Yearender: Myanmar new gov't prioritizes peace efforts while proactively tackling stumbling blocks

Myanmar's new government led by the ruling National League for Democracy (NLD) has prioritized its peace efforts since taking office on April 1, but has been met with some setbacks in the latest peace-related developments and efforts are being made to overcome difficulties and challenges.

State Counselor Aung San Suu Kyi came out and personally handled the domestic peace issue, reforming the former Myanmar Peace Center with a new National Reconciliation and Peace Center (NRPC) and the Union Peace Dialogue Joint Committee (UPDJC), with herself as the chairperson of both bodies.

Aung San Suu Kyi changed and laid down some policy dealings with a peaceful approach, assigning Dr. Tin Myo Win to head a Preparatory Committee to hold the 21st Century Panglong Conference last August-September after agreeing with eight signatory armed groups to the Nationwide Ceasefire Accord (NCA).

Suu Kyi outlined the policy guidelines for the peace process which included allowing non-signatory groups to the NCA to join the Panglong Conference, relaxation of restrictions on inviting political parties that do not hold a parliamentary seat to the conference, and functions of the NRPC in dealing with international donors and their assistance to the peace process.

Before the holding of the conference, Aung San Suu Kyi held talks with representatives of non-signatory armed groups to the NCA in Yangon on July 17 and then a review of political framework was made in early August.

On the ethnic side, a three-day ethnic summit was arranged to be held in Mine Kyar Yan in Kachin state, controlled by the Kachin Independence Army (KIA) on July 26 to lay down a common stance in preparation for attending the government-sponsored 21st Century Panglong Ethnic Conference.

The 21st Century Panglong Ethnic Conference was successfully held as scheduled in Nay Pyi Taw, and ended with participants agreeing to find solutions through coordination and discussions towards the goal of achieving peace under the guideline of the Nationwide Ceasefire Accord (NCA) and the establishment of a democratic federal union.

The four-day conference called for the prompt implementation of peace without delay and the coordination of diversified stances, and opinions were expressed at the conference.

Aung San Suu Kyi called the event a part of the peace process, stressing the need for constant efforts to keep up the momentum for peace and reconciliation.

In addition to agreeing to continue reviewing the framework for political dialogue and start the dialogue at a national level right after the conference, all participants expressed throughout the sessions their aspirations for peace in the country, agreeing to establish a union based on democracy and a federal system as envisioned in the Nationwide Ceasefire Accord (NCA) for peace building.

The 17 ethnic armed organizations present at the event included eight signatories and seven non-signatories to the Nationwide Ceasefire Accord (NCA), represented by the United Nationalities Federal Council (UNFC), as well as Mongla and Wa groups.

The first round of talks, the 21st Century Panglong Peace Conference, initially came to a close in September, with the second round of the Conference set to take place after six months and expected by February next year.

Before the coming into being of the second Panglong Conference, the first national-level political dialogue was originally scheduled for late November.

Regarding the peace process, the Myanmar government is making efforts to pave the way for non-signatory armed groups to the NCA to join and complete the signing before the national political dialogue starts.

For this, Aung San Suu Kyi has laid out the structure and work guidelines for the dialogues, setting the dialogue to begin in some regions and states that are ready to host them.

The government's Peace Commission and the United Nationalities Federal Council (UNFC)'s Delegation for Political Negotiation (DPN) have also held a framework review meeting for political dialogue in Yangon with the government agreeing to four out of eight points demanded by the UNFC, leaving the remaining four points for further negotiation.

Unexpectedly, during the course of peace efforts, military conflicts broke out in the border area of northern Myanmar's Shan state on Nov. 20, with an alliance of three non-ceasefire signatory ethnic armed groups launching simultaneous and surprise attacks on government military outposts and police stations in Muse and Kutkai townships as well as at the Muse border trade center .

The conflicts in northern Myanmar between the government forces and the combined forces, made up of the Kachin Independence Army (KIA), Ta'ang National Liberation Army (TNLA) and Kokang's Myanmar National Democratic Alliance Army (MNDAA), have produced a setback in the peace efforts.

The State Counselor's Office and the NRPC also expressed concern over the situation, saying that the conflicts may delay the peace process.

Suu Kyi reiterated her call on the armed groups in northern

Myanmar's conflict to join the government's peace process by signing the NCA to immediately end the conflicts.

She stressed that taking up arms to solve political issues causes protracted armed conflicts, adding that arms will not resolve issues nor bring about the desired goals of the people.

She maintained that the 21st Century Panglong Conference is the one and only way to end all armed conflicts and to establish sustainable, lasting peace.

Despite the incidents, the government is still keeping the door open to welcome all relevant stakeholders for participation in the peace process, she said, emphasizing that it is of paramount importance to sign the NCA to end all conflicts.

She asked the armed groups to work together with civil society to find ways and means to strengthen the monitoring mechanism that would ensure non-violation of the ceasefire agreement and to strive and work toward the goal of peace and take part on equal terms in the upcoming second 21st Century Panglong Conference to be held in February 2017.

On economic reforms instituted in the short period since the government took office in April, the government introduced a 12-point economic reform policy, which highlights means to attract foreign direct investment, job creation and financial sector development.

State Counselor Aung San Suu Kyi admitted that the country's economy grew slowly in the first six months of the new government's tenure, while facing the growing challenges to short-term macroeconomic stability. A combination of fiscal prudence, enhanced monetary operations, exchange rate flexibility and strengthened banking supervision capacity are required to cope with the challenges.

Meanwhile, the U.S. dollar exchange rate with the Myanmar kyat in local markets started to increase again since August and hit the highest in late November. The unstable foreign exchange rate and growing U.S. dollar demand called for attracting more foreign direct investment.

Accordingly, the government introduced the new investment law with its by-laws to be enacted in fiscal year 2017-2018.

The huge trade deficit also slowed the country's economy as it is a major cause for inflation and the government is making efforts to enhance its export sector.

The total trade deficit of Myanmar amounted to 3.264 billion U.S. dollars in the first eight months of this fiscal year 2016-2017 as of Nov. 25, while that of the same period of last fiscal year was 4.988 billion U.S. dollars.

Using the advantage of the U.S. lifting of sanctions in early October, Myanmar will improve not only the investment environment but also trade and financial transactions, local experts have maintained.

According to statistics, total foreign direct investments in

Myanmar in the first seven months of this fiscal year, as of

mid-November, stood at 2.061 billion U.S. dollars. Endit