Myanmar: From “Prostitute Country” to “Scam Nation”?

By Myat Maw (translated and edited for MMNN)

Can Myanmar ever escape from its tragic destiny as a “Kyarr Phyan” — a scam nation built on deceit and greed?

General Aung San once warned that Myanmar might one day become a “Prostitute Country.” At the time, few understood the depth of his foresight. Looking at today’s reality, even that grim prophecy seems mild. What Myanmar has become today may be worse than what the General ever imagined.

After his time, the nation that once dreamt of unity and freedom gradually put on a crown of cruelty. Myanmar became infamous for one of the world’s gravest crimes — genocide — where people were killed merely for being of a different race, faith, or culture. The whole world looked on in disgust and disbelief.

Then, in 2019, a new law was introduced — the 3% Money Whitening Law, allowing black money to be “cleansed” simply by paying a 3% tax. Overnight, Myanmar became a haven for international scammers and money launderers, an investment paradise for those who live off deceit.

One prominent tycoon even declared:

“If Myanmar becomes a Scam Nation, our country will become rich.”

And with that logic, the nation’s leaders — including the State Counsellor, Daw Aung San Suu Kyi — were persuaded to approve the law. Though she privately admitted that many intellectuals might oppose such a move, she did not block it. The proposal, led by NLD MPs Daw Thet Thet Khine, U Tin Tun Naing, and Dr. Myat Nyan Soe, was passed — not because of widespread public support, but thanks to the backing of military and USDP legislators.

From that moment, Myanmar officially became a Scam Nation, earning global ridicule for the second time in its modern history.

Perhaps, then, Aung San’s “Prostitute Country” was too kind a metaphor. After all, prostitution may still evoke pity — but systematic scamming of one’s own people and the world earns only contempt.

Our neighbors tell a different story. Thailand, Vietnam, China, South Korea, and Japan — all once associated with poverty or exploitation — have reformed, modernized, and prospered.
Myanmar, by contrast, has squandered every opportunity since independence: expelling foreign entrepreneurs, seizing private industries, borrowing recklessly, defaulting on debts, and selling off its natural wealth. When resources dwindled, the elites turned to online fraud, black markets, and money laundering — the Kyarr Phyan economy.

Driven by greed and the craving for easy profit, Myanmar has fallen below even the “Prostitute Country” level — a nation now synonymous with deceit.

So, can Myanmar survive as a Scam Nation?

Consider Somalia — once torn apart by clan rivalries, now known globally for piracy and money laundering. Myanmar today seems to be following that same path. “Scam centers” have mushroomed, running online frauds and ransom schemes, just like in Somalia.

At this pace, Myanmar edges closer each day to becoming a failed state.
Recovery seems impossible. Only further decay lies ahead.

And as this tragedy deepens, the world will continue to hear — and mourn — the bad news from Myanmar.

After the 3% Money Whitening Law was enacted, the FATF (Financial Action Task Force) began taking measures against Myanmar in early 2020. As a result, Myanmar’s reputation in the global financial system collapsed.

Almost simultaneously, international crime syndicates began pouring into the country. Myanmar soon became one of the world’s largest online scam centers.

It was precisely because of this 3% law that scam networks found Myanmar so attractive. The law had been fiercely pushed by the military (Tatmadaw), the USDP, and certain NLD MPs — notably Daw Thet Thet Khine and U Tin Tun Naing — who lobbied hard, even against Daw Aung San Suu Kyi’s initial hesitation and international opposition. For this reason, repealing the law now would be extremely difficult.

When scam-driven money flooded the real estate market, cronies were the biggest winners. Property prices soared, and the government — particularly the State Administration Council (SAC) — benefited from collecting property taxes on this inflated wealth.

Myanmar’s leadership now appears to believe that the country can survive without rejoining the international community, relying instead on black money to build its economy. Under such thinking, the 3% Money Whitening Law remains firmly in place — ensuring that the Kyarr Phyan (scam economy) continues to thrive.

Even if the government suppresses scam operations at the borders — such as those in the infamous KK Park areas — domestic scam centers in Yangon are quietly taking their place. The SAC seems to accept this trade-off: by taxing scam-derived income under the 3% law, it can maintain a steady revenue stream.

Thus, Kyarr Phyan operations will not disappear — they will only expand within Myanmar.
And Yangon, now the “capital of the Scam Nation,” will continue to see property prices rise and its economy driven forward by the power of deceit.

Editor’s Note:
The views expressed by the author reflect a widespread public concern over Myanmar’s deepening economic distortion, the moral decay caused by legalized corruption, and the lasting damage from policies that encouraged black-money circulation. MMNN publishes these commentaries in good faith to promote open civic reflection and dialogue on the nation’s economic and ethical direction.

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