As the economy picks up amid global and domestic uncertainty, the World Bank has urged the government to address emerging risks that could impact business sentiment and weaken future performance, according to its new Myanmar Economic Monitor. Real GDP growth increased to 6.4% in financial year 2017-18, from 5.9% the previous year, the World Bank said at the launch of the monitor on May 17 in Yangon, MNA reported. Inflation fell to 5.5% and fiscal and external balances improved, while the kyat (national currency) appreciated slightly on strong exports and foreign direct investment flows. “The pick-up in growth and improvement in the macroeconomic situation are encouraging,” said Ellen Goldstein, World Bank director for Myanmar, Cambodia, and Lao PDR. “The government is also finalizing its Myanmar Sustainable Development Plan, which we hope will serve as a platform to accelerate economic reforms, modernize the financial sector and make progress in resolving conflicts that jeopardize inclusive and sustained growth.” The report indicates a favorable outlook with growth expected to increase to 6.8% in 2018-19 and inflation expected to ease further to 4.9%. The current account deficit is forecast to remain stable at 4.7% due to sustained trade growth.
