WASHINGTON — The International Monetary Fund (IMF) on Wednesday projected a rise in
Burma’s economic growth rate to 6.25 percent next year as a result of recent
economic reforms and increasing foreign investment in natural resources and
commodities exports. It praised the reforms and said new policies could turn
Burma into “Asia’s next rising star.”
The IMF projected GDP growth to
accelerate to 6.25 percent in in the fiscal year 2012/13, up modestly from an
estimated 5.5 percent growth this year and 5.3 percent in 2010/11. Burma’s GDP
in 2010/11 was US $45.4 billion, according to IMF data.
In a statement, the fund lauded
the Burmese government for embarking on a historic set of reforms to modernize
and open up its economy, which it said could facilitate strong and inclusive
long-term growth that reduces poverty.
“These reforms are already
bearing fruit. Growth is expected to accelerate to around 6.25 percent,
bolstered by foreign investment in natural resources and exports of
commodities,” said IMF Mission Chief Meral Karasulu. “With a commitment to
strong reforms, Myanmar has the potential to vastly improve the living
standards of its people and emerge as Asia’s next rising star.”
The IMF mission chief visited
Burma this month to hold discussions on macroeconomic policies with Burmese
Finance Minister Win Shein, Central Bank Governor Than Nyein, parliamentarians
and representatives of the private sector and donors. Discussions on clearing
Burma’s external arrears were also progressing, the IMF said.
IMF said inflation has declined
and should remain moderate at around 6 percent next year. The exchange rate has
been stable in recent months, with international reserves increasing to $4
billion, it added.
The fund stressed the need for
the government to continue implementing well-paced economic reforms, which were
begun about two years ago.
“Myanmar remains one of the
poorest countries in Asia, with economic development stymied by many
distortions. On the macroeconomic front, the government’s overarching
priorities are two-fold: to maintain stability during the transition process,
and to build the modern tools and institutions necessary to manage a rapidly
changing economy,” it said.
Macroeconomic reforms should
focus on three key areas, the IMF said: consolidating exchange rate
unification, developing a consistent monetary policy framework and containing
fiscal deficits, which will set the stage for higher and stable revenues.
“In all of these areas, the IMF
will continue to provide technical assistance to the Myanmar government,”
Karasulu said, adding that other international financial institutions and
bilateral donors are also supporting the authorities’ broader reform efforts.
The IMF recently re-engaged with
the Burma after the government began political and economic reforms. In May,
the fund published its first report on Burma in decades and in July it opened
an IMF office for Burma in Bangkok, Thailand.
Business & Investment Opportunities
YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd (SBC), Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Healthcare and Life Science with expertise in ASEAN. Since we are currently changing the platform of www.yourvietnamexpert.com, if any request, please, contact directly Dr Christian SIODMAK, business strategist, owner and CEO of SBC at christian.siodmak@gmail.com. Many thanks.
No comments:
Post a Comment