ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  A record-breaking over 740 million kyat dropped in Yangon Stock Exchange (YSX) trading in February

  Trading at the Yangon Stock Exchange (YSX) experienced a record-breaking drop of over 740 million kyat in February – the lowest since the exchange launched in March, 2016. There are now five listed companies in the stock market after TMH Telecom Public Company was listed on January 26. In January, stock trading among the five listed companies reached over 1.2 billion kyat, down more than 1.6 billion kyat from the same period last year. In 2016, the total stock trading exceeded 70.74 billion kyat – over 24 billion kyat in March, 5 billion in April, 16 billion in May, 6 billion in June, 3.7 billion in July, 2.9 billion in August, 2.4 billion in September, 4 billion in October, 2.2 billion in November and 1.6 billion in December. Block trading amounted to 2.25 billion kyat.
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  Myanmar government, South Korea’s Posco Daewoo Steel Co., Ltd and Millcon Steel Co., Ltd of Thailand will co-invest in a joint venture to operate state own steel factory in Myingyan, Mandalay

  South Korea’s Posco Daewoo Steel Co Ltd and Millcon Steel Co Ltd of Thailand will co-invest with the government in a joint venture to operate a state-owned steel factory in Myingyan, Mandalay, according to a statement released by the Ministry of Industry. Posco Daewoo and Millcon Steel have already met with U Khin Maung Cho, Minister of the Ministry of Industry in January to discuss the various possibilities of cooperation. These included Build – Operate – Transfer (BOT) schemes as well as profit sharing arrangements under a joint venture, the statement said. There are currently two state-owned steel factories in Myanmar. The second factory is in Pang Pet, Taunggyi township in Shan State. However, the factories have been loss-making and operations have been suspended since April 2017.
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  Thailand’s Kasikorn Bank (Kbank) and Myanmar’s biggest lender, Kanbawza Bank (KBZ bank) cooperated to offer a staff exchange program at the border cities of Mae Sot and Myawaddy to boost border trade between the two counties

  Thailand’s Kasikorn Bank (KBank) is joining with Myanmar’s biggest lender, Kanbawza Bank (KBZ Bank) to offer a staff exchange programme at the border cities of Mae Sot in Thailand and Myawaddy, Myanmar. The aim is to boost border trade between the two countries. The programme will focus on bank-based import-export settlements and boost the cross-border transfer of funds via Mae Sot Border Trade Business Center by about THB200 million, according to a statement released by the two banks on Tuesday. To date, the center has granted credits of more than THB150 million to businesses in Mae Sot for investment in Myanmar. Mr. Kittichart Potithat, First Vice President for World Business Strategy and Marketing Management Department of KBank, said the bank has always placed importance on Myanmar market, given its large volume of border trade with Thailand.
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  About 40 factories had been approved for commercial operations in Thilawa Special Economic Zone (SEZ) (U Set Aung, Chair of Thilawa Special Economic Zone Management Committee)

  Some 40 factories can carry out commercial operations in Thilawa Special Economic Zone, said Set Aung, chair of the Thilawa Special Economic Zone Management Committee. “No country in the world can conduct impact analysis on exports in two years,” he said, explaining the slow pace. “We will have to take another two years to carry out impact analysis.” The zone’s export figures would soon be released on their website, he added. The Thilawa SEZ project was initiated about two years ago. Building a factory takes at least one year, often 18 months, and an environmental impact assessment must be completed, Set Aung said.
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  The Myeik Public Company and Korea’s KMPI Company joined hands to build 610 megawatts power plant in Myeik Archipelago

  The Myeik Public Company and Korea’s KMPI Company joined hands to build a second LNG power plant near Kape Village, Kyun Su Township, in the Myeik District in the Tanintharyi Region. The power plant will be able to generate 610 megawatts, according to the Ministry of Electricity and Energy. The goal is to provide electricity at an affordable price to local people, and then supplying any excess power into national grid. The power plant is finished it is hoped that it will help entice electricity based factories to the area, which would create more job opportunities, according to the Ministry’s press release.
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  Myanmar government is in the process of drafting an e-commerce law to regulate online trading of goods and services to protect consumers

  Myanmar will aim to enact its first E- Commerce Law as part of its efforts to meet the goals set by the ASEAN Economic Community (AEC), U Toe Aung Myint, secretary of the Ministry of Commerce (MOC), said during an AEC 2025 workshop in Yangon Wednesday. ASEAN members are targeting having an AEC that is highly integrated and cohesive with enhanced connectivity and cooperation by 2025. As such, the country will require strong legislation to govern the rising volume of domestic and cross-border e-commerce transactions, U Toe Aung Myint said. “The government is in the process of drafting an E – Commerce Law to regulate online trading of goods and services to protect consumers and prevent fraud,” he said.
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  No approvals are required from Ministry of Agriculture, Livestock and Irrigation for commercial livestock farming investments under $5 million

  Only capital investments in commercial livestock farming exceeding $5 million or K6 billion will require approval from the Ministry of Agriculture, Livestock and Irrigation, according to the Myanmar Investment Commission on Wednesday. Investments in commercial livestock farming below $5 million will no longer require government approval. Investments in livestock and fisheries, which include those in commercial livestock farming, have been on the MIC’s list of 18 restricted investment activities since April 10, 2017. As such, all investments in the sector required prior approval from the relevant ministries in the past.
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  Global World Insurance Company presented crop insurance pilot project

  Q: What is the pilot project of crop insurance? A: The crop insurance system is designed to cover damages to crops due to erratic weather conditions in the country. The government gave the green light to carry out the pilot project of crop insurance on 31 January 2018. This permit is not meant for running a crop insurance business but for research and experimentation. Q: How long does it take to conduct a pilot project for research? What are your further plans? A: The pilot project will be undertaken for two years, covering the Yangon, Ayeyawady, Magway and Mandalay regions. If other regions and states also demand a pilot project, we will proceed to those areas. We will undertake the project first for paddy on an experimental basis rather than edible oil crops, industrial crops and garden crops.
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  Government officials and private business people discuss efforts to improve ease of doing business ranking in 2019

  Departmental officials and private businesspeople on February 26 held talks on efforts to improve the Ease of Doing Business Ranking in 2019. The discussion was held at the office of the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI). Myanmar faces slow economy as it stands 171st among 190 countries in the ease of doing business ranking. Some foreign investors have reviewed that the slow economy is due to the lack of infrastructure and weak policies. The World Bank has issued questionnaires for 2019 to local and foreign entrepreneurs so that they can help ease doing business and improve economy.
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  Myanmar authorities plan to culture golden pearls in Myeik Archipelago, Tanintharyi region, on a commercial scale

  MYEIK- Plans are underway to produce golden pearls which are very popular among the international countries, in Myeik Archipelago, Taninthayi Region. Moreover, the 6th Pearl Expo will be held in Hong Kong from February 23rd to 25th. Myanmar Pearl Production and companies from home and abroad are now culturing the pearls which were keen on paying attention. This year pearl production exceeds to the target. “First every Myanmar Pearl Expo was held in Les Veges of the United States of America, last year. We gained more success. Likewise, we are going to show 6th Myanmar Pearl Auction in February. We would like to say that the international countries are now interesting the Myanmar Pearls being produced in Taninthayi Region. According to the records of local and international emporiums, merchants from Asia and Europe mostly had to buy Myanmar Pearls. Likewise, the merchants from Japan, China, Korea, Thai, Singapore, Canada, India and the U.S bought the pearls,” said Myo Lwin, Deputy General Manager of the Myanmar Pearl Enterprise.