28 April 2026 By Moe Nya
YANGON, Myanmar — Shop.com (Shop App MM), a key component of the global Alibaba Group under Daraz, has announced its permanent exit from the Myanmar market. The move is being seen by economists as a definitive signal of the collapse of foreign direct investment (FDI) and the failure of the digital economy under the military administration.
Daraz Myanmar Company Limited confirmed on Monday that it will accept its final orders on 29 April 2026, ending over a decade of operations that once spearheaded Myanmar’s nascent e-commerce sector.
“ Industry analysts point to Myanmar’s crippling inflation and unstable exchange rates as the primary causes for the withdrawal. “In an environment where a product is sold for 10,000 Kyats today, but costs 12,000 Kyats to restock a week later, it is impossible for any structured international firm to sustain operations,” a Myanmar economic observer told MPA.
Alibaba acquired Daraz Group in 2018, turning Shop.com into the dominant platform in Myanmar. Its departure signifies that even Asian tech giants, which were previously seen as more resilient to local political shifts, are now finding the market unworkable.
The exit is expected to trigger a significant regression in Myanmar’s digital development. Experts warn that as structured platforms like Shop.com disappear, consumers are forced back into unregulated Facebook-based trading. “This effectively sets back the country’s digital economic progress by at least ten years,” the observer added.
Shop.com joins a long list of multinational exits since the 2021 coup, following Western and Japanese giants such as Telenor, TotalEnergies, Chevron, and ENEOS. Since the military takeover, more than 25,000 local and foreign firms have reportedly ceased operations or deregistered.
“When a global name like Alibaba pulls out, it sends a crystal-clear message to any remaining or potential investors: this market is no longer viable,” said a Yangon-based businessman. “This will be the biggest hurdle for future FDI. It’s no longer just about Western sanctions; it’s about the fundamental inability to conduct business.”
While Shop.com stated the decision was “difficult” and promised to honour all outstanding orders and payments, the broader implications remain grim. For the millions of users who relied on the app for secure transactions, the closure marks the end of an era of international-standard digital commerce in Myanmar.
With both Western capital and now major Asian tech footprints receding, economists suggest that Myanmar’s economic future is entering its most isolationist and volatile phase in recent history.
