ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Ministry of Agriculture, Livestock and Irrigation (MOALI) will provide necessary assistance to fish farmers so that they can resume exports to Saudi Arabia

  The Ministry of Agriculture, Livestock, and Irrigation (MOALI) will assist domestic aquaculture businesses in meeting trading requirements set by the Saudi Arabia Food and Drug Authority, U Hla Kyaw, deputy minister said during a Parliament session yesterday. The deputy minister was responding to questions raised by U Aung Kyi Nyunt, Hluttaw MP from Magway Region. “We will provide the necessary assistance required so that the businesses are able to export their products to Saudi Arabia once more,” said U Hla Kyaw. Saudi Arabia in February announced that it would suspend the import of aquaculture products from Bangladesh, India, Myanmar and Vietnam from April 1 onwards. The suspension will be in place until the facilities comply with Saudi Arabia’s requirements and is compliance with World Trade Organisation regulations.
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  Myanmar is likely to open more sectors to FDI: Myanmar Investment Commission (MIC) has been keeping an eye on the latest developments in the investment scenario to decide which sector should be liberalised first among the restricted sectors

  A SURGE in interest among global players following the liberalisation of Myanmar’s education sector to foreign investors has motivated the authorities to continue opening up the economy in other restricted sectors. Thant Sin Lwin, deputy director general at the Directorate of Investment and Company Administration (DICA), said at a press conference on Tuesday that Myanmar Investment Commission (MIC) has been keeping an eye on the latest developments in the investment scenario to decide which sector should be liberalised first. “We are trying to catch up with our neighbours. We may liberalise the insurance sector in our next move, as many insurance companies have visited us to discuss about expansion of their services and products in Myanmar,” he said. “But honestly, we have not decided anything yet, though insurance is a sector with high potential for liberalisation. We also need to take China’s Belt and Road initiative into serious consideration.” According to the statistics, 24 foreign insurance companies has established their representative offices in Myanmar while 12 private local firms and state-owned Myanma Insurance Enterprise are offering a range of products to customers.
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  UK-based preschool franchise Linguaphone Group plans to expand further in Myanmar: the Group established its presence in Myanmar before the government opened up the education sector to international investment last month

  A franchise of a UK-based preschool service provider located in northern Yangon has reached its first anniversary and is set to expand to downtown Yangon as well as Mandalay. With aspiring families in the country looking for quality education, demand is on the rise. Before the government opened up the education sector to international investments last month, Surrey-headquartered Linguaphone Group, which has licensed partners in over 60 countries, has already established a presence in Myanmar more than a year ago. In 2016, Myanmar-based EduWorld Co Ltd signed an English school franchise agreement with Linguaphone Group, who owned the Pingu’s English brand. Since then, the first school in the country was launched in February 2017, located in Bahan township, Yangon. The Myanmar Times spoke to Bryan Yen, EduWorld CEO, about his school and upcoming expansion plans. “English education is very important for Myanmar’s future. With Myanmar opening up its doors to the world, there is a growing demand from parents for high-quality English programmes for their children,” he explained, highlighting that there is market demand for an international curriculum and well-establish learning methodology.
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  InfoCrop Technologies, a Singapore-registered fintech company and RGK+Z&A Group will partner with the government to create a financial ecosystem to solve the risk of livestock insurance and enable use of livestock as collateral

  InfoCorp Technologies, a Singapore-registered fintech company and RGK+Z&A Group will partner with the Livestock Breeding and Veterinary Department of the Ministry of Agriculture, Livestock and Irrigation and Myanma Insurance, an arm of the Ministry of Planning and Finance, to carry out a joint pilot project to perform Tamper-Proof Livestock Identification. The agreement, which was signed yesterday, will involve identification and tagging of cows and buffalos for the purposes of building an official livestock registry, which will in turn, enable livestock to be used as collateral in the loan application process. “This joint partnership will create a financial ecosystem that solves the risk of livestock insurance and potentially transforms the market into a force for development by enabling the use of livestock as collaterals,” said Mr. Roy Lai, Founder and CEO of InfoCorp Technologies. InfoCorp Technologies will implement the service through Sentinel Chain, which it claims is the world’s first platform to accept the use of livestock as collateral. Through the platform, InfoCorp is also aiming to bring ordinary financial services such as banking, loans and insurance to less developed parts of the country to resolve challenges of small farmers in running their businesses without banking facilities.
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  Transport of selected containerized goods will be permitted within the city during the day and is expected to significantly improve trade (U Soe Naing, Secretary of Myanmar Container Trucks Association)

