Federation of Trade Unions Burma

Responsibilities & Rights

International Contact Burma Office - Japan 101-0062 3F, Sohyo Kaikan 3-2-11, Kanda-Surugadai Chiyoda-Ku Tokyp Japan Te;: 81 3 5296 3010 Fax: 81 3 5296 7903

Clairfiying to the Peoples Republic of China and the international community that loans without the endorsement of the people and unaccounted to the people will not be honoured.
2010 September 26 FTUB objects to the Peoples Republic of China loaning US$ 4.2 Billion to the SPDC. FTUB deplores the fact that the Peoples Republic of China is using its material wealth to prop up a dictatorship that employs military action on all those who differ politically. FTUB objects to the SPDC on the selling of mining rights totalling Yuan $346 million to the Peoples Republic of China. It was done without transparency even within the regime or discussions with the communities to be effected. The sales will be scrutinized, the sales tax will be scrutinzed and all proceedings will be done in accordance with international law. Those involved, whether those who order or those who had to follow orders will be held accountable. The SPDC regime is supposed to be overflowing with cash earned from the sale of offshore gas to Thailand, China and India1 and there should be no need for these loans and selling of assets. Also, the savings of the soldiers misused in investements of the Union of Myanmar Economic Holdings UMEH is resulting in whole regiments and battalions refusing to follow orders due to the SPDC not being able to give back the savings of the soldiers2. This issue is getting bigger with the SPDC arresting and shuffling officers who stand up for the rights of their soldiers. This kind of regime that accounts to no one must be changed. Those who knowingly provide loans, sign business contracts do so at their own risk. Should the loans be traced to supporting the military attacks on the ethnic nationalities, the lender will be liable to answer at the international courts. The propping up of the SPDC pariah regime is in total contradiction with the call by the Peoples Republic of China for stablity in the region.

business@hrw.org Burma s military government relies heavily on the oil and gas sector to sustain itself in power. It earned approximately $2.16 billion in 2006 from sales of natural gas, which accounted for half of Burma s exports and represents its single largest source of foreign exchange. 2 http://www.bbc.co.uk/news/world-asia-pacific-11398536 23 September 2010

The recent military conflicts initiated by SPDC troops within the ethnic territories up in Kachin State, UWSA territory, Shan state, Karenni State and Karen state after Gen Than Shwes visit to China proves that the political endorsement of China and the followup financial support embolded the regime which was reluctant to attack the ethnics due to a financial crisis within the military resulting from overspending on unneeded war weapons. The present loan from the Peoples Republic of China was done without approval by the people nor a parliament. This loan, as well as future financial deals, business deals with the present military regime where the people never had a chance to review, discuss and give their ideas will not be honoured. The FTUB, as part of a democratic society, and with the aim of maintining a non-aligned political stand, objects to these loans, and will oppose all future democratic governments / parliaments of Burma endorsing contracts done by the SPDC, paying back loans taken without the peoples acknowledgement and agreement. Contact: Maung Maung 66 8 60 90 5672