Burma is currently in the research phase. Major general Zaw Min Tun said, “We are undecided whether we should do it as a joint venture with local companies or by the government alone[, but a CBDC] will help improve financial activities in Myanmar.”

Burma earned a 9 out of 100 in Freedom House’s 2023 Freedom in the World report. As Freedom House noted in the report, [issues] for [country]. The issuance or adoption of a CBDC in Burma could worsen these issues.

“Private discussion and personal expression—already constrained by state surveillance and laws inhibiting online speech—became more difficult following the 2021 coup,” according to Freedom House, “Upon taking power, the regime enacted sweeping revisions of existing legal code, removing several key human rights protections against arbitrary surveillance and banning online circumvention tools to evade surveillance.” The U.S. State Department further reported that “The regime regularly monitored private electronic communications through online surveillance; there were numerous reports that the regime monitored prodemocracy supporters.” Unfortunately, a CBDC could be used to greatly expand surveillance by putting financial records on government databases by default.

“Despite government initiatives aimed at curbing official corruption, it remains rampant at both the national and local levels,” according to Freedom House. For example, Freedom House reported that “After the February 2021 coup, the children of high-ranking military leaders allegedly attempted to use their connections to secure lucrative supply contracts and other kickbacks.” The existence of pervasive corruption is a major concern with CBDCs because it calls into question any promises that might be made by the government to limit surveillance, control, or other risks of CBDCs. Furthermore, the existence of corruption calls into question whether CBDC policies might be designed to exert political favoritism through subsidies, price controls, or other targeted restrictions.

For additional information on concerns regarding violations of human rights and civil liberties, see the following reports by Amnesty International, Financial Tyranny Index, Freedom House, Human Rights Watch, Privacy International, and the U.S. Department of State. For additional information on concerns regarding the risks of CBDCs, see the following webpage and report by the Cato Institute: The Risks of CBDCs and Central Bank Digital Currency: Assessing the Risks and Dispelling the Myths.

For additional information regarding metrics, the methodology page explains each of the data points and provides their respective sources.