Fierce fighting between the military and rebels in Rakhine state forces thousands to flee as key projects face delays.
Ongoing clashes between Myanmar’s military junta and the Arakan Army (AA) in western Rakhine state have displaced approximately 4,000 people, according to an aid worker’s report on March 5, 2025. The fighting, concentrated near the town of Kyaukphyu, is centred around a strategic port site backed by China, part of a broader effort to develop infrastructure under China’s Belt and Road Initiative.
Rakhine state has become a critical battleground in Myanmar’s civil war, with ethnic minority rebel groups and pro-democracy forces opposing the military junta that seized power in 2021. The military junta is facing increasing pressure from the AA, which controls key regions along the Bangladesh border. This conflict has caused widespread displacement, with around 15,000 people having been affected by the violence in the region.
Kyaukphyu, where China has pledged up to US$9 billion in investments, is home to a China-backed power plant, a natural gas pipeline, and a naval base. However, the port construction, which was initially a focal point of the project, has been delayed due to the ongoing conflict.
A local rescue committee representative, Aung Aung, confirmed that residents of 10 villages in the area have fled their homes to escape the fighting. The displaced people now face severe shortages of healthcare and essential supplies, with one local charity leader calling for urgent medical assistance.
The Myanmar junta and the AA continue to battle for control of the region’s lucrative infrastructure projects. As of now, more than 3.5 million people are displaced across Myanmar, with Rakhine state hosting over 500,000 of those individuals, according to UN figures.