  Transport of selected containerised goods will now be permitted within the city during the day, U Soe Naing, secretary of Myanmar Container Trucks Association, said yesterday. The decision breaks a 2-year-long regulation by the Yangon Region Government prohibiting container trucks from entering the city during the day. It could also significantly improve trade as well as delivery times within the city. Now though, trucks transporting approved containerised goods will be allowed to move through the city. Goods scheduled for exports will be brought to the container depot in front of Insein Steel Factory on Bayintnaung Road. Container pickup and transport to the ports west of Yangon will begin at 11am.
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  Daily stock trading at Yangon Stock Exchange (YSX) is up by 42 percent since 30 March 2018 when YSX increased stock trade matching times from two to four a day

  The average daily stock trading at Yangon Stock Exchange amounted to around Ks- 57 million, a 42-per-cent increase, after the YSX has increased stock trade matching times from two to four a day, said Min Thu, senior manager of Yangon Stock Exchange at a press conference on May 15. “In the past, the average daily stock trading amounted to over Ks-39 million. Since March 30, the YSX has increased stock trading times to four,” he added. The average number of stock shares has increased from 6,761 to 9,251 a day, up over 37.6 per cent. The stock trading at the YSX decreased from Ks-70.7 billion in 2016 and Ks-22.13 billion in 2017. The stock trading in January hit over Ks-1.2 billion, a record low of over Ks-0.74 billion in February, over Ks-0.78 million in March, over Ks-0.87 million in April. The average stock trading is about three times lower than that in the same period last year.
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  Myanmar government set a new daily minimum wage of 4,800 Kyats to reduce poverty and inequality, and to strengthen democracy and promote sustainable development

  This week the Myanmar government has announced a new daily minimum wage of K4,800 for workers. Arguments will be heard that the new rate is too high or too low from employers and workers alike. But we should not lose sight of the positive impact the minimum wage is already having on the reduction of poverty and inequality on one hand, and the strengthening of democracy and social dialogue on the other. Myanmar’s introduction of a minimum wage in 2015 was an early landmark for labour market reforms. Although Myanmar has not ratified the International Labour Organization’s Minimum Wage Convention 131, its Minimum Wage Law largely reflects its requirements. Foremost among these is that the minimum wage is set through an open and transparent process of tripartite social dialogue between the government, representative employers and workers’ organisations. Over the past year, a tripartite National Minimum Wage Committee has undertaken nationwide consultations to review the level set in 2015, resulting in the announcement this week. Setting the minimum wage requires a complex balance of many factors, including the needs of the workers and their families, promoting productive and sustainable enterprises, attaining high levels of employment, and ensuring competitiveness in the regional economy. The minimum wage is a single tool for multiple and seemingly contradictory objectives.
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  Myanmar gold traders will start the export and import of pure gold with the international gold weight measurement standard of fine gold and gold bar which is a slightly lower standard than pure gold

  Myanmar's local gold traders are planning to start up gold export and import businesses following the government's announcement of relaxing rules for trading gold products abroad, the official Global New Light of Myanmar reported Tuesday. The export and import of gold and jewellery were permitted by the Ministry of Commerce aiming at eradicating illegal trading as well as earning more revenue for the government and maintaining the market's stability. The traders will start the export and import of pure gold in accordance with the international gold weight measurement standard of fine gold and gold bar with slightly lower standard than pure gold.
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  MSME products exhibition and competition was held in Ayeyarwaddy region to raise the quality of products and long-term competitiveness

  Small and Medium Enterprises Development Committee (SMEDC) Chairman Vice President U Myint Swe attended the opening ceremony of the exhibition and display (2018) of Ayeyawady Region products produced by local micro, small and medium enterprises (MSMEs) held in the town hall, Pathein Town, Ayeyawady Region, yesterday morning. Present at the ceremony were SMEDC Vice Chairman Union Minister U Khin Maung Cho, Ayeyawady Region Chief Minister U Hla Moe Aung, Region Hluttaw Speaker, representatives of Pyithu Hluttaw, Amyotha Hluttaw and Region Hluttaw, Deputy Minister, region ministers, Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) President and members, work committee members, departmental officials, technicians, experts, MSME business owners and officials. While addressing the ceremony, SMEDC Chairman Vice President U Myint Swe said this was the third MSME local regional products exhibition and competition being conducted, with the aim of developing MSMEs in Ayeyawady Region, raising the quality of products and long-term competitiveness.
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  Yangon regional government plans to set official benchmark property price for properties in Yangon for 2018 – 2019 (U Myint Thaung, Regional Minister of Planning and Finance)

  The Yangon Regional Government will this month begin conducting property valuations to set an official benchmark price for properties in Yangon , said U Myint Thaung, Regional Minister for Planning and Finance. “We will value the properties based on demand and supply in the various townships, wards and streets of Yangon Region at the beginning of the fiscal year. This is how we set the market price for property in 2017-18,” he said. Setting an official market price for property will make it easier for buyers and sellers to determine the amount of stamp duties and other property taxes to be paid. U Myint Thaung was responding to questions raised during a recent regional parliament session. He added that the Yangon government is amending and refining its methods and procedures for accurate valuations.