Sweden has announced it is phasing out development aid to Myanmar by June 30, 2026, to prioritize Ukraine.
Thursday’s decision, which follows the U.S. government’s earlier withdrawal of assistance, was described by rights groups as a devastating blow to Myanmar’s fragile civil society.
“Ukraine is Europe’s primary line of defense, and they are defending both their own freedom and ours. The restructuring of Swedish aid is therefore more important than ever,” said Minister of Development Cooperation and Foreign Trade Benjamin Dousa on Thursday as the government outlined its plan to end Myanmar development cooperation.
Sweden plans to increase military support to Ukraine to US $4.2 billion per year in 2026-2027 and boost annual civil support to Ukraine in 2026-2028 to at least $1 billion.
The Swedish government said the decision was also influenced by the worsening conditions for development cooperation in Myanmar since the military regime seized power.
Under the phase-out plan, Sweden’s aid agency Sida is allocated a maximum of $18 million in 2025 and $15 million in 2026 under existing agreements. By mid-2026, however, all development assistance will be terminated.
Humanitarian aid to Myanmar is not affected by the decision.
Sweden has been a longtime supporter of the pro-democracy movement and civil society in Myanmar, including independent media.
Human Rights Myanmar (HRM) warned on Friday that the move will cut $2.65 million per year in support for independent media and human rights groups, funding described as a “final and critical lifeline” for those resisting Myanmar’s military regime.
“The shock decision is a profound blow to Myanmar’s civil society, human rights defenders, and independent media,” the group said. It argued that the withdrawal undermines the international “do no harm” principle and sends a demoralizing signal to activists on the ground.
Sweden has provided around $176 million in development aid to Myanmar since the 2021 coup, with 42% going to emergency response, 10% to conflict resolution, nearly 8% to democratic participation and civil society, and the remainder to media programs and human rights, HRM reported.
It said the cuts will strip independent media of roughly $2.4 million annually and human rights groups of about $255,000, threatening the survival of entire organizations.
The back-to-back exits of the U.S. and Sweden—two of Myanmar’s most significant supporters in democracy and governance—leave civil society facing a deepening funding crisis, it said.
Rights group fear this will accelerate the collapse of independent reporting and human rights monitoring, eroding decades of capacity-building and leaving the military regime’s abuses less visible.
Human Rights Myanmar urged Sweden to conduct a rapid conflict-sensitivity assessment, extend the phase-out timeline, and develop a responsible transition plan. It also called on other donors, including the EU, UK, and Australia, to step forward to fill it.
Myanmar has been in turmoil since the military seized power in early 2021, toppling the elected civilian government and sparking mass protests that later escalated into a nationwide armed resistance.
Since the coup, the military regime has increasingly terrorized the population with atrocities, mass killings, indiscriminate bombings and arrests.
On Friday, the regime bombed a boarding school in Rakhine’s Kyauktaw township, killing at least 19 students aged 15 to 21.
According to the Assistance Association for Political Prisoners, the junta has killed more than 7,200 people and arrested over 29, 000 since the coup.
