NAYPYITAW, MYANMAR

Naypyitaw: Desolation surrounded by dust

From abode of kings to the abode of killers - the capital of Myanmar remains one of the most bizarre cities in the world
Myanmar ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма Burma نايبيداو، ميانمار
Waiting for Godot

One of the most striking images from the military coup in Myanmar (formerly Burma) on the morning of February 1st, 2021, was the surreal yet genuine video of a fitness instructor leading an aerobics class on a roundabout, right in front of a military convoy that was gathering along one of the city’s expansive boulevards. This scene captured the oddity of Naypyitaw (often written as Nay Pyi Taw), a city that has puzzled both foreigners and locals since its establishment nearly 20 years ago. During my decade in Myanmar, I made numerous trips to Naypyitaw for business, and I’d like to share my insights, including co-authoring the first comprehensive real estate report on the capital.

Naypyitaw and its big bang formation

In November 2005, it was officially announced as the new capital of Myanmar. The name Naypyitaw translates to “abode of the king” in Burmese, which is quite unusual for a republic. Government employees were given just two months’ notice to relocate from Yangon, as all government offices and ministries were moved. Little consideration was given to the provision of shopping and entertainment, so the move was more in liking to the move of a barracks. Although construction began in 2002 with the involvement of at least 25 different firms, the project remained largely unknown to those outside the military. A lot of the work was conducted on a favour basis with wasteful resources being used to develop this white elephant of a city in exchange for lucrative concessions such as land plots or mining licences in other parts of the county. The military also forcibly relocated four villages to make way for the new city.

Critics have labelled it a vanity project, claiming it was solely the brainchild of then dictator General Than Shwe, who, with the assistance of his astrologers, supposedly predicted violence and natural disasters in Yangon. As a centrally planned city, Naypyitaw has been designed with a strict zoning system and a vast land area, making it less conducive to protests and even potential invasions. However, some more compassionate observers argue that its geographical location is logical, as it lies closer to the centre of the country. This reasoning holds some weight, considering Myanmar stretches over 2,000 kilometres, with Naypyitaw situated roughly halfway between the two largest cities, Yangon and Mandalay. Although the development of adjacent original town of Pyinmana could have served this purpose.

Chart: Population density of planned capital cities

Nay Pyi Taw Naypyidaw Burma Myanmar
Source: Picon Deed Research

Urban fragmentation as planning concept

Estimates suggest the area of the city covers around 7,000 square kilometres, which, if true, makes it four times larger than London. The population is said to be around one million humans, but verifying this is challenging due to the city’s vast size, and many “residents” likely spend more time in the bustling Yangon or other places. From my visits, the actual number seemed much lower when I observed the traffic and the few shoppers in the limited malls. Unless they are also counting the numerous buffalo you see all over the place. Even with a million people, the population density is remarkably low compared to other planned capital cities worldwide.

The city is divided into zones based on a rather peculiar functional approach, with significant distances between them. While the retail zone, featuring two modern malls, is somewhat convenient (a term not often associated with Naypyitaw) for visitors in the older hotel area, it is about 20 kilometres away for residents. A large area was designated for embassies, but most countries hesitated, with Bangladesh being the most eager, even planting a tree to mark its intention. All embassies remain in Yangon, although the European Union has opened a representative office in a hotel in the capital, not in the embassy zone.

As previously mentioned, the town of Pyinmana is located east of the capital and somewhat merges with it; due to Naypyitaw’s sprawl, it’s hard to tell where Naypyitaw begins and ends. Pyinmana itself is a gritty town typical of Myanmar and serves as an R&R retreat for those living in the pious capital. During my visits, including one stay in Pyinmana, it reminded me of the working-class area where Winston Smith had his secret affair in Orwell’s1984.

Hilton Nay Pyi Taw
Hilton Nay Pyi Taw
Naypyitaw
Relaxing by pool at Royal Naypyitaw hotel

The frustration of local and foreign businesses with Naypyitaw

Even during the reform period, conducting business with the heavily bureaucratic government required trips to Naypyitaw, forcing businesspeople to spend an entire day traveling to and from Yangon for meetings with officials. Often, there was no internet access along the way, rendering the day unproductive. One prominent businessman was so exasperated with the travel that he established an airline to connect Yangon and Naypyitaw. Certain functions, particularly investment-related activities, were moved back to Yangon, as the previous arrangement was hindering foreign direct investment and creating additional challenges for doing business in the country. Some multinational companies did set up operations in Naypyitaw, especially when dealing directly with the government, including well-known Japanese firms and some lesser-known Chinese companies. Access to government officials trumped the tribulations of living in Naypyitaw. These companies primarily occupied villas within hotel compounds, as there was a lack of available office space, except for a building managed by the Myanmar Chamber of Commerce.

