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11URMA is one of the newly independent South­fJ east Asian nations, but in terms of history itis an ""d country-the Burmese had been on theland the)' call home for nearly a thousand years.

The cauDlr)" W8.!I fi~l unified in the Illh centuryby King Anawrahta. In 1287 the hordes of KublaiKhan swept into Burma, destroying political orderand ushering in 450 years of chaos.

The British entered Burma in 1755 and by 1885had assumed complete control. After having beenadministered as a province of India, Burma in 1937became a separate unit of the British Empire andwas granted some autonomy.

Soon after Pearl Harbor, Japan invaded Burmain order to stop supplies from reaching China overthe famous Burma Road. By 1942 Japan had oc­cupied the whole counlry, and the years of waTwhich followed brought severe damage to Burma.After the war Britain reoccupied her colony.

Meanwhile the Burmese were developing a strongdesire for independence. In 1947 Burma declinedthe opportunity to join the British Commonwealth.It became an independent nation--the Union ofBurma-:ln January 4., 1948., with its capital atRangoon. This was the first Southeast Asian landto gain independence after World War II.

The GovernmentBurma's form of government is essentially a par­

liamentary republic. The parliament consists ofthe Chamber of Nationalities-the upper house­and the House of Deputies. The president, electedby both chombers, serves a 5·year term. 1·le ap·points the prime minister, who is the chief executive.

During the first decade of its independence,

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Burma's non-Communist coalition government wasrather stable. In 1958, however, the ruling coali­tion, the Anti-Fascist People's Freedom League(AFPFL), split into factions. Political stabilitydeteriorated as a result, and for a time the Govern­nlent was headed by a Inilitary leader who was ableto restore a large nleasure of stability. In 1960power ,vas returned to an elected civilian govern­ment.

Since 1948 Burlna's anny, police, and governmenthave been concerned ,vith armed insurgents insidethe country. Some of these are disgruntled ethnicminority groups, while others include members oftwo rival outlawed Communist parties. Withinrecent years many of the non-Communist insurgentsand a few Communist elements have surrendered,but the insurgency problem remains a major im­pediment to law and order and to the country'seconomic development.

The Burmese Government is committed to thedemocratic process by law and inclination. Burmahas taken firm steps against internal communism,but the Sino-Soviet bloc is exerting strong pressureto induce Burma to disassociate itself from the free

world.

Burma supported the U.N. action in Korea in 1950but did not contribute troops. It is a member of

the Colombo Plan, which is organized for thedevelopment of Asian and Pacific countries.

The' People

Most of the 20.8 million Burmese cItIzens aremembers of the Burman ethnic group. In addi­tion, there are a number of indigenous minorities

such as Kachins, Karens, and Shans, as well asmany Indians, Pakistanis, and Chinese. About 80

percent of the population are Buddhist.

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8urme~e j::irl in II dllss condllcled I1l1tler II Govern­melll l'rtlj(rum whi.·h !'rings knowled"e "lid culture 10rural rllmilies.

Approximate!} 70 percent of the people maketheir li,'ing (rom farming-about 88 pen~~lIt livein rural areas. The a'"erage per capita income ofthe Burmese is about 559 a year. Life expectancyis eslimated at 35 years. There is one physicianper 8.400 I>copie. contrasted to about one per 740I>copie in the United States.

Thl" Burmese literacy rate of 60 percent is in­creasing. Between 1954 and 1957, for instance,primary and secondary school enrollment increased100 percent. College education is a\'ailable inthree cities. There are Olle medical school and sev­eral specialized schools of technical and artisantraining.

The English language is used by almost all edu·cated Burmese. In 3{ldition, there are 11 mainlanguages and about 126 dialects.

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The Country and !ts Economy

Burnla, covering 262,000 square nliles or an areaabout the. size of Texas, constitutes an .ilnportantpart of the peninsula of southeast Asia. Facingeast and south to the Bay of Bengal and the Anda­nlan Sea, Bunna's back touches the land areas ofThailand, Laos, China. India, and Pakistan.

Despite its Inany neighbors, Burma throughouthistory had been cut off frolll thelll by high moun­tain barriers. Along the China border, Burma'speaks reach up to 10,000 or 15.,000 feet, while onthe Indian border the highest are 8,000 feet. Inaddition to the north-south Inountain ranges andhills, Bunna's rivers and dense forests also havediscouraged east-west movelnent of her peoples.

