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Arab News
2 hours ago
- Arab News
Why is the US easing sanctions on Myanmar's junta?
In a significant policy shift, the US last week announced the partial lifting of sanctions on Myanmar's junta. The new measures allow transactions involving Myanmar's central bank and certain state-owned enterprises, including Myanma Oil and Gas Enterprise. The move came shortly after news that Myanmar's top general had written to President Donald Trump, expressing optimism for improved relations. US officials clarified there was no connection between the sanctions decision and the letter. Nevertheless, the timing and scope of the changes merit close examination, especially considering their impact on the ongoing civil war, the Rohingya crisis and broader regional dynamics. Myanmar remains locked in a violent civil conflict that erupted following the 2021 military coup. Resistance movements — including the national unity government and various ethnic armed groups — have gained significant momentum across the country. The military regime has responded with airstrikes, mass arrests and the restriction of humanitarian access, particularly in contested areas. Against this backdrop, sanctions targeting Myanmar's central bank and the Myanma Oil and Gas Enterprise had served as a key element of international pressure, restricting the regime's access to foreign currency and limiting its ability to finance military operations. The easing of these restrictions comes at a moment when the junta is under increasing pressure on the battlefield and in international forums. Supporters of the policy change point to the need for humanitarian flexibility and concerns over unintended consequences in the region's financial sector. Several banks in Southeast Asia had reportedly begun derisking operations involving Myanmar, making it harder for aid organizations and third-party financial institutions to operate. The updated policy aims to mitigate those effects while continuing to target individuals and entities directly involved in abuses. The policy shift has important consequences for the Rohingya, who remain some of the most vulnerable people in Myanmar. An estimated 600,000 Rohingya still live in Rakhine State under conditions of extreme repression, while nearly 1 million remain in refugee camps in Bangladesh. Humanitarian agencies continue to report that access to food, medicine and aid in northern Rakhine is severely restricted. A recent report by the Burmese Rohingya Organisation UK detailed the use of starvation as a weapon of war in Rohingya areas, with dozens already reported dead from hunger and lack of medical care. Lifting some restrictions on financial transactions with state-owned enterprises does not directly address this crisis, but observers hope it could open new diplomatic channels and enable greater international engagement on humanitarian access. It also comes at a time when international aid to the Rohingya refugee camps in Bangladesh is declining sharply. With funding cuts and a deteriorating situation on the ground, any policy that could improve coordination or unlock new avenues of support is being closely watched by humanitarian actors. Any policy that could improve coordination or unlock new avenues of support is being closely watched by humanitarian actors. Dr. Azeem Ibrahim The easing of sanctions may also reflect evolving geopolitical realities. Myanmar sits at a crucial crossroads between South Asia, Southeast Asia and China. For years, Beijing has deepened its influence in Myanmar through infrastructure projects and strategic partnerships. Any steps that reduce Myanmar's economic dependence on China or open space for engagement with international actors may serve broader regional objectives. In addition, restoring limited financial access for Myanmar's central institutions could support nongovernmental and cross-border aid flows, allowing for greater humanitarian flexibility in areas not under junta control. A careful calibration of sanctions may be part of a broader strategy to preserve humanitarian space while maintaining pressure on the military leadership. Neighboring countries such as Bangladesh, Thailand and India will be watching these developments closely. Bangladesh, in particular, is bearing the brunt of the regional fallout, hosting hundreds of thousands of Rohingya refugees for more than seven years. With international support decreasing and no immediate solution in sight, Dhaka has repeatedly called for renewed efforts to facilitate the voluntary, safe and dignified repatriation of the Rohingya to Myanmar. If the policy shift from Washington signals a potential diplomatic opening, it could also reinvigorate discussions around the role of the Association of Southeast Asian Nations and other regional actors in supporting a political settlement. Malaysia and Indonesia have pushed for greater engagement on Myanmar within ASEAN, while other states have emphasized noninterference. A more flexible US posture could help bridge these differences and encourage coordinated regional approaches. The US decision to lift certain sanctions on Myanmar represents a notable recalibration of policy. While the full consequences remain to be seen, the move creates space for potential humanitarian and diplomatic gains. The civil war continues to evolve and new approaches may be needed to address the complex realities on the ground. Going forward, it will be important for Washington and its partners to maintain clear conditions and expectations regarding human rights, access to aid and political inclusion. By carefully managing this new phase of engagement, the international community can continue to support the people of Myanmar — including the Rohingya — in their pursuit of peace, dignity and justice.
