Myanmar’s economy was found to have declined, according to the Myanmar Business Sentiment Survey.
More than 1,400 businessmen participated in the survey, which was released by the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) on 26 May.
The survey was conducted by UMFCCI’s Local Industry Development Committee, focusing on the current economic climate, challenges in Myanmar’s economy, confidence for economic progress, reasons for the lack of confidence, UMFCCI’s future activities and the government’s intervention and future performance. The survey pointed out that local businesses reported a steady decline in 2018 compared to the data for 2016. Business confidence has also dropped for the coming 12 months against the previous year.
Entrepreneurs are losing confidence in the business owing to high taxation and non-competitive import practices, such as dumping through illegal trade channels. Some 22 per cent of businessmen who undertook the survey were found to have zero understanding of taxation.
This being so, in a bid to enhance Myanmar’s economy, the government needs to deal with problems such as taxation and tariffs, financing and banking, kyat depreciation, unstable rules and regulations and illicit trade regulation, according to the survey’s major findings. Additionally, the government needs to prioritise the development of a strong economic infrastructure, build national financial resources by practising transparent and solid financial management systems, develop human resources, reform more accountable state-owned enterprises, create jobs for the local people, enhance the agriculture and livestock sectors, enact a firm policy to attract foreign investments, streamline the tax system, upgrade public services and public areas, institute rules and regulations to protect the intellectual property and prepare for businesses to survive in Asian and international trends, stated the survey.
By Nyein Nyein