2012 marks a big year in the history of Myanmar. Along with
other influential powers in the European Union, the US lifted the long-standing
investment ban on the country. In the wake of democratic changes, President
Obama has stated that the easing of sanctions is evidence of the recognition of
these efforts and encouragement for further reform.
Within the US government, there has been much debate as to
the extent to which sanctions should be eased. While some argue that a full
repeal is essential to support the country’s democratization, others caution
that the military still controls the majority of the economy.
Aung San Suu Kyi, who was released from house arrest last
year and won a seat in parliament in April, requested that foreign governments
maintain sanctions, especially those that do allow corporations to partner with the Myanmar Oil and
Gas Enterprise, which is the state-controlled and military-influenced
organization that controls all energy sector business. Despite the Obama
administration’s assurances that it would follow Suu Kyi’s advice throughout
the democratization, the US ended up approving broad repeal to the investment
ban. They justified the repeal saying that it will contribute to growing tourism, banking,
agriculture and manufacturing sectors. The opposition, however, claim the move is politically
and economically motivated. They credit the broad repeal to the fact that the US government feels threatened by the presence of European corporations in Myanmar working with the growing energy and mining sectors. Human rights advocates and politicians have expressed great concern and disapproval of the repeal, claiming that the Obama administration is sacrificing protecting human rights in order to cater to powerful special interest groups in the US.
The debate will undoubtedly continue as US corporations
enter Myanmar and the economic and political climate shift or remain stagnant.
Further information can be found at: http://thecable.foreignpolicy.com/posts/2012/07/11/obama_breaks_with_aung_san_suu_kyi_lifts_burmese_investment_ban