The annual jamboree in Naypyitaw

One of the best times to visit was in September during the annual The Euromoney Myanmar Global Investment Forum, which spanned one and a half days at the spacious conference centre and attracted over 1,000 attendees from both local and international backgrounds. It provided a great opportunity to connect with the business community, especially since the city itself offers few distractions. Hotels were fully booked, and for several years, the biggest question was where to gather in the evening after the first day. We often found ourselves searching for one of the few events happening at the hotels, with the cigar and whiskey club (neither of which I enjoy) being the main attraction in town. I managed to convince my British Chamber of Commerce to host an event, which became a popular highlight for a couple of years until the coup ended the annual conference.

Naypyitaw Myanmar ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма نايبيداو، ميانمار Euromoney Myanmar Global Investment Forum colliers Tony Picon
Speaking at Euromoney Myanmar Global Investment Forum
British Chamber. Tony Picon Colliers CIM Euromoney Myanmar ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма نايبيداو، ميانمار Myanmar Global Investment Forum naypyitaw
Speaking at British Chamber reception in Naypyitaw

Yangon to Naypyitaw - The Death Road

A newly constructed motorway (toll road) connects Yangon to Naypyitaw, stretching 200 miles. At the 115-mile mark, there’s a bustling rest stop featuring numerous restaurants and even a hotel. The drive typically takes around four hours by car. However, trucks are prohibited on this road, while coaches are permitted, forcing heavy traffic from Yangon to Mandalay to use the older route, which leads to significant congestion. Consequently, the new motorway remains largely empty, highlighting decades of mismanagement by the military. Additionally, the road is poorly built, consisting only of concrete without any tarmac. Given the high speeds at which many vehicles travel along its desolate stretches and the numerous potholes, fatal accidents are unfortunately common.

Trains operate between Yangon and Naypyitaw, as well as to Pyinmana, but there is no public transport available. The international airport is rather dismal, primarily serving domestic flights to Yangon, with flight frequency being sporadic due to fluctuating demand. Once again, the lack of public transport was clearly overlooked during the capital’s construction. Most of the time, we travelled by car or coach arranged for conferences and occasionally flew when I had a last-minute government related business.

Challenging ways to get home in Naypyitaw

Naypyitaw offers some unique challenges when it comes to getting home. Unlike many cities, there is no public transport, and while motorbikes are common, they are technically banned, similar to the situation in Yangon where the rules are more strictly enforced. I recall a memorable visit I made back in 2013 when Naypyitaw hosted the regional World Economic Forum. I was fortunate enough to get a ticket, but I struggled to find accommodation in Naypyitaw itself and ended up staying in Pyinmana, about 25 kilometres away. On the second night, there was a large event hosted by then-president Thein Sein. After leaving the event around 11 PM, dressed in my suit, I discovered that the coaches provided for attendees only went to the hotel zone in Naypyitaw. It was also drizzling. I found myself surrounded by police, and the few taxis available had already finished for the night. Just then, a motorbike taxi approached to offer me a ride. However, as I was negotiating the fare, the police intervened and stopped the driver. I calmly explained to the officers that their actions would force me to walk in the rain for about 5-6 hours in my suit at that hour. A few minutes later, the police arranged for a car, pulling a young person out of the back seat, and instructed the rather dazed driver to take me back to my hotel. Hasten to say I did pay him the taxi fare for his efforts.

Haven for dark tourism

The city features wide boulevards and highways that are still almost empty, along with extravagant roundabouts that collectively might be the most intriguing attraction. There are several museums, but it’s unclear who would actually visit them unless a local is stuck waiting for a government official or return trip back. Additionally, the city offers little in terms of day trips or activities. The most interesting traditional tourist site is likely to be the  Uppatasanti Pagoda, reminiscent of the revered Shwe Dagon Pagoda in Yangon, and the best part is that you can enjoy it all to yourself!

On my first business trip, when technically foreigners weren’t allowed to visit despite having a meeting with one of the officials, our car halted right in the middle of the 20-lane highway. We all got out and took a picture of our small delegation, cheekily standing in line. During that 10-minute photo session, only a few cars passed by, carefully maintaining a distance of six or seven lanes from us.

