Plans for the Dawei special economic zone have inched ahead after the Burmese government agreed to borrow 4.5 billion baht ($128 million) from Thailand to finance the construction of a road from Dawei’s proposed deep­-sea port to Thailand’s Kanchanaburi province.

Thailand, Japan and Burma effectively launched the US$50 billion industrial zone that will have a deep impact on trade and investment in Southeast Asia.

Thailand, Burma and Japan agree terms to manage the port, road and rail links, power plants, waterworks, industrial estates and telecommunications.

The the presence of the project is already undermining local agricultural and fishing livelihoods, a new report by the Tavoyan Women’s Union claims.

Officials from Burma and Thailand will meet next month to approve the framework of the initial phase of the delayed Dawei development project.

Burma and Thailand are expected to announce the development of the initial phase of the delayed Dawei development project next month, with Japan's involvement still on the table.