Helping Myanmar march forward

Myanmar? Just a small country in South-East Asia, right? Wrong.

Yes, Myanmar is comparatively small and, yes, it is situated in the thriving, bustling, fast-changing region that is South-East Asia, but Myanmar's story is about so much more. After five decades of military rule, years which were overseen by a highly authoritarian regime resistant to any kind of outside influence, some chinks of light are starting to appear.

Much of this progress can be traced to the political changes that took place in 2015. The year saw the first democratically elected government in more than 50 years. Although the new government shares power with the military - which continues to have independent authority over the armed forces, the country's borders, and home affairs - this injection of democracy is a sign that the country is slowly awakening to life in the 21st century. The focus now, though, is on ensuring that these changes have a chance to take root.

A ballot box bonanza?

The elections, a little over a year ago, resulted in a landslide victory for Aung San Suu Kyi's National League for Democracy (NLD). San Suu Kyi, a Nobel Laureate who spent 15 years of her life under house arrest, serves as state counsellor and foreign minister - under the country's constitution she was unable to become president as her two sons have British passports.

That the military also holds a quarter of the seats in parliament, giving it the authority to block any change to the constitution, underlines the scale of the challenges still to come. So, too, do the recent outbreaks of violence in Muslim areas of western Myanmar. Although San Suu Kyi has made securing peace and reconciliation her government's top priority, it is clear that there is much still to do to bring the country together.

Political liberalisation and the relaxation of once strict censorship rules can help - new media, part-propelled by greater mobile phone coverage and internet access, are opening up new avenues of dialogue and communication. However, such progress remains largely confined to the country's towns and cities. Despite two-thirds of the population working in agriculture, rural areas remain beset by practices considered obsolete in other, more developed countries. Similarly, much of the economic activity in the country remains controlled by a small number of organisations, with financial inclusion lagging behind as a result.  Even manufacturing, which would ideally serve as the springboard to faster growth, is contracting.

A brighter horizon

So much for the bad news, what about the good? Fortunately, causes for optimism still pepper the horizon. For example, the opening up of Myanmar's previously locked-down borders heralds a huge economic and social opportunity. After shunning the country for decades, global leaders stand ready and willing to assist - perhaps in recognition of San Suu Kyi's lifelong dedication to peace and democracy. After all, not every foreign leader gets a meeting at the White House with the serving US president, as she did in September this year.

The meeting saw President Obama announce his decision to lift full economic and trade sanctions. “It is the right thing to do in order to ensure that the people of Burma see rewards from a new way of doing business and a new government,” the president said. The restoration of trade enables Myanmar to gain access to a programme that allows poorer countries to export thousands of products duty-free to the US.

Such examples underline how the outside world is rooting for Myanmar's success. The main limiting factor is the still fledgling government's capacity to handle the assistance - economic, financial, technical and political - that it is being offered. Another issue that is acting as something of a headwind is the question mark over whether much-needed infrastructure will be built quickly enough. The Chinese government, for example, didn't hesitate to relocate large numbers of people in order for large infrastructure projects to be constructed - ultimately bringing benefits to many. By contrast, the individual rights of Myanmar's citizens may well prevent this process from being repeated.

Nonetheless, foreign direct investment is on the up, with infrastructure the primary focus - two-thirds of the foreign funds invested or pledged (more than US$40 billion) have gone to oil and gas and power. Manufacturing has attracted about US$6.6 billion, and tourism has brought in US$2.4 billion. These numbers are only going to increase - especially as more domestic markets open up. The government now needs to expand its capacity to handle the aid and investment on offer.

Pedal to the metal

Myanmar's has been quite a journey. After 50 years of being shrouded in the darkness of international isolation, it has slowly begun to emerge into the sunlight of greater transparency and democracy. While obstructions no doubt loom large both today and on the road ahead, Myanmar's window of opportunity is opening up - it's time for the government and military, citizens and business, to come together anew and help accelerate the progress already made.

FURTHER READING

• Vietnamese vision: from steps to strides. Vietnam has made tremendous progress in the past two decades, says Chris Malone. He suggests what else needs to be done for it to become a modern knowledge-based economy
• Delivering on development: Dr Jim Yong Kim on life in the World Bank hot seat. Ending extreme poverty and shared prosperity by 2030 are the twin north stars of World Bank Group president, Dr Jim Yong Kim. We hear how he is seeking to turn vision into reality
• Viet Nam: The next chapter. Amidst the sea of scooters that line the streets of Ha Noi, Bakhodir Burkhanov and his colleagues at the UNDP go about their work. He tells us about helping move an already fast-developing country forward
• Papua New Guinea's pathway to progress. As the UN's Resident Coordinator in Papua New Guinea, Roy Trivedy does not lack for challenges. But what the country lacks in infrastructure it makes up for in a rich blend of culture, natural resources and huge
• Measure for measure: the drive to end extreme poverty. For Melanie Walker, overseeing the World Bank Group's delivery unit is more than just keeping score. She tells us why it's really all about a fundamental transformation that aims to free a billion people from the grip of extreme poverty
• Unlocking the digital door for developing countries. Although universal access to the internet remains some way off, Hans Kuipers explains what steps can be taken to bridge the enduring digital divide
• Open all hours. Liz Carolan explains how open data can help accelerate development progress around the world
• Open data: unlocking development potential in Africa and Asia. Dr Savita Bailur sets out how open data can empower ordinary people to participate in development