Development of the Korean industrial project to begin in December

Construction of the Korea-Myanmar Industrial Complex (KMIC) will commence in December despite the COVID-19 pandemic. The project is estimated to generate US$4.7 billion worth of value from investments and generate more than half a million jobs in support of Myanmar’s development. Launched during the visit of South Korean President Moon Jae-In to Myanmar last September, the KMIC is the first government-level project between the two countries.

The KMIC, which is being developed under a joint venture between Korea Land and Housing Corp, Global SAE-A Co Ltd and the Ministry of Construction, will developed across 556 acres of land in Nyaung Na Pin village in Hlegu, Yangon. Korea Land & Housing Corporation will hold a 40 percent stake in the project while Global SAE-A Co will hold a 20 pc stake. KMIC is valued at US$110 million and received approval from the Myanmar Investment Commission in 2019. The detailed design of the project is being finalized and construction will start by the end of year. The tender to develop the project will be called in October and after which construction of the first phase of the KMIC will commence in December. The first phase of the project will be implemented on 315 acres of land and involve facilities for food and beverage, cut-make-pack manufacturing and logistics and warehousing. The second phase, which will take place across 240 acres of land, will developed with the construction materials, electronics and computer parts manufacturing in mind. The whole industrial zone will be complete in 2022. The KMIC will include residential and commercial developments in addition to industry. The entire project will also be developed as a smart and eco-friendly industrial zone using Korean technology.

The Ministry of Construction will develop an outer ring-road and provide electricity and water access at the industrial zone with a US$70 million loan from the South Korea Economic Development Cooperation Fund. It has already received US$62 million in funds. Officials will start drawing more interest to the project among investors in Korea next month. Meanwhile, KMIC officials will cooperate with Korea government institutions to support businesses with consulting services and access to financing. The Koreans are also expending construction of the Dala Bridge in Yangon, which is now being carried out around the clock to be complete within the targeted timeframe despite COVID-19. The bridge, also know as the Myanmar- Korea Friendship Bridge, is expected to cost US $168 million. Construction of the bridge, which will connect Dala township across the Yangon River to downtown Yangon, began in May 2019 and is slateed to be complete in October 2022.

Source: Myanmar Times

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