Arab News
2 hours ago
- Arab News
Bangladesh secures 20 percent US tariff for garments, exporters relieved
DHAKA, KARACHI, AHMEDABAD: Bangladesh has negotiated a 20 percent tariff on exports to the US, down from the 37 percent initially proposed by US President Donald Trump, bringing relief to exporters in the world's second-largest garment supplier. The new rate is in line with those offered to other major apparel-exporting countries such as Sri Lanka, Vietnam, Pakistan and Indonesia. India, which failed to reach a comprehensive agreement with Washington, will face a steeper 25 percent tariff. Trump put steep tariffs on exports from dozens of trading partners, including Canada, Brazil, India and Taiwan, ahead of a Friday trade deal deadline. • India faces higher 25 percent tariff on apparel shipments. • Pakistani exporters cautious about impact of 19 percent tariff. The outcome secured by Bangladesh — home to a $40 billion apparel export sector — reflects careful negotiation, said Khalilur Rahman, national security adviser and lead negotiator. 'Protecting our apparel industry was a top priority, but we also focused our purchase commitments on US agricultural products. This supports our food security goals and fosters goodwill with US farming states,' Rahman said. Muhammad Yunus, the head of the country's interim government, called it a 'decisive diplomatic victory.' The readymade garments sector is the backbone of Bangladesh's economy, accounting for more than 80 percent of total export earnings, employing about 4 million workers, and contributing about 10 percent to gross domestic product. The prospect of higher US tariffs has rattled Bangladesh's ready-made garments industry, which fears losing competitiveness in one of its largest markets. 'While the 20 percent tariff will cause some short-term pain, Bangladesh remains better positioned than many of its competitors,' said Mohiuddin Rubel, additional managing director at Denim Expert Ltd, which makes jeans and other items for brands including H&M. Exporters in neighboring India said the relatively higher tariffs levied would hurt the country's textile exports, as its competitors like Bangladesh, Vietnam and Cambodia got lower tariffs. 'We are hoping that the tariffs will be rationalized. We will have to recalibrate our strategies depending on the final tariff imposed, said Chintan Thakker, chairman of industry body ASSOCHAM in the state of Gujarat, a major apparel exporter. 'Devil will be in the details' Pakistan, which exported about $4.1 billion worth of apparel to the US in the 2024 fiscal year, secured a tariff rate of 19 percent, but industry figures were cautious about the immediate impact. 'Considering India's lower production costs and the likelihood of it negotiating reduced tariffs in the near term, Pakistan is unlikely to either gain or lose a meaningful share in the apparel segment,' Musadaq Zulqarnain, founder and chair of Interloop Limited — a leading Pakistani exporter. 'If the current reciprocal tariff structure holds, significant investment is likely to flow into DR-CAFTA countries and Egypt,' he said, referring to a trade agreement between the US and a group of Caribbean and Central American countries. Elsewhere in South Asia, Sri Lanka also secured a 20 percent tariff rate from the US, which accounted for 40 percent of its apparel exports of $4.8 billion last year. 'The devil will be in the details as there are questions over issues such as trans-shipment, but overall it's mostly good,' Yohan Lawrence, secretary general of the Joint Apparel Associations Forum, a Sri Lankan industry body, told Reuters.
Arab News
3 hours ago
- Arab News
Pakistani opposition alliance says government trying to ‘eliminate' rivals, calls for joint strategy
ISLAMABAD: A coalition of prominent Pakistani opposition leaders on Friday called for a unified political strategy to address what they described as a systematic effort to eliminate dissent, condemning recent convictions related to the May 9, 2023, riots and rejecting the legitimacy of the 2024 general elections. The two-day multiparty conference was convened by the Tehreek-e-Tahafuz-e-Ayeen-e-Pakistan (TTAP) — or Movement for the Protection of Pakistan's Constitution — a newly formed alliance of politicians, lawyers and civil society leaders advocating for constitutional supremacy and civilian rule. Established earlier this year, TTAP is chaired by veteran Pashtun leader Mahmood Khan Achakzai and held its gathering in Islamabad at the residence of former senator Mustafa Nawaz Khokhar, who said the capital administration had attempted to block the event by sealing off its original venue. 'There is a clear attempt to eliminate the opposition in this country,' Khokhar said toward the end of the gathering, adding: 'All parties at the conference unanimously agreed that a comprehensive and joint strategy is urgently needed to steer the country out of this crisis.' The conference condemned the convictions handed down to the leaders and supporters of the country's jailed former Prime Minister Imran Khan's Pakistan Tehreek-e-Insaf (PTI) party over their alleged role in the May 9 unrest. The protests, triggered by Khan's brief detention by paramilitary rangers on corruption charges, turned violent, with attacks on military installations across the country. An anti-terrorism court in Pakistan convicted the leaders of the opposition in the National Assembly and Senate on charges of being involved in the unrest, though the PTI has frequently described such cases and convictions as politically motivated. The government, however, said all those who were sentenced were given fair trials within the legal and constitutional framework. 'Fair trials were conducted in the May 9 cases in accordance with the law,' Information Minister Ata Tarar asserted in a televised statement following the opposition alliance's news conference. 'The proceedings lasted two full years, during which the prosecution presented its arguments and evidence.' The multiparty conference participants also denounced the imprisonment of Khan and his wife, Bushra Imran, and demanded their immediate release. The declaration agreed at the gathering also accused the government of 'fascism and political victimization' and rejected the outcome of the 2024 elections as fraudulent. It also called for repealing the 26th Amendment, which curtailed judicial autonomy by expanding parliamentary oversight of appointments, saying it had undermined judicial independence in Pakistan, and expressed solidarity with six Islamabad High Court judges who had spoken out against institutional interference. Tarar, however, dismissed the opposition's assertions, saying the participants of the conference 'had neither arguments nor facts.' 'Whenever a foreign visit to Pakistan is about to begin, especially by a foreign head of state, such actions are taken to sabotage it and damage the country's economy,' he added, noting that the conference came just ahead of the Iranian president's visit to Pakistan on Saturday.
