ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Mandalay Region Chamber of Commerce and Industry (MRCCI) met up with officials from the US Embassy to discuss the strengthening trade ties and providing technical assistance

  Mandalay Region Chamber of Commerce and Industry (MRCCI) met a US delegation on Monday to discuss agricultural exports to the US, bilateral trade promotion and providing technical assistance at the MRCCI hall inside the Yadanarbon center, Mandalay Region. The chair of MRCCI and its executive members presented gifts to the delegation, led by the US Deputy Chief of Mission Mr George Sibley, and took commemorative photos. Afterwards, Sibley and his delegation visited the American Business Corner (ABC) at the MRCCI. That ABC was opened on 12 March, 2019 to assist businesses in Mandalay Region and strengthen trade ties between the US and Myanmar’s second city, Mandalay. Myanmar’s trade with the US was worth US$631.46 million during the Oct-April period, with $364.2 million in exports and $267.15 million in imports, according to the Commerce Ministry. Rice, various types of pulses, forest products, fish, prawns, apparel, garments produced with the cut-make-pack system and other finished industrial goods were shipped to the US. Meanwhile, Myanmar mainly imported personal goods, capital goods and industrial raw materials from the US.
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  The UK’s development finance institution, CDC made its first direct equity investment in Myanmar

  CDC, the UK’s development finance institution, has today announced its investment in Frontiir, the leading internet service provider in Myanmar. The investment will help fund Frontiir’s ambitious expansion throughout Myanmar, connecting over 2 million people to the internet, a press release said. Despite recent growth in Myanmar’s mobile broadband penetration, access to digital services is very low and presents a challenge for many communities and business development. Data usage remains unaffordable and even inaccessible in rural and low-income areas. Improving access to affordable and reliable internet is central to Myanmar’s development and economic growth, and a key part of UN Sustainable Development Goal # 9. Frontiir is already a large employer with over 1,600 staff: a large proportion of this would be young people under 30 years old. This investment will support its hiring of an estimated 4,000 additional employees.
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  Foreigner would be allowed to trade shares on the Yangon Stock Exchange (YSX) after October

  Foreigners will only be able to trade shares on the Yangon Stock Exchange (YSX) after October, U Thet Tun Oo, executive manager of the bourse, told The Myanmar Times. This is in spite of the Security Exchange Commission of Myanmar (SECM) announcing on July 12 that foreigners would be allowed to trade on the YSX but without specifying the date. YSX executive manager U Thet Tun Oo told The Myanmar Times that while the SECM has agreed in principle to allow foreign participation, details still need to be ironed out and that will take about three months. The actual date for foreign participation will be announced by the YSX. The Myanmar Companies Law allows foreign individuals and entities to hold up to a 35 percent minority stake in Myanmar companies without those firms losing the domestic registration required to be listed. To date though, the authorities have not implemented this law.
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  Myanmar Fishery Federation (MFF) made its movement to impose a ban on exporting small crabs due to the results in a crab shortage in the industry

  The Myanmar Fishery Federation (MFF) has pledged to the Ministry of Agriculture, Livestock and Irrigation that it will restore a ban on exporting crabs that weigh less than 100 grams (.22 pounds, or 3.5 ounces). U Win Kyaing, the General Secretary of the Myanmar Fishery Federation, said: “When it began allowing crab exports, the government did not adopt any restrictions or requirements. Because of this, exporters tend to import not only large crabs, but also smaller ones. This results in a crab shortage in the industry.” Previously, the government restricted the export of crabs weighing less than 100 grams. However, former President U Thein Sein’s administration relaxed all such requirements in order to encourage the crab exporters and producers, and to bring more crabs to the global market. However, this resulted in an increasing demand for crab, and has impacted the breeding of crabs as well.
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  Myanmar – Thailand Business Matching and Networking event held at UMFCCI in Yangon with the aim to promote the business ties between the two countries

  Myanmar–Thailand Business Matching and Networking event was held at UMFCCI in Yangon on Monday in order to promote the business ties between the two countries. A total of 40 business enterprises from the north east of Thailand and local enterprises displayed their products such as food and beverage, health care products and others for the trade promotion and investment development between the two countries. Assistant Professor, Loei Rajabhat University, Dr. Pichit Prapinit said “We are here to promote our products to the neighborhood customers. Since Myanmar is one of the members among CLMVT countries, our government also targets Myanmar to promote and expand our market to Myanmar as a priority. So we hope that the business tie between the two countries is expected to increase by trading local-made products with each other.” Currently, Thailand is the 2nd largest trading country and also 3rd largest investor in Myanmar investing in food and beverage, health care products and many other sectors. Vice President of UMFCCI pointed out that more efforts are needed for the export of local products to other countries.
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  Myanmar Investment Commission (MIC) approved USD $ 87 million a new commercial Center project in Yangon

