| Abstract: |
This note discusses the significant risks facing microfinance institutions
(MFI) in Myanmar in the wake of the COVID-19 health and economic crisis and
the implications for poverty and food insecurity of a serious negative shock
to the MFI sector. The note is based on a desk review of the early policy
responses in Myanmar, of best practices identified by international and local
experts, and online discussions with leaders of MFIs operating in Myanmar. The
objective is to make policymakers aware of the crucial role MFIs play in a
wide range of economic activities in Myanmar, including food production,
processing, trade, and marketing. A serious disruption to the MFI sector has
the potential to: • Exacerbate food insecurity through damaging economic
resilience in the short-to-medium term, • Lower agricultural output in the
critical upcoming monsoon production season, and • Harm the potential for
microfinance to contribute to economic recovery. |
| Keywords: |
MYANMAR, BURMA, SOUTHEAST ASIA, ASIA, microfinance, Coronavirus, coronavirus disease, Coronavirinae, severe acute respiratory syndrome coronavirus 2, economic crises, food security, resilience, economic recovery, poverty, Covid-19, |