ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Myanmar is now using about 6,500 tons of liquefied petroleum gas (LPG) and imports around 5,000 tones of LPG monthly

  Myanmar is using about 6,500 tons of liquefied petroleum gas (LPG) and imports about 5,000 tons of LPG monthly, according to sources. Myanmar imports LPG mostly from Myawady border trade center but import via sea routes are increasing as traders cope with higher demands. Despite increasing usage of LPG, traders claim that the profit margin is still too little due to the niche market space LPG holds. Currently all importers are buying it indirectly and only transportation and distribution are different among the importers. Traders said the expenses of transporting the LPG from a port to Myawady border trade center to Yangon is differs around Ks 20 per kilogram and with a similar price range to transport to Upper Myanmar regions. Myanmar formerly used the LPG less than now before it was recognized as an official goods in 2012.
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  Myanmar Agriculture Development Bank (MADB) revised the farmers’ loan system from the group-based lending system to an individual based system, so that farmers can provide their own guarantees (Daw Khin Nan Myint, Deputy General Manager of MADB)

  The Myanmar Agricultural Development Bank (MADB) will start disbursing loans on an individual basis, moving away from the current group-based lending system, “said Daw Khin Nan Myint, deputy general manager at the MADB. “Starting this year, we will extend loans to individual farmers. If a farmer successfully pays off his loans, he can apply for a fresh loan,” she told The Myanmar Times yesterday. Under the new system, farmers will be able to provide their own guarantees. This will differ from the old system, under which the MADB provides loans to groups of three farmers who guarantee each other. The main issue is if two farmers in a group have paid off their loans, they are still unable to apply for fresh loans if the third farmer has not repaid his loan. “The problem is that if one farmer in a group is unable to repay his loan, the others hold off from repaying as well as they are worried that they will not be able to get loans again,” said Daw Khin Nan Myint.
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  Myanmar Timber Enterprise (MTE) is targeting higher sales during the six month period between April to October this year and expects to generate K63 billion in revenues (U Khin Maung Kyi, Deputy General Manager of MTE)

  State-owned Myanmar Timber Enterprise (MTE) is targeting sales of 5,000 tonnes of teak and 100,000 tonnes of hard wood during the six-month period between April and October this year. The sales are expected to generate K63 billion in revenues, MTE deputy general manager U Khin Maung Kyi told The Myanmar Times. Sales will be conducted both locally and internationally to cover MTE’s commitments to the government, which includes 20 percent of its revenues as well as taxes of 25 pc. “Our department has to provide about K 15 billion. Then 25pc tax is about K 19 billion,” said U Khin Maung Kyi. “We also have to cover costs like salaries and other operational expenditure,” he added. In total, MTE’s costs have been estimated at around K86 billion. In Myanmar, state-owned enterprises (SOEs) must pay 20pc of their revenues to the State and a 25pc tax on net income has to be paid to the State, too, said Daw Nwe Nwe Win, Director General from Budget Department.
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  Over the past two years, Ministry of Construction has made significant achievements in the road and bridge sector: some places which did not have access to road facilities in the past got road access in the last two years

  As for the Ministry of Construction, plans are under way to design and estimate the construction and maintenance of roads, bridges, buildings and airfields in accordance with the rules and regulations of the country. The Government is conducting reforms in all sectors for progress in all states and regions. This is a union where ethnic brethren live together in harmony through thick and thin. Basic infrastructures like roads and bridges need to be sound for reliable road transportation between states and regions so that trade, contact and relations are established enabling all ethnic brethren to have developments in social, education, health and economic sectors. Through this, friendship and good relations among the ethnic brethren will increase. In addition to improving the road transportation and construction of buildings for safe dwelling, the Ministry of Construction is improving rural roads continuously.
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  Myanmar Port Authority will computerize its Port Electronic Data Interchange (Port EDI) to enhance the efficiency of trade and logistics in the coastal ports

  Myanma Port Authority, under the Ministry of Transport and Communications, launched its Port Electronic Data Interchange (Port EDI) system on April 30. The adoption will computerise the entire system and enhance the efficiency of trade and logistics in the coastal ports. The launch ceremony was held at Park Royal Hotel in Yangon on April 30. The implementation of the new system was supported by the Japanese government and Japan International Cooperation Agency (JICA) since 2015. Port EDI system consists of six system functions and system infrastructure. The system functions provide the port clearance procedures system, berth allocation system, invoice issuing system, statistics management system, logistics monitoring system and terminal operation system. With the new systems, port-related procedures, collection of port charges, management of port statistics and terminal operation management handled by paperwork and rudimentary way of data processing for the whole process can be replaced and streamlined with technology. The system provides smooth flows of operation within a short time and without unnecessary inputs. For example, documents do not have to be circulated manually.
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  Japan and Myanmar discuss the revival of the failed Hanthawaddy International Airport project

