Thein Sein reshuffles Cabinet to strengthen national reforms

President Thein Sein has reshuffled nine of his Cabinet ministers and appointed 15 new deputy ministers, a statement from his office said.

The reshuffle is seen as the biggest change in the Myanmar government since Thein Sein, who has said that he would leave behind those against reforms, took over last year.

The transfer of ministers Soe Thein, Aung Min, Hla Tun, Tin Naing Thein and Kyaw Hsan may have been prompted by their slow response to Thein Sein’s call for reforms.

The President's Office has appointed four more union ministers, bringing the number to six in total.

The Cabinet reshuffle left vacancies in the Rail Transportation, Finance and Revenue, Labour, Social Welfare, Relief and Resettlement, Hotels and Tourism, Science and Technology, National Planning and Economic Development and Culture ministries.

Democratic reforms since Thein Sein took power last year have prompted Western nations to ease sanctions and galvanised lawmakers to focus on economic growth after about five decades of military rule left Myanmar disconnected from the global financial system. The president, who has freed political prisoners, allowed greater media freedom and held peace talks with rebels, is seeking to create jobs before elections in 2015. “It shows very clearly a strengthening of the president’s reformist agenda,” Thant Myint-U, an author of two books on Myanmar, said on Monday by phone from Bangkok. “It’s also notable that a lot of the reshuffle has been around economic positions. That shows the focus the president has on reforming the economy.” Myanmar dismantled a fixed exchange-rate in April and parliamentarians are revamping laws to attract investors to the country of 64 million people, attracting companies such as Coca-Cola and Visa. The nation’s economy may grow as much as 8 per cent a year over the next decade as inflation remains low and the government increases trade ties with neighbours China and India, the Asian Development Bank said in an August 20 report. The near-term outlook for the economy, which is 1/10th the size of neighbouring Thailand, is “relatively upbeat” because of higher foreign investment and commodity sales, the ADB said. Myanmar’s per capita gross domestic product is less than 10 per cent that of Thailand, according to International Monetary Fund estimates. US President Barack Obama last month authorised US companies to invest in Myanmar for the first time in about 15 years. Thein Sein met Secretary of State Hillary Clinton at a July 13 business forum in Phnom Penh that included representatives from Google, Goldman Sachs, Boeing and General Motors. Key ministers who have worked closely with Thein Sein have been moved into his office, said Thant Myint-U, a former United Nations official whose grandfather, U Thant, was UN Secretary- General from 1961 to 1971. It’s also a “good sign” that many key deputy-minister positions have been filled by technocrats and academics, he said. 

Aung Kyi, the former labour minister, will head the information ministry, replacing Kyaw Hsan, who will be moved to the ministry for co-operatives, according to the statement. Ohn Myint, the former minister for livestock, fisheries and cooperatives, will oversee livestock and fisheries only. Sat Aung, an adviser to the president, will become a deputy minister for economic planning. 

“The fact that four ministries that are key to reforms are becoming key posts in the presidential office is a positive sign for the country’s democratic transition,” Min Thu, a lawmaker from former political prisoner Aung San Suu Kyi’s National League for Democracy, said by phone. 

“We also welcome Aung Kyi who has become a minister of information, since he has dealt with Daw Aung San Suu Kyi as a liaison minister during the military regime and has good experience dealing with the public.”