Sri Lankan businesses in Myanmar are not affected in any way though businesses and analysts predict that the coup is likely to damage the country’s economy.
Companies say the coup has already put many billions worth of foreign investment at risk according to the BBC report.
Former President International Chamber of Commerce Tissa Jayaweera said that there are over 60 active Sri Lanka businesses in the banking, Micro Finance and import and export of motor vehicle businesses. In addition several Sri Lankans manage top hotels in Myanmar as well.”
He said that most of the businesses both local and foreign operating in Myanmar did have connections with the military even before the Coup and hence Sri Lankan and other foreign businesses would not be in any danger of being victimized. “only people with political links are targeted.”
Foreign Direct Investment (FDI) commitments into Myanmar were worth $5.5bn (£4bn) in the 2020 fiscal year, which ended in September.
However, with the US already considering sanctions against Myanmar due to the coup, these sanctions could have a significant effect on foreign investment, with both Western and Japanese companies thinking twice about projects in Myanmar.
One Yangon-based businessman, who asked not to be named, said he’s relieved that the coup so far appears to have been relatively peaceful. “So far it’s peaceful, without protests, but emotions are strong and people are upset,” he said. (SS)
