ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

• 

  Bank of China (Hong Kong) Limited (BOCHK) granted preliminary approval to set up Yangon branch in Myanmar

  Bank of China (Hong Kong) Limited (“BOCHK”) is pleased to announce that it has been granted the preliminary approval by the Central Bank of Myanmar to set up Yangon Branch in the country. Adhering to its strategic goal of “Building a Top-class, Full-service and Internationalised Regional Bank”, BOCHK is actively pushing forward its regional development and expanding its business in the Southeast Asian region. Its branches and subsidiaries have been extended to Thailand, Malaysia, Vietnam, the Philippines, Indonesia, Cambodia, Laos and Brunei.
• 

  Myanmar manufacturing and construction sectors take beating downturn in April as a result of COVID – 19

  The manufacturing sector recorded an accelerated downturn in April as a result of COVID-19, according to a survey from IHS Markit. The headline IHS Markit Myanmar Manufacturing PMI (Purchasing Managers Index) plummeted to 29.0 in April from 45.3 in March, signaling a severe decline in manufacturing business conditions in Myanmar. The PMI is a composite single-figure indicator of manufacturing performance. It is derived from indicators for new orders, output, employment, suppliers’ delivery times and stocks of purchases. Any figure greater than 50.0 indicates overall improvement of the sector. "Myanmar's manufacturing sector nosedived in April as the global economy was rocked by the COVID-19 pandemic. The PMI dropped like a stone to 29.0,” according to Trevor Balchin, Economics Director at IHS Markit.
• 

  China pushed for the implementation of BRI projects as Myanmar Government rolls out the COVID – 19 Economic Relief Plan

  China’s ambassador to Myanmar pushed on Wednesday to gear up for the implementation of Beijing’s key infrastructure projects in Myanmar despite the fact that both countries’ economies are facing a significant slowdown due to the effects of the COVID-19 pandemic. Chinese Ambassador to Myanmar Chen Hai and Myanmar’s Deputy Minister for Planning, Finance and Industry U Set Aung met for ‘in-depth discussions’ Wednesday on the implementation of outcomes from Chinese President Xi Jinping’s visit to Myanmar in January, according to the Chinese Embassy in Myanmar. The Chinese Embassy said that the two discussed how to move forward on the development of China’s ambitious projects in Myanmar based on the Myanmar government’s COVID-19 Economic Relief Plan (CERP). The projects discussed included New Yangon City, Kyaukphyu Deep-Sea Port and Industrial Zone and the China-Myanmar Border Economic Cooperation Zone.
• 

  Total 600 SME factories and workplaces in Mandalay Region resume their operations as of 5 May 2020

  A total of 640 factories and workplaces in Mandalay Region has started to resume their operations as of 5 May, according to a working committee on publication of genuine information and monitoring false news of the coronavirus pandemic. The Ministry of Health and Sports has urged the factories and workplaces to follow the mandatory health guidelines to contain the spread of coronavirus infection. On 4 May, 573 factories were reopened and 22,203 workers returned to work. On 5 May, 67 more factories were reopened again, the committee stated.
• 

  Myanmar Government is negotiating for the funds to rescue embattled economy affected by COVID – 19

  The government is negotiating for foreign aid and assistance from the World Bank, Asian Development Bank and International Monetary Fund (IMF) to help it implement a stimulus plan aimed at providing relief to businesses and industries affected by COVID-19, said U Maung Maung Win, deputy minister of Planning, Finance and Industry. The COVID-19 Economic Relief Plan (CERP), released on April 27, provides relief to the private sector through low-interest loans of up to K500 billion and credit guarantee schemes. The government had received confirmation from its developments partners to support hundreds of millions of dollars in development assistance needed to implement the CERP, according to U Set Aung, Deputy Minister for Ministry of Planning, Finance and Industry on a Facebook update last week.
• 

  Onepay launched its new mobile interbank service application in Myanmar in the midst of COVID – 19 with the goal of reducing social contact and mass gathering

  Onepay this week launched a new mobile interbank platform from which users can transfer money among seven local banks -Asia Green Development Bank (AGD), Ayeyarwady Bank (AYA), CB Bank, KBZ Bank, Myanma Apex Bank (MAB), uab Bank and Yoma Bank - without physically going to any of the bank branches. The service was launched in the midst of COVID-19 with the goal of reducing social contact and mass gatherings as well as to increase convenience. U Aung Zeya Myo, deputy managing director of Onepay, said the intention is for users to gain a simple, secure and convenient way of transferring cash. “Working with our official banking partner AGD to support interbank services in our app is one of the attempts to reach that goal,” he said.
• 

  The value of stock trading on the Yangon Stock Exchange (YSX) reached the lowest in April

  The value of shares traded on the Yangon Stock Exchange (YSX) in April touched the lowest of K902 million with 173,808 shares being traded, due to the long market holidays during Thingyan. In January 2020, 196,836 shares worth K1.25 billion were traded on the exchange while 188,919 shares, with an estimated value of K1.48 billion, were traded on the exchange in February and 228,913 shares valued K1.42 billion were traded in March respectively, the exchange’s monthly report showed. At present, shares of five listed companies — First Myanmar Investment (FMI), Myanmar Thilawa SEZ Holdings (MTSH), Myanmar Citizens Bank (MCB), First Private Bank (FPB), and TMH Telecom Public Co. Ltd — are being traded on the stock exchange.
• 

  Foreign Direct Investment (FDI) crosses more than USD $ 3.446 billion as of 28 April in the 2019 – 2020 financial year

  Myanmar has attracted foreign direct investment of more than US$3.446 billion between 1 October and 28 April in the 2019-2020 financial year, including the expansion of capital by existing enterprises, according to the Directorate of Investment and Company Administration (DICA). The total figure includes investments of $91.85 million in the Special Economic Zones, under the Special Economic Zone Law. Myanmar has set an FDI target of $5.8 billion in the current fiscal, but we cannot measure the impact of coronavirus infections at present, said DICA Director-General and MIC Secretary U Thant Sin Lwin.
• 

  Construction of the Chin State airports are making under process and will be completed this month despite COVID – 19

  Despite some construction delays, Chin State's first airport is expected to open by June. Construction of Surbung Airport in Falam township, Chin State, will be complete by this month, U Soe Htet, a spokesperson for the Chin State government. "Work is progressing on schedule as we have maintained 300 workers on the construction site," he said. The workers are being isolated at the construction site and have been asked not to leave. Likewise, outsiders are not allowed to enter the area. Currently, the K37 million airport is around 75 percent complete with an 800 meter runway.
• 

  Myanmar Investment Commission (MIC) cuts 50 percent service charges for both local and foreign companies in submitting applications

  Myanmar Investment Commission announced 50 percent service charges cut for both local and foreign companies when submitting applications in an attempt to reduce the cost for them when making investment amid COVID-19 outbreak. The cut will continue to be effective until the country make further announcement. After that, the commission will adjust the fees.