News / Economic Divide

Myanmar’s uncertain economic future

Thursday, 11 March 2021 1:15 AM [ Last Update: Thursday, 11 March 2021 2:09 AM ]

Located in South East Asia, Myanmar is a country of over 50 million people. The country was ruled by an oppressive military government from 1962 to 2011. Its a nation in transition haunted by a past marred by authoritarian rule and economic mismanagement.

However, the beginning of democratic transition a decade ago made Myanmars untapped potential available to foreign investors. Investors pumped money into telecommunications, infrastructure, manufacture and construction projects. Following the coup by Myanmars junta, the U.S. President Joe Biden threatened to re-impose sanctions that were formally removed in 2016.Moreover the European Union is considering an economic embargo.

If come into effect, both can put the countrys rag trade industry and its 700,000 workers at serious risk. The garment sector has boomed in recent years and has attracted many household brands such as H&M, Gap and Adidas. The companies have launched production lines in Yangons outskirts for its rather cost effective. International backlashes against the coup could discourage foreign investors from providing financial resources for Myanmars companies. That could inadvertently result in malnutrition and sex-trafficking for mostly female workers.

Press TV’s website can also be accessed at the following alternate addresses:

www.presstv.ir

Myanmar