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CNN —Once considered among the most promising economies in Southeast Asia with a growing middle class, Myanmar is now suffering from soaring levels of poverty as a devastating civil war drives tens of millions further into destitution, according to a new United Nations report. Poverty has not only doubled but people are also more deeply poor, the report found. Wignaraja said Myanmar’s middle class is “literally disappearing.”“A 50% collapse of the middle class over two and a half years is quite astounding for this country, but for any country,” she said. The value of Myanmar’s local currency, the kyat, has plummeted, along with rising costs for food and other basic necessities. “We call on all stakeholders — inside and outside Myanmar — to take action and preserve vulnerable households from slipping into irreversible poverty and despair.”
Persons: Aung, Suu Kyi, , Kanni Wignaraja, Wignaraja, Achim Steiner Organizations: CNN, United Nations, UN Development Program, UNDP, Asian Development Bank, Bank, Asia Locations: Southeast Asia, Myanmar, destitution, Suu, Yangon, Mandalay
Export manufacturing and other mainstream business activities in Myanmar have suffered since the military takeover, wiping out jobs that millions relied on to get by. The economy is forecast to grow at a meager 1% pace this year and about half the population is estimated to be living in poverty. Fighting with pro-democracy guerrillas and ethnic minority armed groups has escalated in recent months, raising pressure on the military, which has suffered some key defeats. However, United Nations officials estimate that nearly 18 million of the country's nearly 57 million people are in need of humanitarian aid. The Myanmar military administration reported $602 million in foreign direct investment last year, mostly in the energy sector, with only $112 million invested in manufacturing.
Persons: Aung, kyat, ” Miemie Winn Byrd, Daniel K, Inouye, , ” Jeremy Douglas, Organizations: , vise, Export, United Nations, U.S ., Pacific Center for Security Studies, U.S . Trade, Drugs, Southeast Locations: BANGKOK, Thailand, — Myanmar, Southeast Asia, Myanmar, Yangon, Myanmar's, North Korea, Inouye Asia, Bangkok,
Jan 26 (Reuters) - Opium cultivation in military-ruled Myanmar jumped 33% last year, reversing a six-year downward trend in the strife-torn country, a United Nations report said on Thursday. The growth was "directly connected" to the political and economic turmoil in Myanmar since the military took power in a coup nearly two years ago, an official at the United Nations Office on Drugs and Crime (UNODC) said. "Without alternatives and economic stability it is likely that opium cultivation and production will continue to expand," warned UNODC Myanmar country manager Benedikt Hofmann. The eastern Shan State, which borders China, Thailand and Laos, saw the biggest increase in cultivation, at 39%. The value of opium produced annually in Myanmar can reach up to $2 billion, with much of the drug smuggled out to neighbouring countries and on to the global market, the report added.
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