End of EU sanctions augurs Myanmar rush
Investment and tourists are expected to come in droves following the European Union’s suspension of political and economic sanctions against Myanmar on April 22, despite strong criticism by Human Rights Watch regarding ethnic violence.
But as the once-shunned Southeast Asian nation slowly creeps back into the global economy, its decrepit infrastructure and struggling supply of hotel rooms will add mounting pressure for a nation already forced on delicate tight rope.
With all sanctions lifted, minus an arms embargo, EU tourists and visiting business people will likely be fulfilling their piqued interest in the country by making more personal visits.
However, Myanmar currently has 30-foreign owned hotels in operation providing just over 5,000 rooms, a supply that falls wearily short of the demand this flood portends. According to official statistics, there are currently 28,291 hotel rooms in Myanmar, including boarding homes and guesthouses.
Property prices have also been sent soaring in response to the inundation of visitors making their way to Myanmar.
Citing “remarkable progress,” the EU’s move to drop sanctions may further pressure the US, who suspended sanctions in May 2012, allowing US companies to invest in Myanmar through a “general license.”
“The people [of Myanmar] want democracy, peace and prosperity,” the EU’s foreign policy chief Catherine Ashton said following a meeting of the 27-nation bloc’s foreign ministers in Luxembourg, the Associated Press reported.
“The journey has begun; we want to be part of it,” she said, pledging closer cooperation with Myanmar authorities.
Myanmar’s estimated 60-million population is also a large draw for foreign businesses looking to tap into the growth story of emerging Asia, where the world’s largest consumer class is to come from.
The country is also replete with a vast amount of natural resources and strategically located between economic powerhouses China and India.
Investment and tourists are expected to come in droves following the European Union’s suspension of political and economic sanctions against Myanmar on April 22, despite strong criticism by Human Rights Watch regarding ethnic violence. But as the once-shunned Southeast Asian nation slowly creeps back into the global economy, its decrepit infrastructure and struggling supply of hotel rooms will add mounting pressure for a nation already forced on delicate tight rope. With all sanctions lifted, minus an arms embargo, EU tourists and visiting business people will likely be fulfilling their piqued interest in the country by making more personal visits. However,...
Investment and tourists are expected to come in droves following the European Union’s suspension of political and economic sanctions against Myanmar on April 22, despite strong criticism by Human Rights Watch regarding ethnic violence.
But as the once-shunned Southeast Asian nation slowly creeps back into the global economy, its decrepit infrastructure and struggling supply of hotel rooms will add mounting pressure for a nation already forced on delicate tight rope.
With all sanctions lifted, minus an arms embargo, EU tourists and visiting business people will likely be fulfilling their piqued interest in the country by making more personal visits.
However, Myanmar currently has 30-foreign owned hotels in operation providing just over 5,000 rooms, a supply that falls wearily short of the demand this flood portends. According to official statistics, there are currently 28,291 hotel rooms in Myanmar, including boarding homes and guesthouses.
Property prices have also been sent soaring in response to the inundation of visitors making their way to Myanmar.
Citing “remarkable progress,” the EU’s move to drop sanctions may further pressure the US, who suspended sanctions in May 2012, allowing US companies to invest in Myanmar through a “general license.”
“The people [of Myanmar] want democracy, peace and prosperity,” the EU’s foreign policy chief Catherine Ashton said following a meeting of the 27-nation bloc’s foreign ministers in Luxembourg, the Associated Press reported.
“The journey has begun; we want to be part of it,” she said, pledging closer cooperation with Myanmar authorities.
Myanmar’s estimated 60-million population is also a large draw for foreign businesses looking to tap into the growth story of emerging Asia, where the world’s largest consumer class is to come from.
The country is also replete with a vast amount of natural resources and strategically located between economic powerhouses China and India.
