Download Asia-Pacific Outreach Meeting on Sustainable Development Financing

MINISTRY OF FINANCE REPUBLIC OF INDONESIA Asia-Pacific Outreach Meeting on Sustainable Development Financing
10-11 June 2014
Djuanda Hall, Ministry of Finance Complex, Jakarta
Session 2: Infrastructure finance and public-private partnerships
Presentation
Infrastructure Investment Requirement, Challenges and Potential for PPP in Myanmar
by
U San Lwin
Deputy Minister for National Planning and Economic Development, Myanmar
June 2014
The views expressed in the presentation/paper are those of the author(s) and should not necessarily be considered as
reflecting the views or carrying the endorsement of the United Nations. This presentation/paper has been issued without
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Potential and Investment Requirement
• According to Mckinsey Report (2013)
Infrastructure Investment
Requirement, Challenges and Potential
for PPP in Myanmar
Dr. San Lwin
Deputy Minister
Ministry of National Planning and Economic Development
The Republic of the Union of Myanmar
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1. Potential – US$ 200+ billion GDP in 2030
2. Investment Required – US$ 650 billion
3. For Infrastructure – US$ 320 billion
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US$ 320 billion & Government
Challenges for PPP
• Limited financial sources for the government because of years of economic isolation
• Government –
1. Capital Market – Mobilization of Funds
2. Regulatory Framework – Level Playing Field
Took steps for private participations in infrastructure development
3. Public Framework – Institutional Fragmentation
4. Comprehensive Sector Development Plan –
• Privatization Commission – Set up in 1995
• State‐owned Economic Enterprises Law (1989)
• Private Participation in Telecommunication in 2013
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Reducing Policy Uncertainty 5. Capacity in Planning and Assessment – Ensuring the Best Value for Money
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Uniqueness of Myanmar
Uniqueness of Myanmar (Cont’d)
1. Location
Strategic point connecting ASEAN, China and India 2. Untapped Infrastructure Markets
(a) Lowest per Capita Consumption of Electricity in South East Asia (26% on Average, 16% in Rural Areas)
(b) Low Road Density in Myanmar
(c) Lowest Rate of Internet and Phone Penetration in SEA
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3. Abundant Renewable Energy Sources Hydropower, Solar, Wind, Geo‐thermal Energy and Bio Fuel 4. Cultural Heritage and Unspoiled Nature for Tourism 5. Late‐comer
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Current Status of Myanmar
Potential Areas for PPP
1. Security Exchange Law (Enacted in 2012) – SEC will be in operation in 2015
1. Electricity
2. transportation
2. Privatization Law under Preparation Process
3. National Comprehensive Development Plan (NCDP) 2011‐2030 – Expected to complete in 3. Education
4. Health
Late 2014
4. ESCAP and ERIA – Providing capacity building trainings related to PPP
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Benefit for Late‐comer
• Green Economy is one of the paramount tools in stabilizing climate, reducing poverty and achieving sustainable development. (President U Thein Sein)
Thank You
• Green Infrastructure ‐ To avoid locking‐in carbon‐intensive and climate vulnerable development pathways without slowing its economic growth rates
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