State Dept. Issues Fact Sheet on Burma
The U.S. remains concerned about human rights, corruption, and the role of the military in Burma, so the new U.S. policy on that country "is carefully calibrated and aimed at supporting democratic reform and reconciliation efforts while aiding in the development of an economic and business environment that provides benefits to all Burma's people, according to the fact sheet issued July 11 by a State Department spokesman.
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It said a key element of the policy is that "we are not authorizing new investment with the Burmese Ministry of Defense, state or non-state armed groups." And the core of the sanctions remain in place, it said: "U.S. persons are still prohibited from dealing with blocked persons, including both listed Specially Designated Nationals (SDNs) as well as any entities 50 percent or more owned by an SDN."
It said the President issued a new Executive Order July 11 that will allow the U.S. government to sanction individuals or entities that threaten the peace, security, or stability of Burma.
Meanwhile, OFAC issued General License No. 16 (GL 16) authorizing the export of U.S. financial services to Burma, subject to limitations. GL 16 does not authorize the export of financial services to the Burmese Ministry of Defense, state or non-state armed groups, for example, or to any person blocked under the Burma sanctions program.
OFAC also issued General License No. 17 (GL 17) authorizing new investment in Burma, subject to certain limitations and requirements, with similar conditions, and said it will set reporting requirements for investments, following a comment period.
The State Department specifically cited the Directorate of Defense Industries, which carries out missile research and development at its facilities in Burma, where North Korean experts are active. A separate executive order provides the authority to block the property and interests in property of persons determined to have, directly or indirectly, imported, exported, reexported, sold or supplied arms or related materiel from North Korea or the government of North Korea to Burma or the government of Burma.
OFAC also added the following names to its List of Specially Designated Nationals (here):
- DIRECTORATE OF DEFENCE INDUSTRIES (a.k.a. KA PA SA; a.k.a. "DDI"), Burma; Ministry of Defence, Shwedagon Pagoda Road, Yangon, Burma [BURMA].
- INNWA BANK LTD (a.k.a. INNWA BANK), 554-556 Corner of Merchant Street and 35th Street, Kyauktada Township, Yangon, Burma; SWIFT/BIC AVAB MM M1 [BURMA].