanmar are joining in jobs irrelevant to their degrees. There are kinds of supporting vocations and innovations in other countries, linking degree holders with jobs and worksites on completion of schooling. Had vocational training been given up to reaching the stage of applying practically, unemployment problems can be reduced”, said U Thet Naung of Lahe constituency. Daw Cho Cho of Oattwin constituency agreed.
“In creating job opportunities, it wholly depends upon creating an economic environment which can give out employments. Provided that the government can implement the project with good management, influx of investments from overseas countries will come into the country, creating job opportunities more than ever. As for Myanmar, the country is still poor in attracting foreign direct investments”, she said. Also discussing the motion were U Win Thein Zaw of Salingyi constituency, U Myat Lay Oo of Htilin constituency, Dr Daw Khin Sithu of Loikaw constituency, U Oo Tun Maung of Ponnagyun constituency, U Nay Soe Aung of Wuntho constituency, U Thant Zin Tun of Dekhina Thiri constituency, U Thaung Aye of Pyawbwe constituency, U Pawl Sai of Dimawso constituency and U Sein Aung of Paletwa.

Concerning the motion, U Maung Maung Win, Deputy Minister for Planning & Finance said, “Arrangements for appointing citizens in the posts of management, techniques and proficiency to be appointed had been included. And, it was prescribed that only citizens be appointed in the places where skills are not needed. In the FY 2015-2016, jobs amounting to 141,445 were created. With a view to increasing job opportunities, tax relief and tax exemption, financial aids are granted and simultaneously helping to get financial resources, supporting for operating monetary and financial servicing smoothly are being performed. The Government is performing its tasks in accord with policies, hence the need to put the motion on record.”

The Hluttaw decided to record it. Also at yesterday’s meeting, submission of the annual report of the Pyithu Hluttaw, Education Upgrading Committee, putting forward the bill on the amendment of Acts on special marriages and reading the report were performed.

Kyaw Thu Htet (MNA)

Ref; The Global New Light of Maynmar