The Impact of ASEAN Transition to ASEAN Economic Community on Myanmar Economy

The instability of Myanmar’s economy is causing due to the instability of political in 1962 and many foreign investors withdrew from the country. Since the reformed in 2011 Myanmar is trying to improve the economy environment by reforming foreign investment law to attract foreign investors and the reform draws attention of international community. This study analyzes the relationship between the development of the ASEAN Economic Community (AEC), the prospects for Myanmar to benefit from this development, and how Myanmar has to adjust itself in order to gain the benefits thereof. The purpose of this study is to identify the impact of economic development in Myanmar due to the transition of ASEAN to ASEAN Economic Community that will create the opportunities and challenges for Myanmar’s economy and the improving of foreign direct investment (FDI) from 2009 to 2014. This paper is based on qualitative approach to specify the problems via in-depth interview with five entrepreneurs randomly and the research will be very depend on secondary sources such as books, journals and online news. The research found out that the reconciliation of political stability in Myanmar is one of the key to improve development. Moreover the investment environment, monitoring the investment policy, and the financial support for small and medium businesses is an important sectors that the government should improve. And the researcher concludes that Myanmar needs time to improve the stability of intra-conflict, transparency and gain the trust of international community for the advantage of economic integration.