The US ban on imports from Burma is preventing job growth in the garment industry, rather than harming the interests of the corrupt elite it targets, according to a report by the International Crisis Group.
The think-tank warned that moves to extend the import ban could have a serious impact on Burma's economic recovery by hindering the growth of job-creating manufacturing industries.
The US has imposed an import ban on Burma (also known as Myanmar) since 2003, with the Burmese Freedom and Democracy Act renewed on an annual basis in an effort to pressure the government to continue its political and economic reforms.
Last week, however, the US Senate failed to agree the sanctions - which are now set to expire temporarily next month - in a row over funding for the extension of the African Growth and Opportunity Act (AGOA) which is part of the same bill.
But some reforms are underway, with financial and investment sanctions against the military regime in Burma having been eased by the US Obama administration to allow the first new US investment in the Asian country for nearly 15 years.
Before the Burma import ban was introduced, the largest exports to the US were garments, an industry that was providing employment to many people, the International Crisis Group report said.
It added the ban could skewer the oil-rich country's economy to potentially problematic extractive industries.
"At this stage in the reform process, it is indeed hard to see how retention by the US of its import ban could in any way serve the interests of the Myanmar people or assist the democratisation process," the report said.
The think-tank warned that moves to extend the import ban could have a serious impact on Burma's economic recovery by hindering the growth of job-creating manufacturing industries.
The US has imposed an import ban on Burma (also known as Myanmar) since 2003, with the Burmese Freedom and Democracy Act renewed on an annual basis in an effort to pressure the government to continue its political and economic reforms.
Last week, however, the US Senate failed to agree the sanctions - which are now set to expire temporarily next month - in a row over funding for the extension of the African Growth and Opportunity Act (AGOA) which is part of the same bill.
But some reforms are underway, with financial and investment sanctions against the military regime in Burma having been eased by the US Obama administration to allow the first new US investment in the Asian country for nearly 15 years.
Before the Burma import ban was introduced, the largest exports to the US were garments, an industry that was providing employment to many people, the International Crisis Group report said.
It added the ban could skewer the oil-rich country's economy to potentially problematic extractive industries.
"At this stage in the reform process, it is indeed hard to see how retention by the US of its import ban could in any way serve the interests of the Myanmar people or assist the democratisation process," the report said.
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