Financial Risk:
Critical
Score:
2/100
Asset Disposals
Q24
0/100
How effective are controls over the disposal of assets, and is information on these disposals, and the proceeds of their sale, transparent?
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Myanmar’s military government has quietly begun the largest sell-off of state assets in the country’s history, including more than 100 government buildings before transition…
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Although there is a directive on public procurement, ministries rarely comply with it [1]. In the Assessment of Country Public Procurement System, conducted by…
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There is no published information on the military’s process of asset disposal; as such, this indicator is marked ‘Not Applicable’. There is no public…
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Q25
0/100
Is independent and transparent scrutiny of asset disposals conducted by defence establishments, and are the reports of such scrutiny publicly available?
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Myanmar does not have a public procurement law that includes provisions for public asset disposal [1]. The bill was queued for debate in Parliament…
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This indicator is marked ‘Not Applicable’ as there is no oversight mechanism and the military has the right to administer its own affairs, according…
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This indicator is marked ‘Not Applicable’ as there is no oversight mechanism and the military has the right to administer its own affairs [1].
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Secret Budgets
Q26
0/100
What percentage of defence and security expenditure in the budget year is dedicated to spending on secret items relating to national security and the intelligence services?
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This percentage is not available to the public. The defence budget for each fiscal year is proposed to the Union Parliament. The defence budget…
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Q27
0/100
Is the legislature (or the appropriate legislative committee or members of the legislature) given full information for the budget year on the spending of all secret items relating to national security and military intelligence?
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There is no parliamentary committee tasked with directly overseeing these intelligence services [1]. MPs have criticised the fact that Parliament cannot effectively scrutinise defence…
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Q28
0/100
Are audit reports of the annual accounts of the security sector (the military and intelligence services) subject to parliamentary debate?
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The audit reports are not subject to parliamentary debate. It is doubtful that the annual accounts of the security sector are audited at all.…
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This indicator is marked ‘Not Applicable’ as security sector audit reports are not submitted to Parliament [1]. MP U Khin Cho said that there…
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Q29
0/100
In law, are off-budget military expenditures permitted, and if so, are they exceptional occurrences that are well-controlled? In practice, are there any off-budget military expenditures? If so, does evidence suggest this involves illicit economic activity?
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The Union Budget Law does not include provisions for off-budget military expenditures [1]. There is no law on off-budget military expenditures. In practice, off-budget…
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There is no law on off-budget military expenditures. In practice, off-budget expenditures may exist and involve illicit economic activity. Brigadier-General Zaw Min Tun, Secretary…
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Military-owned business groups such as MEHL and MEC enjoyed privileges and engaged in illicit business activity under the military junta [1]. Myanmar’s military has…
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Q30
13/100
Are mechanisms for accessing information from the defence sector effective?
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There is the Media Law, which was enacted in 2014 [1]. According to Article 6(a), the media is entitled to request news and information…
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This indicator is not assigned a score in the GDI. According to Article 6(a) of the Media Law, the media is entitled to request…
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The general public is rarely able to access information from the defence sector. For example, people are unlawfully arrested and detained by the military…
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Q31
0/100
Do national defence and security institutions have beneficial ownership of commercial businesses? If so, how transparent are details of the operations and finances of such businesses?
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According to the UN’s Independent International Fact-Finding Mission’s report, MEHL and MEC are military-owned business corporations that control a wide range of business activities.…
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The governance structure of MEHL and MEC lacks transparency and the net worth of these military-owned business corporations is very secret and not known…
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Military-owned Businesses
Q32
0/100
Are military-owned businesses subject to transparent independent scrutiny at a recognised international standard?
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Public scrutiny is not possible because MEHL and MEC do not release information about their financial status [1]. Both MEHL and MEC participated in…
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MP U Khin Aye, Chairman of the Pyithu Hluttaw Economic and Financial Development Committee, said that MEHL lacks transparency and has not paid tax…
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Illegal Private Enterprise
Q33
13/100
Is there evidence of unauthorised private enterprise by military or other defence ministry employees? If so, what is the government’s reaction to such enterprise?
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MEHL and MEC were transformed into public companies in April 2016. Before being transformed into public companies, these companies had two types of shares:…
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According to the UN’s Independent International Fact-Finding Mission’s report, MEHL and MEC are military-owned business corporations that control a wide range of business activities…
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Actual Military Spending
Q77
0/100
Is comprehensive data on actual spending on defence published during the budget year?
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There is an audit mechanism but it is only an internal mechanism used by the Account Department [1]. Myanmar’s military has its own audit…
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This indicator is marked ‘Not Applicable’ as no information is published on specific defence spending or even given to Parliament [1].
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This indicator is marked ‘Not Applicable’ as no information is published on specific defence spending or even given to Parliament [1].
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This indicator is marked ‘Not Applicable’ as no information is published on specific defence spending or even given to Parliament [1].
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