Burma Economy - 2022

GEOGRAPHICAL NAMES 

Economic overview

Since Burma began the transition to a civilian-led government in 2011, the country initiated economic reforms aimed at attracting foreign investment and reintegrating into the global economy. Burma established a managed float of the Burmese kyat in 2012, granted the Central Bank operational independence in July 2013, enacted a new anti-corruption law in September 2013, and granted licenses to 13 foreign banks in 2014-16. State Counsellor AUNG SAN SUU KYI and the ruling National League for Democracy, who took power in March 2016, have sought to improve Burma’s investment climate following the US sanctions lift in October 2016 and reinstatement of Generalized System of Preferences trade benefits in November 2016. In October 2016, Burma passed a foreign investment law that consolidates investment regulations and eases rules on foreign ownership of businesses.

Burma’s economic growth rate recovered from a low growth under 6% in 2011 but has been volatile between 6% and 8% between 2014 and 2018. Burma’s abundant natural resources and young labor force have the potential to attract foreign investment in the energy, garment, information technology, and food and beverage sectors. The government is focusing on accelerating agricultural productivity and land reforms, modernizing and opening the financial sector, and developing transportation and electricity infrastructure. The government has also taken steps to improve transparency in the mining and oil sectors through publication of reports under the Extractive Industries Transparency Initiative (EITI) in 2016 and 2018.

Despite these improvements, living standards have not improved for the majority of the people residing in rural areas. Burma remains one of the poorest countries in Asia – approximately 26% of the country’s 51 million people live in poverty. The isolationist policies and economic mismanagement of previous governments have left Burma with poor infrastructure, endemic corruption, underdeveloped human resources, and inadequate access to capital, which will require a major commitment to reverse. The Burmese Government has been slow to address impediments to economic development such as unclear land rights, a restrictive trade licensing system, an opaque revenue collection system, and an antiquated banking system.

Real GDP (purchasing power parity)

$247.24 billion (2020 est.)

$274.69 billion (2019 est.)

$270.11 billion (2018 est.)

note: data are in 2017 dollars

Real GDP growth rate

6.8% (2017 est.)

5.9% (2016 est.)

7% (2015 est.)

Real GDP per capita

$4,500 (2020 est.)

$5,100 (2019 est.)

$5,000 (2018 est.)

note: data are in 2017 dollars

GDP (official exchange rate)

$76.606 billion (2019 est.)

Inflation rate (consumer prices)

8.8% (2019 est.)

6.8% (2018 est.)

4.6% (2017 est.)

GDP - composition, by sector of origin

agriculture: 24.1% (2017 est.)

industry: 35.6% (2017 est.)

services: 40.3% (2017 est.)

GDP - composition, by end use

household consumption: 59.2% (2017 est.)

government consumption: 13.8% (2017 est.)

investment in fixed capital: 33.5% (2017 est.)

investment in inventories: 1.5% (2017 est.)

exports of goods and services: 21.4% (2017 est.)

imports of goods and services: -28.6% (2017 est.)

Agricultural products

rice, sugar cane, beans, vegetables, milk, maize, poultry, groundnuts, fruit, plantains

Industries

agricultural processing; wood and wood products; copper, tin, tungsten, iron; cement, construction materials; pharmaceuticals; fertilizer; oil and natural gas; garments; jade and gems

Industrial production growth rate

8.9% (2017 est.)

Labor force

22.3 million (2017 est.)

Labor force - by occupation

agriculture: 70%

industry: 7%

services: 23% (2001 est.)

Unemployment rate

4% (2017 est.)

4% (2016 est.)

Youth unemployment rate (ages 15-24)

total: 4.9%

male: 4.1%

female: 5.8% (2020 est.)

Population below poverty line

24.8% (2017 est.)

Gini Index coefficient - distribution of family income

30.7 (2017 est.)

Household income or consumption by percentage share

lowest 10%: 2.8%

highest 10%: 32.4% (1998)

Budget

revenues: 9.108 billion (2017 est.)

expenditures: 11.23 billion (2017 est.)

Budget surplus (+) or deficit (-)

-3.2% (of GDP) (2017 est.)

Public debt

33.6% of GDP (2017 est.)

35.7% of GDP (2016 est.)

Taxes and other revenues

13.5% (of GDP) (2017 est.)

Fiscal year

1 April - 31 March

Current account balance

$240 million (2019 est.)

-$2.398 billion (2018 est.)

Exports

$17.52 billion (2019 est.)

$15.73 billion (2018 est.)

note: Data are in current year dollars and do not include illicit exports or re-exports.

Exports - partners

China 24%, Thailand 24%, Japan 7%, Germany 5% (2019)

Exports - commodities

natural gas, clothing products, rice, copper, dried legumes (2019)

Imports

$17.36 billion (2019 est.) note: data are in current year dollars

$18.66 billion (2018 est.) note: data are in current year dollars

note: import figures are grossly underestimated due to the value of consumer goods, diesel fuel, and other products smuggled in from Thailand, China, Malaysia, and India

Imports - partners

China 43%, Thailand 15%, Singapore 12%, Indonesia 5% (2019)

Imports - commodities

refined petroleum, broadcasting equipment, fabrics, motorcycles, packaged medicines (2019)

Reserves of foreign exchange and gold

$4.924 billion (31 December 2017 est.)

$4.63 billion (31 December 2016 est.)

Debt - external

$6.594 billion (31 December 2017 est.)

$8.2 billion (31 December 2016 est.)

Exchange rates

kyats (MMK) per US dollar -

1,361.9 (2017 est.)

1,234.87 (2016 est.)

1,234.87 (2015 est.)

1,162.62 (2014 est.)

984.35 (2013 est.)

NOTE: The information regarding Burma on this page is re-published from the 2022 World Fact Book of the United States Central Intelligence Agency and other sources. No claims are made regarding the accuracy of Burma 2022 information contained here. All suggestions for corrections of any errors about Burma 2022 should be addressed to the CIA or the source cited on each page.