Economy Overview
Since Burma began the transition to a civilian-led government in 2011, the country initiated economic reforms aimed at attracting foreign investment and reintegrating into the global economy. Burma established a managed float of the Burmese kyat in 2012, granted the Central Bank operational independence in July 2013, enacted a new anti-corruption law in September 2013, and granted licenses to 13 foreign banks in 2014-16. State Counsellor AUNG SAN SUU KYI and the ruling National League for Democracy, who took power in March 2016, have sought to improve Burma’s investment climate following the US sanctions lift in October 2016 and reinstatement of Generalized System of Preferences trade benefits in November 2016. In October 2016, Burma passed a foreign investment law that consolidates investment regulations and eases rules on foreign ownership of businesses.
Burma’s economic growth rate recovered from a low growth under 6% in 2011 but has been volatile between 6% and 8% between 2014 and 2018. Burma’s abundant natural resources and young labor force have the potential to attract foreign investment in the energy, garment, information technology, and food and beverage sectors. The government is focusing on accelerating agricultural productivity and land reforms, modernizing and opening the financial sector, and developing transportation and electricity infrastructure. The government has also taken steps to improve transparency in the mining and oil sectors through publication of reports under the Extractive Industries Transparency Initiative (EITI) in 2016 and 2018.
Despite these improvements, living standards have not improved for the majority of the people residing in rural areas. Burma remains one of the poorest countries in Asia – approximately 26% of the country’s 51 million people live in poverty. The isolationist policies and economic mismanagement of previous governments have left Burma with poor infrastructure, endemic corruption, underdeveloped human resources, and inadequate access to capital, which will require a major commitment to reverse. The Burmese Government has been slow to address impediments to economic development such as unclear land rights, a restrictive trade licensing system, an opaque revenue collection system, and an antiquated banking system.
Agriculture Products
rice, pulses, beans, sesame, groundnuts; sugarcane; fish and fish products; hardwood
Industries
agricultural processing; wood and wood products; copper, tin, tungsten, iron; cement, construction materials; pharmaceuticals; fertilizer; oil and natural gas; garments; jade and gems
Industrial Production Growth Rate
8.9%
(2017 est.)
Labor Force
22.3 million
(2017 est.)
Labor Force by Occupation
Agriculture: 70%
Industry: 7%
Services: 23%
(2001 est.)
Unemployment Rate
4%
(2016 est.)
Population Below Poverty Line
25.6%
(2016 est.)
Household Income or Consumption by Percentage Share
Lowest 10%: 2.8%
Highest 10%: 32.4%
(1998)
Budget
Revenues: 9.108 billion
(2017 est.)
Expenditures: 11.23 billion
(2017 est.)
Public Debt
35.7% of GDP
(2016 est.)
Commercial Bank Prime Lending Rate
Market Value of Publicly Traded Shares
Reserves of Foreign Exchange and Gold
$4.63 billion
(31 December 2016 est.)
Debt External
$8.2 billion
(31 December 2016 est.)
Stock of Direct Foreign Investment at Home
Stock of Direct Foreign Investment Abroad
Exchange Rates
984.35
(2013 est.)
