Myanmar on track to graduate from least developed category by 2025: UN Report

Myanmar on track to graduate from least developed category by 2025: UN Report

[December 15 -  Yangon] Myanmar is on track to graduate from the least developed country (LDC) list by 2025, a report produced by the United Nations Conference on Trade and Development highlighted.

“The Least Developed Countries Report 2016: The Path to Graduation and Beyond – Making the Most of the Process” was launched in Yangon this afternoon.

Renata Dessallien, UN Resident and Humanitarian Coordinator and UNDP Resident Representative said, " Graduation from LDC status is a significant milestone for any country. However, it is also important to bear in mind that graduation is not an end goal in itself. Graduation from LDC status is the sign of a maturing economy and successful development strategies. It is a sign that the country will have the resources and capacity to reach the SDGs by 2030.”
 
Myanmar is one of the 48 countries in the least developed category.  The report states that many LDCs are stuck in a poverty trap, a vicious circle in which poverty leads to poor nutrition and health, and lack of education, undermining productivity and investment. This in turn blocks the sustainable development needed to reduce poverty.

Countries can only break out of such vicious circles with international support in finance, trade and technology. The LDC category was created largely to target such support for those countries that most need it. Countries graduate from the LDC category by satisfying a complex set of economic and social criteria. But only four countries have graduated in the 45 years since this classification was established.

The report emphasizes that by 2025, Myanmar is likely to achieve graduation with momentum through broad-based development of productive capacities, diversification and structural economic transformation.

"Myanmar is set to graduate from LDC status by 2025. This will have some impact on access to concessional financing, export markets and official development assistance (ODA). However, with the right policy mix the country will be well positioned to make a smooth transition," said UNDP Myanmar Economic Advisor Thomas Kring.

Graduation itself is only a first step towards long-term development. To weather the loss of the international support they received as LDCs and confront the challenges that lie further ahead requires what the Report calls "graduation with momentum" – a process of structural change to increase the productivity of their economies.

The report can be accessed from: http://unctad.org/en/pages/PublicationWebflyer.aspx?publicationid=1664