Economy Guide in Myanmar

The Cost of Living Index is 36.9, indicating very affordable costs compared to NYC. Groceries (38.5) and restaurant prices (16.2) are particularly low.

The property price to income ratio is 20.8 years, suggesting a very expensive housing market for buyers. The rent index is 10.0, indicating relatively more affordable rental options.

With a purchasing power index of 22.0, average incomes are very low, resulting in significantly reduced buying power compared to NYC.

Myanmar has a progressive personal income tax system ranging from 0% to 25%, with the first MMK 2,000,000 of taxable income being exempt. Corporate income tax is generally 22%. A commercial tax is applied to specific goods and services, rather than a general VAT. Tax laws are subject to frequent updates.

Myanmar was ranked 165th out of 190 economies in the World Bank's 'Doing Business 2020' report. While a startup ecosystem is developing in Yangon, the overall regulatory environment is evolving, and businesses face significant challenges including political instability and a complex framework.

Myanmar's social security system, administered by the Social Security Board (SSB), primarily covers formal sector employees for health, maternity, and occupational injury benefits. However, a large portion of the population lacks adequate social protection. Public healthcare is basic and often requires out-of-pocket payments, with quality concerns and recent damage to infrastructure. Pension schemes for the private sector are largely unimplemented, though a universal social pension for those aged 85 and above exists.

Deposits are protected by Myanma Insurance up to 60% of the sum insured, with a maximum coverage of MMK 1,000,000 per depositor, equating to approximately USD 286. The banking sector is underdeveloped and has experienced significant instability, including cash shortages and withdrawal restrictions, exacerbated by recent political events. The Central Bank of Myanmar regulates the sector but faces challenges in maintaining stability.