President Obama announced on Thursday, May 17, that “the United States will ease its bans on the exportation of financial services and new investment in Burma.” In a related statement, Secretary of State Clinton indicated that “[t]he United States will issue a general license that will enable American businesses to invest across the economy, allow citizens access to international credit markets and dollar-based transactions. So today, we say to American business: Invest in Burma and do it responsibly; be an agent of positive change and be a good corporate citizen; let’s all work together to create jobs, opportunity, and support reform.”
As of Friday, May 18, OFAC had not yet issued a general license to effectuate this easing of US sanctions, but the agency is expected to act shortly. The United States has not yet specified whether the general license(s) will have any restrictive provisions, conditions, or time limitations. Dealings with certain entities and persons who are Specially Designated Nationals and Blocked Persons (SDNs) are likely to remain prohibited due to sanctions imposed by specific legislation.
We will continue to provide updates on any new developments via this blog and client alerts.