The political impasse between an entrenched military regime and a restive civilian opposition that followed the massive demonstrations and protests throughout Myanmar in 1988 remained unresolved at the end of 1990. Despite the holding in May of the first multi-party general election for thirty years, with victory by its most outspoken critics, the National League for Democracy (NLD), the State Law and Order Restoration Council (SLORC) government remained in an apparently unassailable position. But faced with sporadic protests and other expressions of discontent and alienation, the military's ability to develop a new and publicly acceptable political order appeared uncertain. In the meantime, however, the economic reforms begun in 1988 continued to gather pace, though without the clear policy guidelines which might have restored confidence more rapidly. In the midst of this domestic political and economic uncertainty, foreign economic and political pressures on the government were unrelenting from major Western governments including Japan, the United States, and the countries of the European Community, though relations with most neighbouring countries continued to be strengthened. The events of the year which have led to such a mixed and contradictory summary of the condition of Myanmar are easier to identify than the causes, which remain a subject of passionate disputation.

Domestic Politics and the Election

That the election would be the central political event of the year, holding the promise of the amelioration of the nation's major political problems, was the expectation of all. As the head of the government, General Saw Maung, said in a speech to an SLORC co-ordinating meeting on 10 January,

Despite widespread scepticism expressed inside and outside the country that elections held by the military could be “free and fair”, and that only an interim civilian government, as demanded in 1988, could be entrusted with election management, there was general agreement that the elections themselves were conducted honestly.