COVID-19 Threatens Myanmar’s Economy

Sub-title: 

Myanmar looks to East Asian states to support an ailing economy amid the pandemic.

Description: 

"Myanmar has seen a moderate domestic impact from the global COVID-19 outbreak, recording just 85 cases as of April 17. However, the country’s reliance on international trade, investment, and technology means it will face near- and medium-term economic challenges that it is inadequately equipped to deal with alone. Export volumes for simple manufactured goods have seen the biggest impact. The garment sector, which employs over 700,000 workers and accounts for $4.6 billion in export revenue — or 10 percent of all exports — has faced both supply and demand shocks. China supplies 90 percent of raw materials for the sector; however, exports to Myanmar were halted between January and March. Just as supplies were returning to normal in April, demand for Myanmar garment products collapsed. Myanmar exports 70 percent of such products to European countries, most of which have been enforcing lockdowns and closing nonessential retail stores. As a result, 25,000 workers from over 40 garment factories have been laid off in Myanmar so far. Recognizing the hardship this is causing, the European Union on April 9 announced a 5 million euro ($5.46 million) aid package for garment workers..."

Creator/author: 

Shah Suraj Bharat

Source/publisher: 

"The Diplomat" (Japan)

Date of Publication: 

2020-04-17

Date of entry: 

2020-04-23

Grouping: 

  • Individual Documents

Category: 

Countries: 

Myanmar

Language: 

English

Resource Type: 

text

Text quality: 

    • Good