  Myanmar Investment Commission has approved a new Commercial Center project, which will include a shopping mall, residential apartments and offices. The $87 million project will be developed by a Hong Kong-Myanmar joint-venture LESSO HOME Development (Yangon) Company. The project will be implemented on 80 acres of land at the corner of Yadanar Road and the Bago River in Dagon Seikkan Township. “The project will include parking space for over 1,200 cars. Moreover, people can visit and relax at the Shopping Mall,” said U Thant Sin Lwin, Acting Director General of Directorate of Investment and Company Administration. “Before approving a big investment proposal, we first looked at its potential impact on the environment,” he added.
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  Government demand more detailed documentation for investment proposals from the prospective investors starting from August 1

  The government has announced it will require more detailed documentation for investment proposals from August 1 following an investigation by The Myanmar Times into repeated transparency failures under the investment body. In a notification signed on July 18 but released on July 22, the Ministry of Investment and Foreign Economic Relations announced a series of changes to the proposal form (Form 2) and endorsement application forms to both the Myanmar Investment Commission (MIC) at the Union level (Form 4-a) and to regional and state investment commissions (Form 4-b). The changes will allow the ministry to scrutinise business proposals more effectively and with more information, the notification says. Under the new Investment Law which was enforced two years ago, regional or state commissions can approve proposals of up to US$5 million while any projects involving a higher amount will need a green light from the Union MIC.
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  Proximity Finance signed a Ks 5 million back to back funding agreement with Yoma Bank to expand micro-lending to smallholders

  Proximity Finance, the microfinance arm of Yangon-based Proximity Designs, a social enterprise outfit, has signed a K5 billion back-to-back funding agreement with Yoma Bank in a move to expand micro-lending to smallholders. Back-to-back financing in this instance refers to an arrangement where Yoma Bank provides credit in local currency to local microfinance institutions like Proximity Finance. Proximity Finance then uses a hedging strategy where the US dollar acts as the hedge against exchange-rate fluctuations. The semi-collateralised funding will be provided by MCE Social Capital, a nonprofit organisation based in San Francisco, on a three-year tenor. ‘’This back-to-back structure of funding allows more investment into Myanmar in hard currency while allowing microfinance institutions to repay in local currency,’’ Proximity Finance CEO Hedvig Sundberg said in a press release.
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  Foreign investors are eyeing to do their investment in the energy, hotel and marine sectors in Rakhine State

  Foreign investors are interested in the energy, hotel and marine sectors in Rakhine State, said Thant Zin Lwin, Acting Director-General of the Directorate of Investment and Company Administration (DICA) Currently, according to the Myanmar Investment Law, the Myanmar Investment Commission (MIC) is largely dealing with the types of investments worth five million US dollars and above, where Environmental Impact Assessment (EIA), huge investments and impacts are involved. The relevant region and state governments scrutinize and approve the investments worth less than five million US dollars. Rakhine State Chief Minister U Nyi Pu at the Rakhine investment show said The Rakhine State government will give the nod to the investors in a hurried manner. Foreign countries interested to make investments in Rakhine State are: Singapore, South Korea, China and India. Currently, Singapore leads the FDI list in Rakhine State. The energy sector sees the huge FDI investments in Rakhine State while the hotel and tourism sector tops the list of the citizen investments.”
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  Myanmar exported 5 million tonnes of crude oil via the China-Myanmar oil and gas pipeline in the first half (H1) which is up 2.7 percent year on year

  China imported 5 million tonnes of crude oil via the China-Myanmar oil and gas pipeline in the first half (H1), up 2.7 percent year on year, hellenicshippingnews.com reported quoting Kunming Customs in southwest China’s Yunnan Province. The customs statistics available on Sunday showed that the import value amounted to 17.27 billion yuan (about 2.51 billion U.S. dollars), up 9.2 percent year on year with the average import price reaching 3,443.8 yuan per tonne, up 6.4 percent year on year.