Myanmar’s economy is forecast to contract this year, the World Bank said Wednesday, as flooding and fighting take a severe toll nearly four years after the military ousted its elected government headed by Aung San Suu Kyi.
In an update issued Wednesday, the bank said about a fifth of all built structures and a tenth of Myanmar’s roads had been damaged by widespread flooding during heavy monsoon rains and a typhoon that swept through the country in September. About 2 million people were left homeless, the report said.
Meanwhile, fighting between the military and opposition forces remains fierce in some parts of the country, disrupting farming and manufacturing.
“The level and intensity of armed conflict remains high, severely affecting lives and livelihoods, disrupting production and supply chains, and heightening uncertainty around the economic outlook,” it said.
Overall, the report said the economy will likely contract 1% in annual terms in the April-March fiscal year.
