Myanmar has incomparable natural endowment and has the capacity to generate ample of revenue. But the rulers economic mismanagement has transformed such an asset into a liability. Natural resources largely contribute to Myanmar’s GDP based on purchasing power parity of $93.8 billion and their export provides the generals with substantial revenue. Myanmar enjoys 34.4 million hectares of forest and produce yearly around 40 million cubic meters of wood, of which 35 per cent are teak. Myanmar’s hardwood mainly goes to China, India; respectively the world’s first and second largest importers of tropical logs, and Thailand. However, smuggling makes Myanmar’s hardwood exportations a particularly tricky flow to assess, as substantial gaps in volume is found between Indian or Chinese statistics and Burmese ones. Myanmar also tops gem production in Asia. It exports 90 per cent of the world’s rubies, 85 per cent of which end up going to western countries. Myanmar’s non-fuel mineral production also includes gold, iron and steel, as well as base metals.

The military government exerts tight control over foreign investment, since it cannot escape the channel of a joint-venture in which the government takes part. To this purpose, governmental companies, such as the Myanmar Oil and Gas Enterprise (MOGE), the Myanmar Timber Enterprise, several Mining Enterprises bear the charge of natural resources management. This process ensures that the generals enjoy most of the profit realized through exporting natural resources.  Two factors are mainly responsible for the mismanagement of Myanmar’s natural resources is
1. The unproductive legal framework,
2. And the junta’s open door policy.
 Inappropriate legislation that hinders private entrepreneurship shows the lack of political will beyond the perspective of personal enrichment. Myanmar’s improper laws also impact the environment. Very loose environmental legislation or ineffective enforcement of existing laws leads to large-scale spoiling of the environment. Major consequences of this environmental mismanagement will be faced in the long run, as in the case of riverbed destruction due to unmonitored irresponsible gold mining from the unproductive legislation, the general’s use of a source of hard currency has had the effect of an open door policy, attracting neighbors to unaccountably e country.

The most apparent manifestation of this ‘open door policy’ mainly revolves around natural gas and the competition over the junta knows how to balance and exacerbate its neighbors deepening reliance on natural gas. Such rivalry over natural resources brings virtually nothing to the common Burmese, whose working conditions are not well protected by law. In addition, countries that invest in or Import from Myanmar show little commitment to help and develop the local economy by, for instance, providing technology and expertise so that crude materials can be refined inside Myanmar, thereby creating added value.

Myanmar’s natural resources are a considerable asset. But over reliance on them and mismanagement burdens the economy. The military government has not been earnest in making wealth trickle down to the unskilled worker. However, the present state of the Burmese economy should soon force the generals to abide by sane economic principles and confer their citizens the right to get rich, in default of political rights.