The United Nations Development Program (UNDP) described the situation in the poverty-stricken state as an “unprecedented disaster” in a report released Thursday.
The report cited a combination of interrelated problems, including restricted domestic and international flows of goods, hyperinflation, loss of livelihoods, reduced agricultural production, and lack of essential services, calling for a “perfect storm.” It’s happening,” he said.
Without urgent action, UNDP warned, nearly the entire population (about 95 percent) will “revert to survival mode.”
“They will be left to fend for themselves amidst significant declines in domestic production, soaring prices, widespread unemployment and growing insecurity.”
Source: WFP Price Watch
Prices of essential goods and services (rice, cooking, transportation) in Rakhine state have soared.
Rakhine state is home to a majority Rohingya population, where hundreds to thousands fled a brutal military crackdown in 2017 that former United Nations High Commissioner for Human Rights Zeid Ra’ad Al Hussein called ethnic cleansing. There is a Muslim community.
Nearly one million Rohingya refugees remain in neighboring Bangladesh, and UN aid teams are facing severe funding constraints and have been forced to cut food rations.
collective punishment
Data collected across Rakhine state in 2023 and 2024 also showed that the state’s economy had come to a virtual standstill, with key sectors such as trade, agriculture, and construction at a near standstill.
“With the blockade disrupting access to domestic and international markets, export-oriented agricultural livelihoods in Rakhine State have been lost and people’s incomes have collapsed,” UNDP said.
It added that the restrictions introduced by the military’s State Administrative Council are “clearly aimed at isolating Rakhine State from the rest of the country and imposing ‘collective punishment’ on an already vulnerable population.” Ta.
Transnational impact
UNDP further warned that the recent escalation in the manipulation of ethnic identities, coupled with the impending economic catastrophe, would deepen marginalization and disenfranchisement, putting intercommunity relations at greater risk than ever before.
“As the crisis worsens, the lack of resources and opportunities will continue to fuel tensions and cause a further exodus of young people and families…This will have repercussions not only within Myanmar but across its borders,” the ministry said. Ta.
“Without safe escape routes, human trafficking is expected to increase, especially among the vulnerable Rohingya.”
ripple effect
The ripple effects of the situation in Rakhine State are contributing to internal migration patterns across Myanmar.
Amid worsening economic conditions, many families see migration as their only option for survival, another UNDP report on migration patterns has found. Many young people are leaving their communities and moving to urban centers in search of work and stability.
But what they found was often far from what they had hoped for. Jobs are scarce, and people who migrate for safety rather than economic opportunity frequently encounter serious mental health problems.
Women face additional burdens, including lower wages, higher rates of discrimination, and increased obstacles in the job market.
brain is exhausted
The migrant crisis extends beyond Myanmar’s borders, and comparisons reveal stark differences between internal migrants and those fleeing to neighboring countries such as Thailand.
People who moved abroad often earned better wages and had improved living conditions. This could potentially lead to labor shortages and hinder future recovery, UNDP said.
“With nearly 25 percent of the population already living abroad, addressing these migration trends is essential to maintaining a productive workforce at home,” the report added.
A girl scavenges for recyclable materials at a garbage dump in Mandalay, Myanmar’s second largest city. There, poor families are often forced to find something to sell for a bare minimum income. (file)
Decrease in human capital
Added to this, conflict and economic conflict are accelerating the deterioration of Myanmar’s human capital, and the outlook looks equally bleak.
Data released by UNDP in September showed that essential services such as health care, education, and access to clean water and sanitation have become unaffordable luxuries for many, with nearly 25 percent of children I can no longer attend school.
Dropout rates are rising in areas where violence and economic hardship are most severe, such as Rakhine state and neighboring Chin state.
UNDP said the health system is stretched to breaking point and basic health needs remain unmet.
“The mass exodus of skilled workers is depleting the country’s productive capacity, further exacerbating the long-term effects of this crisis.”