ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  An industrial zone project within the Kyaukphyu Special Economic Zone (SEZ) in Rakhine State will be developed for US$30 billion

  An industrial zone project within the Kyaukphyu Special Economic Zone (SEZ) in Rakhine State will be developed for US$30 billion, deputy commerce minister U Aung Htoo told Pyithu Hluttaw this week. CITIC Consortium from China owns 51 percent of the industrial zone while the Myanmar government owns 49pc, he said. The industrial zone will be developed on 2400 acres of land and a high-end housing project will also be constructed across 1235 acres. The Kyaukphyu SEZ, which is expected to consist of the industrial zone and a deep sea port, will be developed across 4300 acres of land in total.
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  Foreign Direct investments flowed into power sector tops USD $ 1 billion in the past four months of the current fiscal year

  Foreign direct investment of over US$1.026 billion has flowed from six enterprises into the power sector in the past four months of the current fiscal year, according to statistics provided by the Directorate of Investment and Company Administration (DICA). The total investment in power is higher than in any other sector. During the October-January period, FDI of $2.089 billion, including an expansion of capital, has flowed into the country. The Myanmar Investment Commission (MIC) and the investment committees of states and regions have allowed 106 enterprises to invest in the country. In the current fiscal year, the manufacturing sector has absorbed FDI of $253.25 million. The livestock and fisheries sector has drawn foreign investments of $15.53 million, and over $145.4 million has been pumped into the transport and communications sector, while the hotels and tourism sector has pulled in investments of $27.954 million.
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  Myanmar will start the process of disbursing loans with credit assessments from Myanmar Credit Bureau to commence operations in April

  Myanmar will start the process of disbursing loans supported with credit assessments from the Myanmar Credit Bureau by April, Daw Than Than Swe, director general of the Financial Institutions Supervision Department under the Central Bank of Myanmar, said in Yangon on February 18. “The credit bureau will commence operations in late April," she said. However, it will still take up to one year to collect sufficient and meaningful credit data on local businesses to be provided to the banks, said U Zaw Lin Aung, chair of Myanmar Credit Bureau. The credit bureau is the first in Myanmar. Data from the credit bureau will enable banks to make better loan decisions and strengthen risk management. Meanwhile, individuals or businesses with good credit management will be able to receive loans more quickly, he said.
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  Investments from Hong Kong in Myanmar reached USD $ 1.15 billion in the current fiscal year

  Hong Kong has emerged as the largest investor in Myanmar in the current fiscal with 28 Hong Kong-based firms pumping in US$1.15 billion in real estate development, electricity, and garment businesses as of January, according to the Directorate of Investment and Company Administration (DICA). Hong Kong topped the list of investors in October, followed by Singapore, which invested an estimated $513.46 million in five projects. Investments also flowed into the country from France, Germany, India, Japan, Malaysia, the Republic of Korea, Thailand, the UK, Viet Nam, Samoa, and China (Taipei). Foreign direct investment (FDI) of $2.08 billion flowed into Myanmar during the October-January period, including expansion of capital by existing enterprises, according to DICA. The DICA intends to reach its FDI target of $5.8 billion in the 2019-2020 financial year. “South east Asian countries see investment potential in Myanmar on account of cheap labour and business opportunities. Thus, larger entities are likely to enter the country,” said U Thant Sin Lwin, director-general of the DICA.
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  Only 5 % of land purchase applications in Yangon are complete and valid

  Only 600 out of the 12,000 applications to submit a Request for Proposal for land sold by the Yangon regional government are complete and valid, a Yangon city official said. “Most of the applications are not complete or fail to meet requirements,” said U Maung Maung Oo, a former government staff. The Yangon government has put several plots of land up for sale in Hlaing Thar Yar, Shwe Pyi Thar and Dagon townships as well in Myaung Dagar Industrial Zone in Hmawbi township. The plots of land will be sold at a price fixed by a land price valuation board in Yangon. Land buyers must start a business on the land within six months of purchase. The land cannot be sold in the first three years.
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  The 32nd regular meeting of private sector development committee with entrepreneurs was held in Yangon

