YANGON, June 5: Myanmar's military government on Friday signed a Joint venture agreement with China for 42 river craft worth 30 million US dollar, official said, reports AFP.

The agreement, signed at the Transport Ministry here, calls for China to give Myanmar an interest free loan with which to buy 14 motorboats and 28 barges from the Yunan Machinery Import and Export Corporation (YMC).

The motorboats will be built in China while the barges will be constructed at dockyards In Yangpn.

Myanmar Transport Minister Thein Win said at the signing ceremony that the agreement marked the first time Sino Myanmar economic and technical cooperation had extended to river transport.

This assistance from China is not only beneficial for us but marks a new era In Myanmar's Inland riverine transport," he said.