Myan Ku Fund: EU Provides 5 Million Euros For Garment Workers

The European Union has announced the creation of a 5 million Euros emergency cash fund under the name “Myan Ku” to support thousands of Myanmar garment workers who have lost their jobs due to the COVID-19 pandemic.

As of end March, over 25,000 workers from more than 40 factories have been laid off as Myanmar’s garment industry grapple with the impact of COVID-19. It is estimated that out of the 700,000 garment industry workers in the country, 350,000 are at great risk of either being suspended without pay or losing their jobs permanently.

The Myan Ku Fund will provide direct cash transfers to affected garment workers employed in locally-owned, joint venture or foreign owned factories.

Ambassador, European Union to Myanmar, Kristian Schmidt said "All garment workers who has lost their jobs recently as a result of the Coronavirus crisis will be eligible for support under the Myan Ku Fund. We will work with the Trade Unions, with the factory owners, with the Myanmar Garment Association and with organizations in this area to find the workers who can apply to receive our support."

Myan Ku means “quick assistance” in Myanmar language. The cash relief will be disbursed through Wave Money to the eligible workers. Recipients will be selected in consultation with trade unions and local civil society organizations.

Ambassador, European Union to Myanmar, Kristian Schmidt said "We really hope this project can strengthen the work that the Government is already doing on rolling out social protection of workers across Myanmar."

The European Union has mobilized the Myan Ku cash fund through its Humanitarian Development Peace Nexus Response Mechanism (NRM) managed by UNOPS. In cooperation with Wave Money, the Myan Ku project will be implemented by SMART Textile & Garments to strengthen production standards and corporate social and environmental responsibility in the Myanmar garment sector.