Myanmar Wins Over More Old Foes

PATRICK BARTA
The Wall Street Journal
January 17, 2012

U.S. Senate Minority Leader Mitch McConnell, who has introduced legislation sanctioning Myanmar each year since 2003, met with opposition leader Aung San Suu Kyi in Yangon and praised the country's government for reform measures, which have included reducing restrictions on the Internet, allowing trade unions and legalizing the main opposition party.

"There is, however, as everyone knows, much left to be done," he said, the Associated Press reported. Among other things, he said the U.S. would like to see a further easing of tensions with ethnic insurgent groups, as well a truly free and fair vote in the parliamentary by-election scheduled for April 1.

The U.S. announced Friday it would resume full diplomatic relations with Myanmar, following its release of scores of high-profile political prisoners after years of pressure from Western leaders. But it is widely assumed the U.S. won't consider more-dramatic steps—such as lifting the sanctions that block most American investments in the country—until after it sees the results of the April 1 elections, which are being held to replace a few dozen parliamentary seats that were vacated last year.

Other countries, though, are already moving ahead. Norway said in a statement Saturday it would end a late-1990s policy officially discouraging investment in Myanmar by Norwegian companies. Though not a prohibition, the policy did deter many businesses, and its lifting is a sign that more and more countries are viewing Myanmar's latest changes with favor.

Less than a week earlier, Australia said it was removing some Myanmar citizens from a list of individuals subject to financial and travel restrictions, though it retained an arms embargo against the country.

Norway, though not a member of the European Union, said it will continue to follow EU sanctions, which include an arms embargo as well as restrictions targeting a few industries, such as timber and gems. Those sanctions are expected to come under review later this year.

"The change in Norwegian policy is a signal to the government of Myanmar that reform pays," said Norwegian Foreign Minister Jonas Gahr Støre "The country needs trade and investment in order to create jobs, promote development and reduce poverty. Better standards of living will also help to propel further democratization. Norway will therefore no longer urge Norwegians not to trade with or invest in Myanmar."

Mr. Støre's staff said he was planning his own visit to Myanmar later this month to evaluate conditions on the ground. A person familiar with the Norwegian policy change said that a number of the country's companies, notably in the energy sector, were eager to invest in Myanmar, but that this didn't drive the decision.

French Foreign Minister Alain Juppé, in Myanmar this week, said Monday that France and the EU would respond "positively and in concrete terms to the significant gestures" from Myanmar's government. He also announced an increase in bilateral aid.

"We will lift sanctions step by step at the pace of the progress of democratization and liberalization of the regime here in Burma," he said, using Myanmar's colonial name.

Myanmar's government is accused of widespread human-rights violations, including violence against ethnic minorities in areas close to the borders with China and Thailand. But a new administration that took power last year following the country's first elections in 20 years has tried hard to win over Western governments by implementing many of the reforms sought by the international community, and even some human-rights advocates have said they support some rewards for the Myanmar government.