U.S. eases economic sanctions to reward Burma
By ANNE GEARAN and MATTHEW PENNINGTON
WASHINGTON (AP) — President Barack Obama on Thursday declared a new chapter in U.S. relations with Burma (also known as Myanmar), easing an investment ban and naming the first U.S. ambassador to the former pariah state in 22 years to reward it for democratic reforms.
Burma’s reforms over the past year or so have seen it emerge from decades of authoritarian rule and diplomatic isolation, although it remains dominated by its military. Obama pointed to the parliamentary election of opposition figure Aung San Suu Kyi as a prominent example of progress in the Asian nation.
After meeting Burma’s Foreign Minister, Wunna Maung Lwin, Secretary of State Hillary Rodham Clinton said that the U.S. was suspending sanctions on American investment across all sectors of the Burma economy and export of financial services. She described it as the most significant action Washington has taken so far to reward Burma for its reforms.
“Today we say to American businesses, invest in Burma, and do it responsibly,” she told a joint news conference after talks with the foreign minister at the State Department. She said U.S. companies would be expected to conduct due diligence to avoid any problems, including human rights abuses.
Despite the easing of restrictions, U.S. companies would still be barred from doing business with firms associated with the country’s powerful military, and the White House announced it was keeping its framework of hard-hitting sanctions in place for now, saying Burma’s democratic reforms are still “nascent.”
“We continue to have concerns, including remaining political prisoners, ongoing conflict and serious human rights abuses in ethnic areas,” said a notification issued to Congress Thursday, signed by President Barack Obama.
Clinton described that as an “insurance policy.”
The move was welcomed by two Republican senators influential on Burma policy, John McCain and Mitch McConnell, who both met with Wunna Maung Lwin Thursday.
They said in a statement that it struck “an appropriate balance between encouraging the process of reform now unfolding in Burma, while maintaining sufficient leverage to continue pressing the Burmese government for additional progress.”
They also welcomed the nomination of Derek Mitchell, who will become the first U.S. ambassador to the country since 1990. Clinton urged his quick confirmation by the Senate. The U.S. is currently represented by a lower-level diplomat.
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