Once considered a rising star in Southeast Asia with a growing middle class, Myanmar is now facing a severe poverty crisis as a result of an ongoing civil war, according to a recent report by the United Nations.
The report reveals that nearly half of Myanmar’s population, totaling 54 million, is now living below the poverty line, with 49.7% of people surviving on less than 76 US cents a day. This figure has doubled since 2017, indicating a significant increase in poverty levels in the country.
Since the military coup three years ago, the economic situation in Myanmar has deteriorated rapidly. Families are struggling to afford basic necessities such as food, healthcare, and education due to soaring inflation. The middle class is at risk of being wiped out, and an additional 25% of the population is barely hanging above the poverty line.
Myanmar had previously made progress in reducing poverty following economic and political reforms that began in 2011. The country experienced rapid economic growth, with its economy expanding by an average of 6% annually between 2011 and 2019. The poverty rate was effectively halved from 48.2% in 2005 to 24.8% in 2017.
However, the 2021 military coup, which ousted the democratically elected government, has reversed the progress made in poverty reduction. Coupled with the impact of the COVID-19 pandemic, poverty in Myanmar has not only doubled but has also deepened, pushing more people into destitution.
The report highlights the alarming fact that about three-quarters of Myanmar’s population are now living in poverty, with many surviving at a bare subsistence level. The depth of poverty in the country is described as significant, with the middle class disappearing at an astounding rate.
The ongoing conflict in Myanmar has exacerbated the poverty crisis, particularly in conflict zones where women and children are disproportionately affected. Nearly three million people have been displaced due to ground battles, airstrikes, and military raids on villages. The overall impact of the conflict has been devastating to the economy and the well-being of the population.
The report calls for immediate interventions to address the humanitarian crisis and prevent vulnerable households from slipping into irreversible poverty. Without urgent action, the poverty situation in Myanmar is expected to worsen significantly, impacting multiple generations to come.
