When U Ne Win resigned from the chairmanship of the ruling Burmese Socialist Programme Party, and at the same time from active politics, it came as a total surprise to everyone except for a small inner circle of politicians whom he had informed of his move. Subsequent events, if not foreseeable in the way they actually took place, developed mostly in consequential steps. When the chairman of the State Law and Order Restoration Council (SLORC), Senior General Saw Maung, was temporarily relieved of his leadership positions in April 1992, this had already been speculated upon. The surprise came afterwards: a series of measures to improve the political climate. Although often dubbed as merely cosmetic, because the SLORC has not made any concessions in basic policy, the changes have nevertheless been substantial. At the same time, the suspended process of working out a new constitution has been set into motion again by con crete preparations for convening a national convention in January 1993. Most of the existing ten political parties under their present executive committees appeared to endorse the SLORC's efforts, thus giving formal support to what in the end is expected to be a rather strongly centralized system of government in which the Tatmadaw (Armed Forces) has continued influence. However, active SLORC oppo nents have insisted on their own plans for the future state, such as a federal system with a high level of decentralization for the armed forces, as proposed in the draft constitution of the Democratic Alliance of Burma (DAB). Reconciliation was never within reach in 1992, and does not seem likely in the near future. The economy grew more slowly, if at all, in fiscal 1991/92, although performance in fiscal 1992/93 may be better. Privatization had moved slowly, but accelerated in pace with the political reforms in 1992. Inflation has remained a major problem for the population, and the unrealistic exchange rate for the kyat, which at present holds obvious economic advantages for Myanmar, may have discouraged foreign business to some extent. Yet left to itself, with most foreign aid cut off, Myanmar was not in danger of an economic breakdown that some other nations experienced when switching from a socialist to a market economy.