Myanmar Economic GrowthBurma Economic growth
Burma GDP Annual Growth Rate | 1994-2018 | Data | Chart
Myanmar, formerly known as Burma, is the impoverished nation in Southeast Asia. Burma has been under a democratic rule for many years, but since 2011 there has been a democratic transformation. A new, civil-run, pro-reform government has taken the lead and the state has begun to open up to FDI.
Myanmar's economic situation is quite diverse. Its most important economic activity is the service industry, which has grown constantly in recent years and now accounts for over 38 per cent of GDP. The Myanmar GDP Annual Growth Rates provide current figures, historic information, forecasts, graphs, stats, economic calendars and newsworthiness.
The annual growth rate of Myanmar GDP - current figures, historic graph and publication schedule - was last revised in July 2018.
The ADB is pushing for capital expenditure reforms as economic growth rises to 6.8%.
Rangoon - Myanmar's GDP growth rose from 5.9 per cent in 2016 to 6.8 per cent in 2017, according to the Asian Development Outlook 2018, which called for greater liberalization of FDI (foreign direct investment) practices. Yumiko Tamura, the Asian Development Bank's main land expert and writer of the Myanmar section of the reports, said that while the administration has made headway in liberalizing and streamlining FDI processes, there is still room for further political improvement.
The Commission suggested reducing the period of examination and authorisation of investment and lifting limitations on certain operations, as well as those on participation and recapitalisation by non-myanmar companies. In Myanmar, it is reported that Myanmar's rate of annual growth has fallen from 6.8 per cent in 2016 to 5.3 per cent last year, but is likely to rise due to higher growth.
In 2017, the CA balance of payments shortfall rose from 3.9 per cent in the previous year to 5 per cent of GNP. Myanmar kyats were steady throughout 2017. ADB says growth should continue this year and pick up to 7.2 per cent in 2019. Forecasts for growth are in line with those of the International Monetary Fund.
Last months fund said that it expects growth of 6.7% this year, 5.9% last year and 7-7.5% in the middle year. On a sectoral basis, the agricultural economy, which represents around 30 per cent of GNP, recovered in 2017 due to improved climate and favorable raw material costs and grew by an estimate of 3.5 per cent, ADB said, and reversed the decline caused by the dryness in 2016.
Growth in industries and services continued to be high, with growth expected to be above 8.0 per cent. Rugged processing industries boosted production, with export levels reaching an estimate of 2.8 million tonnes, the highest level in half a century-and high levels of clothing and traveling. Revenues from the export of services remain high: last year, the Ministry of Hotels and Tourism reported an increase of 18 per cent to 3.4 million.
ADB said the economic sector has so far been little affected by the North Rakhine crisis. ADB forecasts annual GDP growth of 6.8 per cent in the six-month period (April-September 2018) before Myanmar adopts a new financial year in October. A further increase to 7.2 per cent is predicted for the 2019 financial year, which ends on 31 September this year.
Burma cannot expect to see significant asset flows in the near term due to its undeveloped financial market. Since Myanmar has a large and young populace, FDI can help unlock the full range of opportunities for export-oriented manufacturing of labour-intensive goods. While Myanmar has liberalized its policies in recent years, the rules are still more stringent than in similar South East Asia states.
The FDI's latest Regulatory Restrictiveness Index ranks Myanmar's policy as the second most tightly defined in the area after the Philippines. It said that once Myanmar gained investor trust, there would be an inflow of FDI. "Of course, it follows a cycle when the overall downward movement and FDI flows could decline when the currency fluctuates," she said.