"The Union government has unbundled a controversial Chinese-backed multibillion-dollar new city project across the Yangon River from Myanmar’s commercial hub and is finalizing the hiring of an international consultant to assist in the selection of a developer for the newly compartmentalized project. Known as the New Yangon City project, it is an element of the China-Myanmar Economic Corridor (CMEC), which is a part of China’s Belt and Road Initiative (BRI). The CMEC will connect Yunnan province in China to Mandalay in central Myanmar, Yangon New City in the south and the Kyaukphyu Special Economic Zone in the west. The Yangon regional government-backed New Yangon Development Company (NYDC) initially signed a US$1.5-billion (2.03-trillion-kyat) framework agreement in 2018 with Beijing-based China Communications Construction Company, Ltd. (CCCC) to draw up a proposal for the infrastructure project. The 20,000-acre (nearly 8,100-hectare) New Yangon City project is slated to include five resettlement areas, two bridges, an industrial estate, and commercial and residential areas as well as related infrastructure. The Yangon government’s 2019 guidebook listing the city’s projects—the Yangon Project Bank— estimates the New Yangon City project’s total cost at $8 billion. However, the project has been a source of controversy due to its flood-prone location as well as CCCC’s involvement. The Hong Kong-listed, Chinese state-owned company has been accused of engaging in corruption and bribery relating to development deals in at least 10 countries in Africa and Asia. Since its formation, the NYDC has said that while CCCC was the frontrunner for the project, the selection process to find the developer would follow the so-called “Swiss Challenge” model, in which other candidate firms would be invited to beat CCCC’s bid. However, the huge amount of the initial investment required has all but deterred other investors. On Wednesday, a senior official familiar with the project told The Irrawaddy that the $1.5-billion project has been unbundled by the Union government due to the sheer scale of the mega-investment required, making it possible for other companies to join the Swiss Challenge..."