The Ministry of Rail Transport is reviewing the Memorandum of Understanding it had signed with China for the construction of a $20 billion railway project between Myanmar and China as it was "not acceptable to the people", the Eleven Daily reported quoting a ministry official.

Officials of the department were reviewing the MoU for the railway line between Ruili in Yunnan Province, China and Kyaukphyu deep-sea port in Western Rakhine State, Myanmar and the feasibility studies conducted by the Chinese side, the report said.

The project has attracted serious criticism from the people, who are worried that the railroad that will run past central Myanmar could affect both their country's sovereignty and environment, the paper said.

Negotiations had also been underway between China and Myanmar for the construction of a highway, parallel to the proposed railway line, it added.

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NOTE: Reuters has not verified this story and does not vouch for its accuracy.

(Yangon Newsroom; Editing by Gopakumar Warrier)

((aunghla.tun@thomsonreuters.com)(+951240066/+95973048718)(Reut ers Messaging: aunghla.tun.thomsonreuters.com@reuters.net))

Keywords: MYANMAR PRESS/RAILWAY