  Japan and Myanmar are in discussions about resuscitating the failed Hanthawaddy International Airport project, according to the transport minister. U Thant Sin Maung, Minister for the Ministry of Transport and Communication, held a meeting with Tsukasa Akimoto, Japan’s State Minister of Land, Infrastructure, Transport and Tourism in Park Royal Hotel, Yangon, on April 30. The meeting covered national infrastructure projects which Japan is interested in, including airports, ports and railway. Japan wants to undertake the airport project speedily but they are still in consideration, owing to the investment amount, U Thant Sin Maung said, proposing a Myanmar-Japan joint committee on this task. The project is estimated to cost US$1.5 billion. Ichiro Maruyama, Japan’s ambassador, said all parties agreed to work together on the project and both Nay Pyi Taw and Tokyo want the project to go ahead “as soon as possible”.
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  Asia World Port Terminal (AWPT) invested in 14 new pieces of port equipment for the long term: this is the single largest investment in technology AWPT has made in recent years

  Asia World Port Terminal (AWPT) has invested in 14 new pieces of port equipment for the long-term. These include nine SANY Rubber Tyred Gantry (RTG), one Mobile Harbour Crane (MHC) from Konecranes Gottwald, as well as two Reach Stackers (RS) and two Empty Container Handlers (ECH) from SANY. This is the single largest investment in technology AWPT has made in recent years. The new additions will be expected to will improve AWPT’s overall operating capacity by 33pc and containers can be stacked up to 7 high as opposed to 5 high. The terminal is developed, managed and operated by Asia World Port Management Company (AWPM), which said that the conglomerate is confident on the prospect of the port business and that the recent total investments “signals its strong confidence” on the economy.
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  Pietro Borsano, Mandalay and Bangkok- based academic, finds that disappointment at the current government’s sluggish economic reforms has not eroded support among businesses

  The disappointment at the current government’s sluggish economic reforms has not eroded the support among businesses, according to a Mandalay and Bangkok-based academic. On the contrary, businesses are worried that a failure of the administration will roll the country back to the junta era. The Myanmar Times talked to Pietro Borsano, lecturer at Mandalay International University and Shinawatra International University, who teaches international management and business law. Mr Borsano is also a lawyer. Given the delays and widespread inaction, it is fair to say that the National League for Democracy-led government’s second year in office is disappointing in terms of the economy, he argued. “Earlier, I was talking to a director of a large-scale, listed Thai conglomerate and she expressed her concern about the notorious inefficiency of the Myanmar government,” he said, adding that a lot of time was spent on negotiations between the civilian and military blocs within the leadership instead of carrying out reforms.
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  Draft insolvency bill will replace three older laws to address corporate and personal insolvency in one legislation

  Today is the registration deadline for the consultation meeting on the Myanmar Insolvency Bill The draft Insolvency Bill will replace three older laws to address corporate and personal insolvency in one legislation and will carve out a separate corporate rescue and insolvency regime for smaller businesses. Today, April 30, is the registration deadline for a publication consultation meeting on the Myanmar Insolvency Bill. A consultation meeting on the Insolvency Bill organised by the Union Supreme Court with the support from the Asian Development Bank will be held on May 9 in Melia Hotel, Yangon. Registration can be done on the website of the Directorate of Investment and Company Administration (DICA).
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  Exclusive interview with Union Minister, U Kyaw Win, Deputy Minister, U Maung Maung Win and U Set Aung, on the Planning and Finance Ministry's performance in the second year in office

  Union Minister and Deputy Ministers for Planning and Finance were interviewed about the vital and important Ministry that collect revenue for the government, fund the government’s services to the people and the works it had conducted during the two-year period. Union Minister U Kyaw Win Q. Please explain about the country’s financial situation and economy when the incumbent government took over the responsibility of the country. A. Both the budget and trade was running at a deficit. This shows that export and import are not balanced. Foreign exchange rates were unstable and rising while important state-owned enterprises were operating at a loss for four-five years. In addition to this, there were loans prior to 1988 and loans obtained during the term of the Tatmadaw government. A country’s image is good only when loans are repaid in time. Since we took over the responsibility of the government, we strive toward total repayment of loans. Foreign exchange rates were stabilised through coordination between the ministry, Central Bank of Myanmar and Ministry of Commerce. Through coordination with Central Bank of Myanmar, management and other reforms for private banks were conducted so that banking services were systematic and in accordance to the law.