Myanmar is still mired in debt, and the government is trying every possible ways to make the country get out of debt, said Soe Win, Union Minister for Planning and Finance, at Myanmar Commerce Fair-2018 in Yangon on December 1.

“For instance, we invite the open tender system in order to avoid the situation that Myanmar must buy the products only from the countries which grant loans. Efforts are being made to ensure that the source of fund is open source,” he added.

“Take a look at the international loan scheme, we have to take both concessional loan and commercial loans. Mostly, we take concessional loan. The commercial loans are taken only for important and essential matters. We have got many grants. Our country will develop only when we can use these grants effectively and systematically. The country will remain in the debt circle if the projects go unfinished,” the minister has warned.

Until March 31, 2018, ministries’ external debts reached over US$ 10 billion, according to the Joint Public Account Committee’s report submitted at the session of Union parliament on November 29.

The Joint Public Account Committee pointed out that it needs to describe the currency exchange rates that occurred in the time of loan-taking and differences caused by the local currency depreciation. Respective ministries need to draft the exact policies for dealing with heavy debt burdens caused by the local currency depreciation and the debt repayment. Department and organizations should not take loans in advance without any reason as they will have to pay interests.