Oops, Congress asked to fix slip-up in
Myanmar aid bill
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By Anna Yukhananov
WASHINGTON (Reuters) — The Obama
administration is asking Congress to fix a 2012 bill that left a World
Bank agency out of a list of 12 international financial institutions
that could receive U.S. support to promote development in Myanmar.
The Multilateral Investment Guarantee Agency (MIGA) promotes
foreign direct investment in emerging markets by protecting private
investors from various forms of political risk.
"Because of this technical problem, the United States is still
required to oppose guarantees provided by MIGA for private
investment in Burma," the Obama administration said in its budget
request submitted on Tuesday to Congress for fiscal 2015, which
begins October 1.
With only 130 employees, MIGA is one of the smallest institutions
within the World Bank. More than 10,000 people work for the main
World Bank unit and over 3,000 people at the International Finance
Corporation, its private sector lending arm.
According to the U.S. budget request, several MIGA projects are
planned for Myanmar that the United States would be forced to oppose
because of the error.
Congress for years banned the United States from backing any
development loans to the Southeast Asian nation, which was ruled by
a military junta accused of human rights violations.
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But after five decades in power, the military government stepped
aside and the country launched a series of economic and political
reforms, prompting a rapid rapprochement with Washington.
(Reporting by Anna Yukhananov; editing by Richard Chang)
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