Most of the Burlnese live in the valleys and deltasof the Irrawaddy, Chind\vin, and Sittang Rivers.The eastern coastal strips also are fertile areas.Upper Burma and t~e Shan Hills, or the highlandplateau covering east central Burnla, are least pro­ductive because of a lack of rainfall.

Burma's chief industry, agriculture, is centeredin the productive areas where the country's tropi­cal monsoon climate favors crops. About 13 per­cent of the area is used for farming; another 11percent could be brought into cultivation.

Rice is by far the most important crop, makingup about 77 percent of Burma's total exports.Other crops inclurle peanuts, heans and peas, to­

bacco, rubber, sugar, sesame, and cotton.About 58 percent of Burma's total area is cov­

ered with valuable forests which supply teak andother woods. However, postwar insurgent andbandit activities in the outlying areas have restrictedwork in the teak forests and reduced output ofthis important export.

Burma's lakes, ponds, and other bodies of wateralso are important since they furnish fish for the

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Burmese diet. As )·et, coastal fishing has not beendeveloped. Together, farming, forestry. and fish­ing account for about 45 percent of the grossnational product.

Ores also figure in Bunna's ~xports, and thecountry i considered rich in minerals. Its de.I)osits include tin. tungsten. lead, silver, and petro­leum. Burma also has gems_ Mining activities,especially the l>etroleum industry, were severelydamage<! during the war and have not been fullyrehabilitated. Thus, current production is low.

In ad<lition to petroleum, wood and rice husksare used as fuels. One deposit of coal is known toexist, but it is undeveloped. Similarly, the coun­try's waterpower could be further harnessed.Electric p-()wer, now cOllcentrtltcd chieA)' around

Rangoon, is being expanded. It more than doubledbetween 1953 and 1958. Use of diesel generatingfacilities has begun 10 spread lhe use of electricityto many towns and villages.

The mainstay of Bunna's transportation systemtraditionally has been its inland waterways. Its

L.."hio road and the rUl!:l!:ed terTllin chanu~~leri...lic ofthe count..,..

5,000 miles of navigable rivers include a 900-lnileall-season route from north Burma to the chiefport of Rangoon.

Second in importance for transportation are therailroads, totaling about 1,850 miles, or somewhatless than the prewar total. The \var damage hasnot been cOlllpletely repaired because guerrillashave halnpered operations. Modernization, how­ever, is taking place, and diesel engines are beingintroduced.

For a country of its size, Burma does not havea large network of highways. The total road mile­age is about 9,000. Most of the roads run north­south, paralleling the mountains and rivers.

There are a few industries in Burma, most ofthem recently established. The chief products areagricultural conlmodities, petroleum, cement, sugar,and textiles. The Government is encouraging newindustries, such as a steel mill and a j ute mill whichproduces jute bags.

Presently Burma's chief exports are rice, ores,cotton, timber, rubber, and oilcakes. Three­fourths of the exports go to Asia-to Ceylon, Com­munist China, India, Indonesia, Japan, Malaya, andSingapore. Imports-ehiefly textiles, machinery,and transportation equiplnent-eome from theUnited Kingdom, Japan, and India. For some timeBurma has been involved in considerable tradewith the Communist bloc, and the volume, especiallywith neighboring Communist China, can be expectedto remain high in future years.

u.s. Aid and Accomplishmentsu.s. aid to Bunna began in 1950. In 1953, at

the request of the Burillese Government, aid wassuspended. It \vas resun1ed in 1957 under a newagreelnent signed early that year. U.S. aid hasbeen largely financial, and the Burmese have

Inanagecl the projects.

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Following are some of the major developmentprojects and accomplishments which Burma hasachieved with the help of U.S. economic assistance.

Land Restoration

• Reclaimed 1.2 million of 2.2 million acres offarm land abandoned because of World War II andpostwar insurrections. Rebuilt flood control facili­ties and cleared land. Resettled about 350,000 per­sons who had fled to cities. When complete, thereclamation project will mean 600,000 additionaltons of rice annually.• Diversified agricultural crops by encouragingjute production. Expanded jute cultivation to20,000 acres, or nearly sevenfold increase, in about4 years.• Provided farm machinery for initial plowing ofcleared land and for crop diversification programs.

