The assessment comes in the wake of the news that Myanmar would not be able to supply power to Bangladesh, which faces a daily shortfall of around 20 per cent of its requirements. In her recent interactions with the new political leadership of Myanmar, Bangladesh Prime Minister Sheikh Hasina had indicated her country’s willingness to participate and invest in joint hydropower development projects. Burmese authorities have recently indicated that meeting their domestic power requirements remains the first priority.

Both indications, one concrete and the other analytical, are negative from a Bangladeshi viewpoint, in the arena of bilateral economic co-operations and relations.

However, Myanmar has assured Bangladesh of future priority in the supply of gas from its offshore energy rich fields in the Bay of Bengal. At present, Myanmar is committed to selling gas to China. Both countries are committed to collaborating and co-operating in the exploration and extraction of gas in the Bay. Bangladesh’s request for energy inputs would be considered seriously as soon as new finds are made, it was understood.

Sheikh Hasina discussed these and other issues with Myanmar President Thein Sein when she visited Myanmar recently. Bangladesh is currently building a 23-kilometer long road from Tambru border to Bawalibazar and is urging Myanmar to link Bawalibazar to Kyuktaw, a distance of 105 kms.

Reports in the Bangladeshi media about the possible economic challenge from Myanmar have attracted high-level attention in Dhaka. Mr. Tomohide Ichiguchi, spokesman for Japan International Co-operation Agency (JICA) recently pointed out that with their new economic reforms, Myanmar was posing a challenge to its neighbour. Investors who had worked in Bangladesh were now also looking at Myanmar as an alternative destination.

While Myanmar was still relatively unknown as an area for investment conditions in both countries were similar in some respects, he said. Prescribing what Bangladesh could do to ensure the flow of foreign investments, Mr, Ichiguchi indicated that it should seriously consider adding more value addition and ensuring diversification for its products. Pointing to textiles, where Bangladesh was known for its strength, the country still could not turn out quality women’s garments for the international market, he told Bangladeshi newsmen.

Comparing present prospects of both countries, he said that Myanmar had a population of 55 million with enormous natural resources. It needed everything from health to modern amenities and had opened up its economy to foreign investments. Bangladesh, with its large component of young people in its larger population and 6 per cent rate of annual growth, also had much potential for progress.

Inhiguchi was quoted as saying that when Japanese investors looked at the region for investment, they compared local advantages and problems with those of Viet Nam, Laos or Cambodia. However over the years, over 130 Japanese companies had participated on Bangladeshi projects. (IPA)