Recent growth in Myanmar was strongly driven by performances in gas production, services, construction, foreign direct investment, and commodity exports. Economies do sometimes experience rise in inflation, especially when in transition, and is always a cause for concern since it hurts the poor disproportionately. According to the World Bank office in Myanmar, inflation averaged 2.8 percent last year, sharply rising to 5.8pc in the 2013-2014 fiscal year.
Khwima Nthara, senior country economist of the World Bank said “the two main drivers of inflation are the insufficient domestic rice supply resulting from flooding, and an increase in the money supply for domestic credit to the private sector”. Several other economists have anticipated further inflationary pressure and advise the government to control money supply.