ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  The import of raw materials by CMP businesses drops USD $ 104 million in the first eight months of current fiscal year when compared to the same period of previous year

  Imports of raw materials by CMP businesses have been valued at US$1.56 billion for eight and half months beginning in October in the 2019-2020 fiscal year, which plunged from $1.64 billion registered in the corresponding period of last fiscal, according to the Ministry of Commerce. Similarly, exports of finished industrial goods slightly fell to $6.5 billion between 1 October and 12 June in the current fiscal year 2019-2020, a sharp decrease of $151.8 million compared with the corresponding period of the previous financial year, according to the Ministry of Commerce. Myanmar’s manufacturing sector is largely concentrated in garment and textiles produced on the Cutting, Making, and Packing basis, and it contributes to the country’s GDP to a certain extent. At present, some CMP garment factories have shut down on the reason for the lack of raw materials due to the coronavirus negative impacts, leaving thousands of workers unemployed.
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  Myanmar government stressed to improve farming capacity to earn USD $ 1 billion yearly from fishery export

  If Myanmar can improve domestic farming capacity, up to US$1 billion could be earned yearly from export of fishery products, said Deputy Minister for Commerce Aung Htoo. “If we can try to improve farming capacity locally, we will be in a position soon to earn up to US$1 billion,” the deputy minister said. In the fourth year of the government’s term, the country earned over US$730 million from export of fishery products such as fish and prawn. “As both freshwater and seawater fish farming improves, we could export fisheries worth US$732 million last year,” he added. According to the ministry data, over US$680 million has been earned from fishery export over the past eight and a half months in the current fiscal year, exceeding over US$100 million when compared to the same period of last fiscal year.
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  The live cattle exports estimated to reach 1 million in this current fiscal year

  The live cattle exports estimated to reach 1 million in this current fiscal year
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  The construction businesses in Myanmar expected to receive share of COVID – 19 loans

  The government will deploy its seventh tranche of COVID-19 loans, this time to about 300 business affected by the pandemic, in the first week of July. Construction businesses are likely to be considered for next loan tranche from the K200 billion to K500 billion pool under the government's COVID-19 Economic Response Plan released on April 27, according to the Union of Myanmar Federation Chamber of Commerce and Industry. Due to the outbreak of COVID-19, new construction projects have come to a standstill and construction materials needed for existing projects have been delayed and many are up to four months behind schedule , said U Myo Myint, Managing Director of MKT Construction. “The materials were supposed to have arrived in January but these only came in May as many overseas factories producing building materials like steel have closed,” he said. Other essential items like elevators, aluminum products and tiles have also been delayed, and this has held back work in the construction sector.
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  UK-based dairy firm, United Green plans to invest about USD $ 200 million in high-quality breeding of dairy cattle and production of milk and dairy products in Myanmar

  The UK-based investment company — United Green is planning to invest approximately US$200 million for high-quality breeding of dairy cattle and the production of milk and dairy products, said Vice President U Moe Kyaw Kyaw of Mandalay Region Chamber of Commerce and Industry (MRCCI). The project is expected to create over 750 jobs for local residents, he added. The United Green, a privately owned strategic investment group, will implement this project with the assistance of the UK’s development finance institution CDC, Asian Development Bank and other financial institutions. The United Green has solid investment experiences of over 60 years in Europe, Asia, Africa and the Middle East. A team led by Mr Peter Crowhurst, CEO of British Chamber of Commerce in Myanmar recently met with officials of MRCCI to discuss proposal related to the breeding of cattle and production matters. They highlighted the participation of those engaged in manageable-scale cattle breeding in the region. The targeted acres of land for the dairy farm are too much, and so, the project will cover Mandalay Region, Sagaing Region and some areas of Shan State.
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  Bago Region Investment Committee (BRIC) endorses three foreign enterprises which will create over 1,200 jobs opportunities

  The Bago Region Investment Committee (BRIC), at a videoconference held on 24 June, has endorsed three foreign projects and approved one foreign enterprise to increase capital. The investments of those projects including the expansion of capital by one existing enterprise are estimated at US$13.325 million. The projects will create over 1,200 jobs. They will invest in manufacturing of various kinds of the garment; weaving and dyeing; and non-sterilized disposable surgical scrubs and related clinical wears on CMP basis, and service for construction and leasing factories and office building, according to the Directorate of Investment and Company Administration (DICA).
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  Myanmar government has approved international funding for domestics food production industry

  Myanmar has approved a K92 billion COVID-19 relief plan for the domestic food production industry, U Hla Kyaw, Deputy Minister for Agriculture, Livestock and Irrigation, said on June 26. The approved funding will enable the ministry to support people in the rural areas amid the pandemic. Under the government’s plan, nearly K15 billion will be spent on establishing contract farming jobs on 100,000 acres of farmland. Investment capital totalling K41 billion will be allocated to more than 1700 villages in all the states and regions. Around K25 billion will be used to acquire and distribute agricultural machinery to farmers in 11 regions and states including Nay Pyi Taw. Furthermore, about K6 billion will be spent on assisting local fish farms and training, while K1.5 billion will be used to create jobs in the livestock industry in 100 townships.
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  Myanmar approached target with USD $ 4.4 billion foreign investments in the first nine months of current fiscal year

  “With US$4.4 billion foreign investment in nine months of this fiscal year (FY), Myanmar is likely to meet foreign investment target in this FY,” said DICA Director-General U Thant Sin Lwin. Myanmar Investment Commission (MIC) set a target to attract USD5.8 billion in this FY. To meet the set target, $1.4 billion is still needed. “Foreign investments worth only $4.1 billion flowed into the country last year. Now, FDI flow into Myanmar totalled $4.4 billion in nine months of this FY. Our FDI target is $5.8 billion. We only need $1.4 billion to meet our target. We need to make sure our guideline such as less economic impact by the coronavirus pandemic, encouragement through coronavirus economic relief plan (CERP), giving priority to creating job opportunities and paying attention by the government over the recovery of the economic impact by the pandemic. By combining these four sectors, we expected $1.4 billion FDI will flow into the country,” he stated. In the pandemic period, some existing investment businesses have increased their capital amount of investment. The new investments are also entering the country. The remaining new investments will be continued to be given green light in the next three months, according to DICA.
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  Myanmar commits to International Monetary Fund (IMF) emergency funding as pandemic persists

  The International Monetary Fund said Friday it will provide Myanmar with $356.5 million in emergency funding, as the southeast Asian country battles an economic slump due to the coronavirus pandemic. "The Myanmar economy is being impacted by the outbreak of COVID-19 through a sharp decline in tourism and remittances and supply chain disruptions," Mitsuhiro Furusawa, IMF deputy managing director, said in a statement. The fund "will help address Myanmar's urgent financing needs related to COVID-19 shock, and catalyze support from development partners."
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  Myanmar Railways (MR) plans to sign an agreement with Korea EXIM Bank to take loans for the upgrading of Mandalay – Myintgyina railroad

  YANGON-Myanmar Railways(MR) is now planning to sign an agreement with Korea EXIM Bank aiming to take loans US$125 million for the upgrading of Mandalay-Myintgyina railroad section. The Union Parliament session on March 26th had approved taking loans from Korea EXIM Bank. The new air-conditioned trains will take about 17 hours to travel the Mandalay-Myitkyina route, one hour less than other trains. Myanma Railways (MR) signed a contract agreement with the Dawonsys Company to buy 100 new modernized train carriages under the Korean loans on December 5th, 2018. The Ministry will use a US$ 45 million loan from Economic Development Cooperation Fund (EDCF) of the EXIM Bank to buy the train carriages.