- Region: Asia
- Equity Participations
December 15, 2015
The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed on December 14 a shareholders agreement with Myanmar's Foreign Economic Relations Department (FERD) and Thailand's Neighbouring Countries Economic Development Cooperation Agency (NEDA) to participate in Dawei Special Economic Zone Development Company Limited ("the Company"). JBIC will have the same equity ratio as FERD and NEDA.
The Company was jointly established in June 2013 by FERD and NEDA with the aim of providing support, including advice, to the Myanmar government on comprehensive development of the Dawei Special Economic Zone ("Dawei SEZ"), Myanmar. JBIC's participation in the Company is based on the Memorandum of Intent among the Government of Japan, the Government of the Republic of the Union of Myanmar and the Government of the Kingdom of Thailand, on the Cooperation for the Development of Dawei SEZ Project, signed in July 2015.
Japanese companies have high expectations for Myanmar's growth potential. Through the equity participation in the Company, JBIC will assist Japanese companies to participate in infrastructure projects in the Dawei region from an early stage of its development, and this will lead to increasing opportunities for them to be involved in future infrastructure business. The Dawei region, which faces the Indian Ocean, is also important in terms of ASEAN Connectivity and will contribute to the business promotion of Japanese companies which have expanded into the ASEAN region, including Thailand.
As Japan's policy-based financial institution, JBIC will take proactive steps to support the formulation of projects in Myanmar from an early stage through the Company, and thereby contribute to further deepening and developing economic relations between Myanmar and Japan.