Although 11 State-run business organizations face losses, Myanmar’s economy is still growing, Dr Kan Zaw, Union Minister for National Planning and Economic Development, told Mizzima at a press conference held at the Yangon Region government office on October 5.
“In the time of U Thein Sein’s government, Myanmar’s GDP growth rate will reach an average of 8 percent during the five-year period,” Dr Kan Zaw claimed during the press conference.
According to government figures, gross domestic product reached 5.6 percent against a 6 percent target during the 2011-12 fiscal year.
The country achieved 7.37 percent GDP growth against a target of 6.7 percent in the 2012-13 fiscal year and 8.7 percent against an 8.9 percent target in 2013-14 fiscal year. The Ministry of National Planning and Economic Development has set GDP growth targets of 9.1 percent for the 2014-15 fiscal year and 9.2 percent for 2015-16.
State-run businesses facing losses are the Forest Department, Electric Power, Motion Picture, Livestock and Fisheries, Industry, Myanmar Railways, Road Transport, Export and Import, Commercial Bank and Economic Bank, and Inland Water Transport.
“The loss of the Myanma Economic Bank under the Ministry of Finance is based on calculation of the revised estimates system. In actual fact, the final statement may show a profit,” said Union Minister for Finance U Win Shein.
Economic analyst U Than Soe expressed concern that per capita income has not risen at the grassroots level. “A handful of people still monopolize the country’s business. If the country’s economic growth calculation is based on their booming businesses, it is impossible [to obtain a true picture].”
Myanmar’s per capita income still remains low at an average of US$1,140 – 1,180 (K1.1 million – 1.2 million) in the 2014-15 fiscal year, according to a press release of the Ministry of National Planning and Economic Development. Income from taxation secured six percent of GDP.