  The 32nd regular meeting of private sector development committee with entrepreneurs was held at UMFCCI in Yangon on Saturday with an opening speech by Vice President U Myint Swe. In his capacity as the Chairman of the Private Sector Development Committee, the Vice President pointed out the importance of trading for the development of country as well as highlighted on promotion of investment opportunities. He also urged to work on systematic scrutinizing on the issues of illegal trading in border areas. The Vice President also added the committee efforts on promotion of the ease of doing business in Myanmar. The meeting stressed on the losses due to the current outbreak of coronaviurs (COVID-19) saying about 209 million USD decrease in border trading compared to the same period of last fiscal year.
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  Yangon Region Investment Committee (YRIC) approved 16 foreign, one domestic proposal to create over 8,000 expected jobs

  The Yangon Region Investment Committee, at a meeting held on 19 February, has approved 16 foreign projects, with an estimated capital of US$28.507 million. It has also endorsed one domestic project worth K3 billion. The projects will create over 8,900 jobs, according to the committee. The manufacturing sector has attracted the most foreign investments in Yangon Region, with enterprises engaging in the production of pharmaceuticals, vehicles, container boxes, and garments on a Cutting, Making, and Packing (CMP) basis. Also for the current fiscal year, the YRIC has approved 68 domestic and foreign projects in the manufacturing sector, bringing in $124.259 million and K7.27 billion. The investments in the regions also flowing into the hotel services, and other services sectors. To date, foreign investments from China, Singapore, Japan, Hong Kong, the Republic of Korea, Viet Nam, India, China (Taipei), Malaysia, the British Virgin Islands and Seychelles are arriving in the region.
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  Myanmar Garment factories may have to shut down temporarily by March due to a shortage of raw material from China

  The Myanmar Garment Manufacturers Association (MGMA) says it fears that half the garment factories in the country may have to shut down temporarily as soon as March, due to a shortage of raw materials from China. The association announced this during a press conference at the Union of Myanmar Federation of Chambers of Commerce and Industries (UMFCCI) headquarters in Yangon last Friday. According to the association, garment manufacturers in the country may be forced to take such action due to a shortage of raw materials from China. Some 90 percent of the raw materials such as fabrics, textiles, and zips used by garment factories in Myanmar come from China, and supplies have been curtailed due to the coronavirus outbreak in China.
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  Myanmar’ trade deficit increases over USD $ 1 billion as of 14 February in the current financial year

  Myanmar’s trade gap widened to over US$1 billion between October and mid-February in the current financial year, an increase from $971.8 million registered in the corresponding period of the 2018-2019FY, according to data provided by the Ministry of Commerce. Between 1 October and 14 February, Myanmar’s external trade increased to over $14.5 billion from $12.38 billion recorded in the year-ago period. While exports were estimated at $6.76 billion, imports were valued at $7.77 billion. Compared to the previous fiscal, exports showed an increase of $1.05 billion, while imports climbed by $1.094 billion. Myanmar exports agricultural products, animal products, minerals, forest products, and finished industrial goods, while it imports capital goods, intermediate goods, CMP raw materials, and consumer goods.
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  Legal Training on Real Estate Financing was held in Yangon to raise awareness and promoting foreign investment

  Myanmar Real Property Development Association (MRPDA) offered the Legal Training on Real Estate Financing in Yangon (3/2020) on 23rd February. The training aims to raise awareness on Anti-Money Laundering Law, Anti-Corruption Law and Real Estate Services among the real estate brokers and to promote foreign investments through the talented brokers. Chairman, Myanmar Real Property Development Association, Tin Maung said “This is the place where the attendances can learn the knowledge of existing laws regarding the real estate financing in Myanmar and apply in their workplace. The Anti-money laundering Law is really beneficial to get more foreign investments in Myanmar. We are trying to implement the laws in cooperation with the government to promote the development of real estate in Myanmar.”