ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  District auditor will check the Yangon regional government’s investments such as City Bank, public transportation services and other businesses to include the result in the annual report for 2018

  District auditor told the regional Parliament on June 4 that District Audit Office will audit Yangon Regional Government’s investments such as City Bank, public transportation services and other businesses and will included the result in annual report for 2018. Daw Sandar Min, Member of Parliament submitted a proposal to the Regional Parliament urging the district auditor office to audit the regional government’s investments: K 64 billion in City Bank, K70 billion in Public Bus Company and K7.748 billion and to include the result in annual report. The regional Parliament approved the proposal without any objection. Daw Khin Than Hla promised the Parliament that her office would hire an outside auditor to audit the investments of the regional government and include the results in annual report for 2018.
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  International- standard logistics hub will be built on over 59 acres of land in Hlinethaya Township in Yangon to maintain export quality and reduce production cost

  An international level logistics hub will be built on over 59 acres of land in Hlinethaya Township, Yangon, to maintain export quality and reduce production cost, according to the Ministry of Commerce. A memorandum of agreement on the logistics hub project to be jointly implemented by Myanmar Trade Promotion Committee under the minister and HUBS MK Co Ltd was signed on January 24 this year. "For the project, we also have to conduct surveys. We will go according to the process. We will try to finish the project as scheduled," said Khin Maung Lwin, assistance permanent secretary of the ministry.
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  Credentials of new Myanmar Investment Commission Chair, U Thaung Tun, Minister of the Office of the Union Government, is questioned

  YANGON —Minister of the Office of the Union Government U Thaung Tun has been appointed chair of the Myanmar Investment Commission, dividing opinion on whether the career diplomat has the necessary economic experience for the role. The June 5 appointment follows the resignation last month of Minister for Planning and Finance U Kyaw Win, who also chaired the investment body. It was expected that his successor at the ministry, U Soe Win, would inherit the role of MIC chair. Instead, the government chose Thaung Tun, who has risen quickly within the government since his appointment in January 2017 as National Security Adviser. Last November, Thaung Tun was named minister for the office of the union government, one of two new ministries created that month to ease the workload of the administration. He became a member of the Myanmar Investment Commission earlier this year.
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  Economic uncertainty and risks could affect business confidence and derail further development despite the strong performance and favorable economic outlook for Myanmar

  Despite the strong performance and favourable economic outlook for Myanmar, risks have emerged that could affect business confidence and derail future developments if not addressed, according to the World Bank’s Myanmar Economic Monitor released yesterday. The report said that the country’s economy performed better in 2017-18 amid growing global and domestic uncertainty, partially offsetting slower growth in 2016-17. It is estimated that Myanmar had a broad-based increase in growth of national income as well as lower inflation and improved fiscal and external balances. The domestic currency, kyat, appreciated slightly during 2017-18 on strong exports and foreign direct investment (FDI) flows. Growth of Gross Domestic Product (GDP) is estimated to have increased to 6.4 percent in 2017-18 from 5.9 percent in 2016-17. This growth was driven by a recovery in agriculture and especially crop production, improved manufacturing performance, and strong services growth, in spite of a slight slowdown which is likely caused by tourism and banking sector uncertainties, according to the report.
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  Interest to list on the Yangon Stock Exchange (YSX) has not increased despite the upcoming enforcement of the Myanmar Companies Law on 1 August 2018

  Though the new Myanmar Companies Law is less than three months away from being officially enforced, interest to list on the Yangon Stock Exchange (YSX) has not picked up as substantially as expected, said U Thet Tun Oo, senior executive manager of the YSX. The Myanmar Companies Law, which was enacted December 6, 2017, will come into force on August 1. According to that law, foreign investors will be permitted to take stakes of up to 35 percent in Myanmar companies, including in firms listed on the YSX. The new rule had been expected to lift interest among local companies to list on the YSX, enabling them to gain access to foreign funds and knowhow. It would also yield fresh opportunities for their shares to rise in value on the back of heavier trading. Yet, interest to list on the YSX has not been as robust as expected, U Thet Tun Oo told The Myanmar Times.
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  Small and Medium Industrial Development Bank (SMIDB) provides three year loan of up to K50 million to rice and corn entrepreneurs without collateral

