ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Two major cities in Myanmar are planning to ease some COVID – 19 business restrictions after 16 May 2020

  Myanmar’s hardest-hit region for COVID-19, Yangon, will ease some restrictions in four townships as no new cases have been reported for 20 days, State Counselor Daw Aung San Suu Kyi said on Wednesday. The townships – Mingaladon, Hlaing Tharyar, Shwepyitha and Botahtaung – are among the country’s 10 COVID-19 hotspots which are currently under semi-lockdown. Streets will be unblocked and restaurants and tea shops allowed to reopen. Yangon eateries have been allowed to provide takeaways since March 27, after the country reported its first coronavirus case. The State Counselor, who chairs the Central Committee on Prevention, Control and Treatment of Coronavirus Disease, discussed lifting the restrictions with Yangon’s mayor and deputy mayor, the Union health minister and lawmakers from the four townships on Wednesday.
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  Eligibility for maximum amount of emergency loan can vary on workforce in factories

  The eligibility for the maximum amount of emergency Coronavirus Fund to enterprises hit hard by the pandemic can vary depending on the workforce in factories, said UMFCCI General Secretary U Aye Win. “There are three categories in the loan, designated in priority sectors (the small and medium enterprises (SEMs), hotel businesses and CMP garment factories). Majority of the applications are from SMEs, followed by the hotel businesses and CMP garment factories. However, CMP garment factories received the highest loan amount as they are labour-intensive businesses. SMEs with the small number of workers get access to small amount only,” he stated at the recent press conference of UMFCCI. The emergency coronavirus loan aims to ease the economic burden faced by the virus-stricken businesses, and not to expand the business and put capital for businesses. Mainly, the government intends to help the business keep operations and the workers get the salary for at least three months, he continued.
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  Myanmar permitted the business of reinsurance and three new categories of general insurance

  Myanmar has permitted the business of reinsurance and three new categories of general insurance in the country under two new directives - (4/2020) and (6/2020) - issued by the Insurance Business Regulatory Board (IBRB) on May 12. The three new categories are: Industrial All Risk, Construction All Risk/ Erection All Risk, and Bailee’s Liability Insurance. The aim is to widen insurance coverage in the country. “Whether local or foreign, businesses need insurance coverage under these three categories. We have permitted the three new policies nationwide, including in Thilawa Special Economic Zone,” said U Thant Sin, directors at the Financial Regulatory Department under the Ministry of Planning, Finance, and Industry.
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  Myanmar government authorities are struggling to conduct inspections the use of Myanmar product label law on the local market due to the COVID – 19 pandemic

  Authorities are struggling to enforce the use of Myanmar language on the labels of all products on the local market due to the COVID-19 pandemic, a senior Consumer Affairs official said. U Zayar Swe, deputy director of the Consumer Affairs Department, said his agency has yet to conduct any inspections of manufactures for compliance with the order, which went into effect on April 1. “As we are in the COVID-19 crisis, it is not possible to conduct inspections,” he said. “There have been inspections in the markets, and we will take action against those who refuse to comply with the order.” All product labels in Myanmar are required to include information on storage, allergies, warnings and side effects in the Myanmar language, but some local and imported products haven’t met the requirement yet, said Myanmar Consumers Union Secretary U Maung Maung.
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  Government plan to create rural jobs, agriculture and construction jobs opportunities to support farmers under the Myanmar’s COVID – 19 Economic Relief Plan (CERP)

  Jobs in agriculture and construction will be made available to the unemployed under the COVID-19 Economic Relief Plan (CERP), the Ministry of Agriculture, Livestock and Irrigation (MoALI) announced on May 13. “Jobs will be provided by the Agriculture, Irrigation and Rural Development Department under a Cash for Work program for the grassroots to earn some income,” said U Myo Tint Tun, permanent secretary of MoALI. “The program is being implemented in line with the CERP. It is also intended to create agricultural job opportunities as well as support farmers by providing inputs for cultivation and financing. This will also ensure production does not decline during COVID-19,’’ U Myo Tint Tun added.
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  Myanmar MSMEs and factories are suffering the difficulties due to the government authorities order to lock-down to prevent the COVID – 19 pandemic

  Many small and medium businesses and factories are in difficulty after the Myanmar authorities ordered to lockdown and social distancing to prevent the spread of the coronavirus or COVID-19. The lockdown has had a serious effect on many factories that employ hundreds of thousands of people. Bloomberg reports that the majority of the country’s 60,000 registered factories face irreversible damage if shutdown measures prompted by the Covid-19 pandemic are extended beyond May 15, according to the head of the nation’s largest manufacturing trade group. According to Aung Thein, president of the Myanmar Industries Association, many factories that have been unable to operate since early April may collapse if they are not able to operate after May 15.
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  The Central Bank of Myanmar (CBM) reinstated banking hours after businesses and the public complaints emerge

  The Central Bank of Myanmar (CBM) has reinstated banking hours to 9.30am-3pm starting May 12, after businesses and the public urged it to reconsider the current hours in the country. The CBM on April 28 instructed local banks to open from 10am to 2pm for the duration of COVID-19 to prevent the spread of the virus among bank employees and for banking operations to continue smoothly. But since the opening hours have been compressed, the banks have instead been getting more crowded as clients rush to conduct their banking affairs within a shorter timeframe. “Customers are facing difficulties and the banks are getting more crowded. Actually, the CBM should have expanded the banks’ operating hours instead of reducing them,” said U Maung Maung Lay, vice president of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).
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  AIA insurance is still planning to expand more in Myanmar amidst COVID – 19

  AIA insurance is still planning to expand more in Myanmar amidst COVID – 19
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  Myanmar’s mineral exports increased USD $ 282 million as of May in the current financial year when compared to the same period of previous year

  Myanmar’s mineral exports have shown a marked increase this fiscal, touching US$1.16 billion between 1 October and 1 May, an increase of $282 million compared with the year-ago period, according to the data from the Ministry of Commerce. In the corresponding period of the previous financial year, mineral exports were pegged at just $878 million. Both private and public sector mineral exports have recorded an increase in the current fiscal, with private sector exports valued at $705.26 million and public sector exports estimated at $454.87 million. So far, excavation of over 1,250 mining blocks has been permitted on a manageable, small, medium, and large scale, according to the Ministry of Natural Resources and Environmental Conservation. Due to the limited extraction of natural resources, exports of forest products and minerals had dropped significantly in the previous years. Permits for mining blocks were suspended in 2016, but after a period of two years, Myanmar’s mining sector has now been opened to local and foreign investors, according to the ministry. Within two years of the implementation of the Myanmar Mines Law, the Mines Department has approved 144 out of 3,000 proposed mining blocks and many more blocks will soon be granted the permit.
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  Total 22 government ministries allocated 10 percent of budgets for Myanmar’s COVID – 19 Economic Response Plan (CERP) fund

  A total of 22 government ministries have submitted 10 percent of their allocated 2019-20 budgets to help fund Myanmar's COVID-19 Economic Response Plan (CERP) for cabinet approval, said Daw Thida Tun, director general of Budget Department, Ministry of Planning, Finance and Industry. "We instructed the ministries to set aside 10pc for their budgets this fiscal year for the CERP. Some departments may submit less than 10pc as their funds are necessary for national development. For example, income tax revenues will not be approved for the fund," she said. The funds allocated exclude local and foreign loans taken by each ministry, if any. As the budget estimate for 2019-20 has already been approved in Parliament, the 10pc allocations do not need to be resubmitted for further approval.