The government buildings appear impressive from a distance, but during a meeting in the parliament complex, it became evident that much of the construction is poorly done, with large cracks appearing in the buildings after just two decades. You have plenty of time to observe these cracks, as waiting is the norm in Naypyitaw. Whether you’re waiting for a minister or another official, or just for the country’s eventual promises, patience is key. During a suddenly called meeting with a ministry, an engineer from Jakarta spent a week traveling from there to Singapore, then to Yangon, and finally to Naypyitaw, only to return the same way and sit quietly at the back of the meeting like the rest of us.

Uppatasanti Pagoda naypyitaw
Uppatasanti Pagoda
parliament complex Naypyitaw
Parliament Complex

Slowly evolving real estate landscape

Most residents are employed in government-related jobs, and in a somewhat dystopian manner, the apartment buildings have roofs that are color-coded based on the ministries and roles of their inhabitants. For instance, those working in the Ministry of the Environment have appropriately green roofs. These residences are somewhat detached from the rest of the city’s activities, and if you’re looking to encounter more than a handful of people in a square kilometre, your best bet is to visit the two malls in the old hotel zone. Junction Nay Pyi Taw stands out as the best option, featuring a good selection of shops and dining spots, along with a well-stocked supermarket. A short walk away is the Capital Hypermarket, which, while smaller, also has a few shops and eateries nearby. There are some smaller malls scattered throughout Naypyitaw, but they are considerably less appealing.

Naypyitaw Myanmar ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма نايبيداو، ميانمار retail
Junction Nay Pyi Taw shopping mall
Zalat War Plaza Naypyitaw Myanmar Burma ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма نايبيداو، ميانمار
Zalat War Plaza

Naypyitaw: Hotel Zones, Quiet Retreats, and Lonely Luxury

There are several hotel zones, but the original one features more affordable, non-branded properties. The newer hotel zone has taken the spotlight, showcasing well-known brands like Hilton, Kempinski, M Gallery, and Park Royal. As is common in the capital, these hotels occupy large plots of land, with many rooms designed as villa-style accommodations or low-rise buildings. Guests often need buggies to travel from the reception to their rooms. Some of the enormous lobbies can remind one of the eerie atmosphere from the 1980s horror film The Shining. On the bright side, staying in one of these hotels can offer a serene escape from the bustling city of Yangon. I even spent a couple of nights in the old hotel zone the weekend before a conference. The soothing sounds of crickets and lounging by the pool were the highlights of that relaxing getaway, although I did miss the presence of other people.

Before the coup, the lack of amenities for foreign residents was gradually improving, as the government recognized that hospitals and schools are essential for diplomats moving to the area. During my last visit in 2019, we toured an international school that had recently opened, though it only had a few students at that time. However, there was a positive outlook for its future. At that point, no international hospital had been established yet, but we believed it was only a matter of time before that changed.

Chart: Upper-scale hotel supply in Naypyitaw

Naypyitaw Myanmar ေနပြည်တော်၊ မြန်မာ เนปยีดอว์, เมียนมา ネピドー, ミャンマー 네피도, 미얀마 内比都,缅甸 Нейпьидо, Мьянма نايبيداو، ميانمار hotel supply
Source: Picon Deed Research

Will Naypyitaw survive?

Even during the optimistic period after Myanmar began its reform process, before the Rohingya massacre and the subsequent coup, the city was a source of both bemusement and amusement for foreign visitors. Constructed in a rather subpar manner, Naypyitaw evokes images of a dystopian environment reminiscent of 1984, as well as those videos depicting what might happen if humans suddenly vanished from the Earth. It always seemed that nature was eager to reclaim this artificial creation within mere hours.

In contrast, other more impressive new capitals, like Astana, start with a smaller central area and allow the city to expand outward as the population grows over time. The misstep with Naypyitaw was to build a city designed to accommodate around 10 million people from the outset, while it currently houses only a few hundred thousand at best. The result is a city that feels like one of the most alien inhabited places on the planet. As long as the military retains official power in the country—despite losing effective control over much of it—the capital will persist, potentially serving as the last stronghold before the military is ultimately defeated. If a new civilian-led regime takes over, it’s hard to envision all functions returning to the congested Yangon, so Naypyitaw may continue as the capital, albeit with its unrealistic expectations significantly dialled back.

I was once speaking at a small conference involving some government officials and I quipped that if you are unable to get to Pyongyang in North Korea, Naypyitaw would make a decent alternative. The officials shot me some very disapproving looks.

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