Economic Globalization of Myanmar Burma IRIS KIM History

Economic Globalization of Myanmar (Burma) IRIS KIM

History • One of the poorest Southeast Asian countries • Under a military regime from 1962 -2011 • Military junta dissolved on March 30, 2011 • New democratic reform of the government has begun to open up the country foreign direct investments

Industries in Myanmar �GDP Annual Growth Rate is 6. 3% as of Dec. 2016 �GDP is $62. 6 Billion �Service sector grown steadily – over 38% of GDP �Agriculture sector slowly declining – 36% of GDP �Manufacturing sector – 26% of GDP

Imports & Exports �Main imports include: fabric, petroleum products, plastics, machinery, cement �Main exports include: natural gas, jade and gems, rice, wood products, pulses and beans, fish, clothing Shares trade relations with neighboring countries including India, Thailand, Singapore, Malaysia and China Main hindrance to international trade is country’s poor infrastructure (primary route of trade across Thai border – illegal drugs) Exports: $860 Million Imports: $1192 Million (July 2016)

Foreign Direct Investment • Foreign Direct Investment in Myanmar reached $378. 35 Million in July of 2016 • Balance of trade in Myanmar recorded a trade deficit of $332. 60 Million in July of 2016 • Myanmar has attracted investment from Thai, Filipino, Russian, Australian, Indian, and Singaporean companies • China is the biggest investor in Myanmar – constructing oil and gas pipeline • Thailand is the second biggest investor – planning to build a canal to link Gulf of Thailand directly to Andaman Sea and the Indian ocean • Japan – helping build the Thilawa Port

Poverty & Inequality �Myanmar has had many political, economic, and social problems over the last 4 decades. �Extreme levels of poverty �Population: 53. 9 Million (Dec. 2015) �Unemployment rate: 4. 02% (Dec. 2013) �Inflation rate: 9. 94% (Jul. 2016)

Conclusion �Main causes for Myanmar’s slow growth and economic development: Large trade deficit Minimal levels of foreign investment Poor government planning and poor economic policies Internal unrest and inequality �Results in: Lower GDP growth than its potential despite rich resources High inflation rates Weak investment climate

�In conclusion, while Myanmar has improved its’ integration into the global economy with increased regional trade links and improved communications, the benefits of globalization are not pervasive and have not brought significant improvements to general social economic conditions in Myanmar.

Sources �http: //www. indexmundi. com/facts/myanmar �http: //www. tradingeconomics. com/myanmar/indic ators �Leung, Suiwah, Ben Bingham, and Matt Davies. "Chapter 9: The Impact of Globalization on Economic Development in Myanmar. " Globalization and Development in the Mekong Economies. Cheltenham: Edward Elgar Pub. , 2010. N. pag. Print.