Public Safety

• Increased capability of police to maintain in­ternal security, that is, put down insurgents andmake rural areas safe. Acquired about 40 patrolcars, 117 jeeps, 225 three-quarter-ton trucks, andparts for 15 police launches built locally. Equippednearly a dozen patrol cars with radios. Increasedpolice mobility by 100 percent.• Provided technical advice in public safety.• Contributed uniforms, clothing, and personalequipment to police force.• Drafted plan for nationwide communication sys­tem to link police headquarters with districtoffices.

Kabo Diversion Dam

• In 1959 completed rebuilding of Kaho dam,which had been washed out by floods in north

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Burmese and U.S. officials watch as a U.S.-furnishedearth scraper moves into position to begin construe..tion of embankments and sea walls.

central Burma in 1956. The dam benefits 50,000families and permits continuation of irrigation of

300,000 acres of land. Avoids loss of 225,000 tons

of food and feed crops.

Forestry

• Furnished tractors, graders, loaders, trucks, .andother mechanical equipment to move teakwood tomarket; formerly used elephants almost exclusively.Lowered cost of timber extraction and increasedproduction of teak logs from 20,000 to 30,000 tons

annually.

Rice Handling and Processing

• Increased export of milled rice by providingmechanical equipment such as sack-pilers, mobileconveyors, and elevators to facilitate direct loadingto ships. Improved rice quality by furnishingcleaning and grading equipment.

Industrial Research

• Estahlished and expanded Applied Research In­stitute to provide research, experimental and

standards laboratories, and other scientific services

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A Burmese teehnician lesl.!l equipment (or the r«entlycompleted Rlmgoon-Mandalay lelephone-lelegTaph8ystem financed by a U.s. loan.

for illdustry, agriculture, alld Illl...clicinc. Estab­lished technical information center with 5,OOO-booklibrary in fields of science and engineering.• Conducted studies on new uses of bamboo; beganproject of utilizing bamboo in manufacture 01 hard.board. Conducted studies and planned phanna­.ceutical, processed foods, and ceramics industries.

HeaiJh.

• Expanding and modernizing Rangoon CcnenlHospital, largest and most important medical insti­tution in Burma. Cleared building site and laidfoundations for outpatient clinic and laboratoryservices building.

Education

• Began constructing Rangoon University's newIntermediate College as replacement for two inade­quate junior colleges. New college will benefit atleast 7,000 students.• Provided overseas technical training for about90 Burmese in various fields.

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Transportation and Communications

• Planned improvements of inland waterwaystransportation.• Provided safety equipment for airports.• Restoring Rangoon-Mandalay telephone line,most heavily used communications circuit inBurma.

• Surveyed existing Rangoon-Mandalay Highway,suggesting improvements and offering assistance toenable the road to serve more adequately the needsof the users, mostly trucks and buses.

Water and Sanitation

• Planned improvement and extension of Ran­goon's water supply system, which presently suppliesonly 60 percent of water needed.• Provided well-drilling equipment to drill 1,300new wells annually in rural areas.

Other Foreign, Aid

Burma has received considerable aid from out­side sources. For instance, it receives about $1.75million annually from the United Nations and since1952 has received about $3 million from the BritishCommonwealth countries which are members of theColombo Plan. In addition, Burma receives rep­arations payments from Japan and has been grantedeconomic assistance by countries such as India,

Israel, Yugoslavia, West Germany, and others. TheInternational Monetary Fund has made available$15 million, which has been repaid; and the WorldBank has extended three loans totaling about $33.4million.

Aid has also been obtained from several of theSoviet-bloc countries. Early. in 1961 the Burmeseobtained an $83 million interest-free loan fromCommunist China.

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UNIVERSITY OF MINNESOTA

II IlmlfJ~1I U~lll1[WI31951 003 000 625 A

Summary of u.s. AidBunna has received a total of $94.5 million in

U.S. economic 8!1Si5tance through 1961. Of thissum, 2.7 million was in the fonn of technicalcooperation, 2.1 million was in agricultural com­modities donate.:lto .5. \'oluntary welfare agenciesfor relief distribution in Burma, and S89.7 millionwas in the form of loans sud grants for specialeconomic de\'elopment projects.

DEPARTMENT OF STATE PUBLICATION 7263

Far EUlern SeTiell 109

Released November 1961

Office of Public Service.BUREAU OF PUBLIC An",uns

For.k by the Sul'trlnt.mden~01 O<xumenu, U.S. Oov~mmenlPrlnlinr omcoe, WMhingtoo 2:1. D.C.· f'Tloo 10 oentll