Myanmar is one of the Italian Development Cooperation’s 22 current priority countries. Our mission is closely aligned to the country’s National Development Strategy, outlined in the 2018- 2030 Myanmar Sustainable Development Plan (MSDP). The document takes inspiration from the 2030 Agenda and the Sustainable Development Goals, adopted by all United Nations Member States in 2015. Building on the global strategy for sustainable development, the MSDP is structured around 3 fundamental pillars: Peace & Stability, Prosperity & Partnership and People & Planet.
Its goal is to harmonize and coordinate stakeholders active in the country to increase aid effectiveness in Myanmar. Italian development assistance has been contributing to strengthening institutional, economic and social capacity in Myanmar by focusing on 5 specific sectors and thematic areas. These sectors have been agreed upon with the Government of Myanmar, reflecting both development priorities identified by our national partners and Italian values and traditional fields of expertise in international cooperation. Our 5 key sectors/thematic areas of intervention are:
- Governance and The Peace Process
- Rural Development and Social Inclusion
- Economic Development - Cultural Heritage and Sustainable Tourism
- Gender
- Emergency and Humanitarian Aid
AICS strives to coordinate with other development partners and to focus on specific geographic areas in order to avoid duplication and to maximize the impact of its projects. Therefore, AICS projects are mainly located in Northwestern Myanmar. This includes Chin state, where the highest poverty rates are recorded, as well as the surrounding state and regions of Rakhine, Magway and Sagaing. The Italian funds largely support important nationwide programs, scaling them up in areas of the country where they were only partially funded before. This approach is highly appreciated by the Government, as it envisages the inclusion of minorities by promoting the mitigation of social tensions, improved social cohesion and, more generally, the national peace process. AICS Yangon funds its interventions mainly through bilateral channels, both via grants and soft loans.
AICS also provides co-funding to projects implemented by Italian NGOs operating in Myanmar. Italian NGOs contribute to our cooperation program in a wide range of national priority sectors such as: food security, rural development, environment protection and sustainable tourism. They also ensure the key engagement of local civil society groups, who benefit from capacity and institution building through the joint implementation of activities.
With regards to ongoing initiatives and committed funds, the current value of AICS Yangon portfolio amounts to approximately € 96 million, of which € 62 million is delivered through soft loans. Additionally, since 2013 Italy has been funding a Debt for Development Swap programme, accounting to US $ 3.1 million, or € 123 million.
Furthermore, 4 new initiatives are planned for the upcoming programming cycle with a total amount of over € 6,4 million. These will be implemented in our priority sectors and financed through grants.
The main initiatives, both ongoing and approved, include:
- The Italian contribution to the Myanmar National Community Driven Development Project (NCDDP). The project is built on a bottom-up approach and fosters community-driven rural development through the construction of basic infrastructure and community facilities in Chin, Rakhine, Sagaing and Magway. The Italian upscale of the NCDDP is primarily funded through a concessional loan of € 20 million and is topped up by additional 3,1 million USD from the Debt for Development Swap Programme;
- The Italian contribution to the Myanmar National Electrification Project (NEP), aimed at providing access to electricity to rural communities through the supply of Solar Home System or the creation of minigrid from renewable sources. The project is funded through a concessional loan of € 30 million.
- The recently approved MY TOUCH - Phase Two project, with a total budget of € 15,5 million. My TOUCH will contribute to the regeneration and conservation of Yangon downtown, through the renovation of historic buildings.
BANGLADESH
With resolution n. 50 on February 5, 2018, the Joint Committee of the Italian Ministry of Foreign Affairs and International Cooperation extended the mandate of AICS Yangon to cover cooperation activities carried out in Bangladesh. Today, operations in Bangladesh are implemented under “non ordinary” planning, which means that AICS Yangon is entitled to carry out only emergency interventions.
Our current activities are concentrated in the area of Cox's Bazar and are aligned with emergency programs implemented by UN agencies and international NGOs. AICS projects are focused on humanitarian aid for vulnerable groups living in refugee camps in Cox’s Bazar district after fleeing over the border from Rakhine State during and after the 2017 crisis.
