NATIONAL COALITION GOVERNMENT

UNION OF BURMA

Burma’s aid woes under-pinned by military incompetence

October 3, 2008 NCGUB MR07/08

Washington DC:- Burma’s exiled government has reiterated calls to world governments and other
organizations to continue payments to aid the victims of May’s devastating Cyclone Nargis. The
organization has blamed Burma’s military regime for its failure to improve free access to the
Irrawaddy Delta by international media and to guarantee transparency and accountability in the
management of international aid as a central reason for the blocked aid flows.

The call from the National Coalition Government for the Union of Burma comes in response to a
statement issued by the UN’s post-cyclone aid co-coordinating body, which found that less than 50%
of funds needed for the recovery effort have been received. The statement, issued on behalf of the
Tripartite Core Group established in the wake of the May disaster, noted that only some $US240
million had been received, against a needed budget estimated at $US482 million.

Dr. Thaung Htun, the UN office representative for the NCGUB says this is extremely disappointing
and points the finger squarely at the military junta. “The apparent unwillingness to provide funds is a
direct result of a dire lack of confidence among donors as to the end use of the monies.”

“The military has been known for restricting free access and curtailing the independent activities of
international humanitarian aid workers, for the political manipulation of aid, and for arrests of
Burmese social activists who extended help to victims of cyclone Nargis.”

The UK parliament formalized these concerns when its foreign affairs committee called for a re-think
of Burma aid due to concerns over governance and high-level corruption within the devastated
country. International aid organizations continue to be hindered in their work within Burma.

In July, the UN reported that it had lost some $US10 million due to the regime’s currency conversions.
While this amount was later decreased, there are persistent claims that Burma’s state bank is still
creaming off some 10% of all aid funds as a tax on foreign transfers.

There are indirect fund interferences as well, notes Dr. Thaung Htun. “When rice farmers were
provided with aid money from the UN to replant after the cyclone, the military was unable or
unwilling to provide the seed stocks. There are also fertilizer shortages due to the junta’s chronically
poor economic management.”

The NCGUB expressed grave concerns on behalf of small farmers who have no capital at all to revive
their livelihood. “We have seen the danger that small pieces of land owned by them are taken over by
wealthy farmers or regime’s cronies and they will be end up as landless laborers.”

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The NCGUB asks all donors to continue to provide assistance directly to affected communities and
ensure the involvement of community at all stages in the management of relief, including decision
making and feedback on quality of the relief and recovery efforts.

Dr. Thaung Htun said, “It is imperative to establish an Independent Complaint Handling Mechanism
to ensure accountability and international media should have free access to the cyclone affected areas
to cover the relief and recovery efforts on the ground.”

The human rights of victims should not be overlooked and the NCGUB urged all actors involved to
adhere to Inter-Agency Standing Committee operational guidelines on human rights and natural
disasters on protecting persons affected by natural disasters in the implementation of relief, recovery
and reconstruction in cyclone effected areas.

END

For further information, please contact Dr. Thaung Htun, Tel: +1-212-3380048

77 South Washington Street, Suite 308, Rockville, MD 20850, USA Tel: (301) 424-4810 Fax: (301) 424-4812 E-mail: ncgub@ncgub.net 2