Irrawaddy-June 12
More than half of Myanmar’s most economically productive citizens, high-skilled graduates between 20 and 40 years of age, want to flee the country, the latest World Bank outlook for the once-promising economy says. Mariam Sherman, World Bank country director for Myanmar, Cambodia and Laos, explains why: “Displacement, job losses, and income losses have wiped out much of the previous progress [since 2015] in poverty reduction. The economic outlook remains very weak.” The country also faces surging inflation, a weakening currency and a decline in the number and quality of jobs, the report, “Myanmar Economic Monitor – Livelihoods Under Threat,” notes. The structural transformation to higher-productivity jobs that characterized Myanmar’s development over much of the last decade has been reversed, the report says, noting that highly educated workers are now shifting to low-skilled or informal jobs. Declining investment in people is undermining the country’s prospects for long-term development and poverty reduction, the report suggests. World Bank senior economist Kim Edwards sees a scarred future for Myanmar: “Declining household investment in health and education, reductions in employment and job quality, and increased outward migration will hinder human capital accumulation and scar Myanmar’s future growth and development potential.” Since the pandemic, an additional 7 million people have joined the ranks of the poor and another one-third of the population is at risk of following suit, the report says. The poverty rate exceeded 32 percent early this year, a level last seen in 2015.The World Bank also halved its growth forecast for Myanmar for this year to 1 percent, from the 2 percent forecast in December. Inflation and unemployment remain high while poverty has become entrenched across the country, the report says. Read more at: https://www.irrawaddy.com/business/world-bank-paints-its-grimmest-picture-yet-for-myanmars-future.html