  Small & Medium Industrial Development Bank (SMIDB) will provide a three-year loan of up to K50 million to small and medium enterprises (SMEs) engaging in rice and corn production without collateral, according to a product launch ceremony of SMIDB held at Sule Shangri-La Hotel in Yangon on June 7. "In Myanmar, monsoon paddy as well as summer paddy can be grown. Monsoon paddy can be grown anywhere, but per acre yield depends on weather and geographical conditions. We will render help to rice growing. If there is domestic sufficiency, surplus will be exported to earn foreign exchange. Likewise, corn is an item of value-added goods. So our bank will give loans to corn growers," said SMIDB CEO Dr Zeyar Nyunt.
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  A proposal to construct a new multi-purpose port in Yangon was submitted to Yangon Regional Parliament (U Zaw Aye Maung, Rakhine Ethnic Minister)

  A proposal to construct a multi-purpose port in Kawhmu township, southwestern Yangon, was submitted to the Yangon Regional Parliament by U Zaw Aye Maung, Rakhine ethnic minister last week. “Yangon is the gateway to trade and handles up to 95 percent of the country’s imports and exports. The current port capacity in Yangon and Thilawa is still limited relative to the volume of goods handled. While they are now handling a substantial amount of internationally traded goods, these ports will become constrained as trade continues to grow,” said U Zaw Aye Maung. Currently, the Yangon ports are capable of handling 26 ships while Thilawa is able to berth 20 ships. The ports handle goods traded between Myanmar and Singapore, Malaysia, India, China, Sri Lanka, Indonesia, Vietnam, Bangladesh and Thailand. A total of 20 shipping lines call at the Yangon and Thilawa ports, according to U Zaw Aye Maung. The ports are able to handle vessels as large as 20,000 deadweight tonnes.
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  Minister of Agriculture, Livestock and Irrigation (MOALI) launched Myanmar’s Agriculture Development Strategy (ADS) for the next five years

  The Ministry of Agriculture, Livestock and Irrigation (MOALI), with the help of Asia Development Bank (ADB), United Nations Food and Agricultural Organisation (FAO) and Livelihoods and Food Security Trust Fund last Friday launched Myanmar’s Agriculture Development Strategy (ADS) for the next five years. Building on the 2016 Agricultural Development Policy, MOALI, with the support of the Agricultural and Rural Development Coordination Group, drafted the five-year ADS with a corresponding investment plan. Under the new ADS, significant production and productivity gains in agriculture and the natural resources sectors were identified as being “immense.” However, Myanmar also faces challenges including limited infrastructure in the rural areas, complex land tenure issue, low agricultural productivity and low competitiveness of agri-food products. As such, the aim of the ADS is to identify the investment priorities of the sector over the short, medium and long term.
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  Joint efforts are needed to increase Myanmar- India trade

  The joint efforts to increase not only the bilateral trade but also investment between Myanmar and India are in full swing. India has been a major trading partner of Myanmar for many years, and the 11 largest investors in the country. Since the signing of the Myanmar-India trade agreement in 1970, bilateral trade has grown steadily from 328 million USD in 1997-1998 to 2.17 Billion in 2016-2017. But the amount slightly down to about 1.6 Billion USD in 2017-2018 due to decrease in trading especially, pulses and sugar, the first secretary of Indian Embassy in Yangon said. First Secretary, Embassy of India, Shweta Singh said "... There’s just in decreasing export of pulses from Myanmar side, and decrease in import of sugar from India... So we have a target of reaching at least 5 Billion dollars which we should ever... a couple of years ago. But it's not been possible. So I think together we need to make some more efforts, some extra efforts are required to take this forward... "
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  World Wide Fund for Nature (WWF), in partnership with Myanmar Food Processors (MFPEA) and Exporters Association (SBFIC) will support the government and industries in promoting a sustainable future for the food & beverage sector in Myanmar

  World Wide Fund for Nature (WWF), in partnership with Myanmar Food Processors and Exporters Association (MFPEA) and Savings Banks Foundation for International Cooperation (SBFIC), are launching Tha Bar Wa, a cleaner production project for the food and beverage industry in Myanmar. Tha Bar Wa is a four-year project funded by the European Union (EU) under the SWITCH-Asia Programme, which supports initiatives for sustainable consumption and production across the Asia-Pacific. The Tha Bar Wa project aims to support the government and industry stakeholders as they work towards a more sustainable future for the F&B sector in Myanmar. The launch ceremony takes place today, 29 May 2018 at Rose Garden Hotel, Yangon. Food and beverage is the largest industry in Myanmar, accounting for almost 60 percent of all companies. It is thus important to ensure that the sector develops in a responsible manner that respects and protects the natural environment.