Surging credit growth in the banking sector, rising investments and continued economic reform last year resulted in economic growth to the tune of 7.5% gross domestic product (GDP) for the 2013 fiscal year, according to the Asian Development Bank (ADB).
The ADB highlighted a 59.5% increase in capital goods imports to $5.8 billion last year, as well as resurgence for the agriculture sector, after being hit by flooding the year before.
“Business confidence has markedly improved in recent years, as reflected in a rapid increase in new business registrations, which exceeded 5,000 in the 10 months to January 2013, more than in the whole of the previous fiscal year,” the report states, adding that private sector credit maintained a rapid growth at 46% for the last fiscal year.
In the oil and gas sectors, the ADB also pointed to a 68.8% increase in natural gas exports to 7.7 trillion cubic feet in the 12 months to September 2013, with the Shwe and Zawtika gas fields starting production.
Last year's economic growth exceeds prior outlooks by the World Bank and ADB, both of whom revised growth up to 6.8% in October, while the International Monetary Fund (IMF) revised their outlook up to 7.5% on March 28.
As a result of high GDP growth last year and the prospect of continued reforms and investment from abroad, growth is expected to increase a further 7.8% for the 2014 fiscal year, the ADB stated.
It added that Myanmar will also benefit from relaxed import restrictions and relaxed foreign exchange controls.