The Myanmar economy is expected to grow at just 1.8 percent in 2020, according to updated forecasts by the Asian Development Bank (ADB), released June 18.

In its initial forecast in April, the ADB had expected GDP growth in Myanmar to be 4.2pc. The country expanded at 6.8pc in 2019.

The ADB revised its forecasts for Myanmar after new data pointed toward a sharp slowdown in regional growth as a result of COVID-19.

Growth in developing Asia is now forecast to grow by just 0.1pc in 2020, compared to 2.2pc initially forecast in April. That's the slowest rate of growth for the region since 1961, as containment measures to address COVID-19 hamper economic activity and weaken external demand, the ADB said.

 “Economies in Asia and the Pacific will continue to feel the blow of the COVID-19 pandemic this year even as lockdowns are slowly eased and select economic activities restart...,” ADB Chief Economist Yasuyuki Sawada said in a statement.

He added that “governments should undertake policy measures to reduce the negative impact of COVID-19 and ensure that no further waves of outbreaks occur.”

At those levels, Myanmar is nevertheless one of the few economies to post positive GDP growth in the region this year, behind Vietnam's GDP growth forecast of 4.1pc, the ADB said.  

And, barring any unforeseen events, growth is expected to rebound in 2021, with Myanmar forecast to expand by 6pc.

Growth in the region in 2021 is expected to rise to 6.2pc, unchanged from the ADB's forecast in April but still below pre-crisis trends, the ADB said.

 

News Source : Myanmar Times