Myanmar's SAC and China's CITIC Discuss Expediting Kyaukphyu Deep-Sea Port Project
YANGON, March 1 – Myanmar's State Administration Council (SAC) and China's CITIC Group held discussions on February 28th to address prerequisites for the swift commencement of the Kyaukphyu Special Economic Zone's deep-sea port project.
The meeting saw the attendance of key figures from the SAC's Central Working Body on Myanmar Special Economic Zones, including Union Minister for Investment and Foreign Economic Relations, Dr. Kan Zaw, and Union Minister for Commerce, U Tun Ohn. Representatives from CITIC Consortium Myanmar Port Investment Limited, led by its Chairman, also participated.
Recognizing the deep-sea port's significance for economic development between Myanmar and China, Dr. Kan Zaw advised that the project's development plan should be updated to align with current circumstances to facilitate its rapid initiation.
U Tun Ohn stated that efforts are underway to establish a timeline for project activities, aiming for timely completion of the deep-sea port.
CITIC representatives provided detailed updates on the progress of fulfilling mutual prerequisites and outlined the steps required for continued advancement.
The addendum to the concession agreement between the SAC, CITIC Group, and the Kyaukphyu Deep-Sea Port Company is set to expire on June 25th.
According to the Ministry of Commerce, CITIC Group will hold a 51% stake in the deep-sea port project, while the Myanmar government will retain a 49% share.
Originally, the project's estimated cost was agreed upon at $7.3 billion USD. However, a revised agreement was reached to commence the first phase with $1.3 billion USD, with plans for additional investments upon completion of the initial stage.
Under the newly negotiated terms, CITIC will contribute 70% of the investment, while Myanmar will provide 15% in land and 15% in investment funding.
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