Thailand's largest industrial estate developer, Amata has paused work on $1 billion project in Myanmar due to fears that the military coup and possible international sanctions will drive investors away from the country.
The project which is on the 2,000-acre industrial complex outside Yangon had just started in December will be paused including a new power plant according to the chief marketing officer Viboon Kromadit.
"We and our clients are concerned about a possible trade boycott by Western countries. It's very likely to happen, particularly from the U.S. and the EU. And if that happens, new investment in Myanmar will definitely be badly affected. Amata had no choice but to take a "wait and see" approach to the situation, "said Viboon.
"COVID has hit us very hard. Now the coup has worsened the situation and that has made investors to wait and see. We as a land developer have to wait and see as well."
Several other multinational companies have suspended operations due to the military coup while trading on the local stock exchange has been disrupted.