The forecast by the World Bank came as the country faced a slew of protests, that later transformed into Civil Disobedience Movement (CDM), and eventually terrorist style attack, that targeted schools, township leaders, bridges, power stations and people who supported the military administration. The terrorism is still ongoing at the end of May, with many targeted assassinations and bombings.
World Bank forecast showed that Myanmar’s economy is expected to contract by 10% this year, a sharp reversal from the previous prediction of 5.9% growth in October 2020.
“Myanmar has been heavily affected by recent protests, worker strikes, military actions, reduced mobility, and ongoing disruptions in essential public services, including banking, logistics and internet services,” said the World Bank.
The country is convulsed by nationwide protests, strikes, and sanctions following a military coup on Feb 1.
In the mean time, Asia Development Bank (ADB) also issued its forecast for Myanmar at -9.8% for GDP growth and -10.6% for per capita GDP. ADB forecast also included a forecast for inflation at 6.2%. With the current trend of consumer prices over the past three months, we believe the actual figure is going to be a lot higher at double the rate forecast at least.
