Weekly Business News from Myanmar

Myanmar and South Korea pledged to cement their economic cooperation, trade, investment and energy sector to help overcome the economic fallout from the pandemic in Myanmar
Myanmar and South Korea have agreed to cement their economic cooperation, particularly in the trade, investment and energy sectors, to help Myanmar overcome the economic fallout from the coronavirus pandemic. Speaking via videoconference during Wednesday’s first meeting of the two countries’ Joint Commission for Trade and Industrial Cooperation, South Korean Trade, Industry and Energy Minister Sung Yun-mo said his country would boost investment and trade relations with Myanmar despite COVID-19’s hampering of the economy. The meeting aimed at finding ways for Myanmar to expand economic ties with South Korea. The two sides exchanged ideas on pressing economic issues between the two countries relating to COVID-19.
The Financial Literacy Festival was launched to remove the gap in access to financial services in Myanmar
The Financial Literacy Festival, a week-long virtual learning program on financial literacy, was launched today by Prudential Myanmar, Yoma Bank and Phandeeyar Institute to remove the gap in access to financial services and raise financial literacy among the people in Myanmar, according to a statement. The festival is designed to strategically provide support to individual students, micro, small and medium enterprises (MSMEs), as well as the general public by enhancing their financial literacy skills and capacity of leveraging digital solutions.
Myanmar rice trade through sea accounted for 84 percent in the 2019 – 2020 financial year
Myanmar maritime trade constituted 84 per cent of rice exports. It generated an estimated income of US$646.759 million as of 4 September in the current financial year, as per data from Myanmar Rice Federation (MRF). Earlier, border trade was relatively high compared to sea trade in terms of rice exports. Since the previous financial year, border trade has dropped, and currently, it accounts for just 14 per cent of the total rice exports. Rice exports through the borders have generated an estimated $117.669 million in the current financial year. MRF expected to ship 2.4 million tonnes of rice, and broken rice in the current FY and the country meet the export target before the financial year-end. Between 1 October and 4 September, Myanmar sent over 402,528 metric tons to neighbouring countries through border trade, while over 2.09 million tonnes of rice and broken rice were shipped to foreign trade partners via maritime trade, totalling over 2.5 million tonnes.
Dai -ichi Life Insurance Myanmar is ready to deliver its “Peace of Mind” propositions to Myanmar communities
Dai-ichi Life Insurance Myanmar announced that it is ready to deliver its “Peace of Mind” propositions to the Myanmar community as it celebrates the 118th. anniversary of Dai-ichi Life Group on September 15. Founded in 1902 by Tsuneta Yano, The Dai-ichi Life Insurance Company was the first mutual life insurance company in Japan and has since expanded into nine countries, serving over 66 million customers. “We are extremely proud of Dai-ichi Life’s longevity and are excited to continue to bring its principles to Myanmar while also striving to ensure that people live a limitless life knowing that Dai-ichi Life will be by their side, serving our customers to meet their financial goals, thereby enhancing their financial security in any stage of life,” said Daw Zarchi Tin, the Chief Executive Officer of Dai-ichi Life Insurance Myanmar.
Myanmar’s external trade increased USD $ 1.84 billion between 1 October and 4 September in the current 2019 – 2020 financial year when compared to the same period of previous year
Myanmar’s external trade between 1 October and 4 September in the 2019-2020 financial year touched a high of US$34.35 billion, an increase of $1.84 billion compared with the corresponding period of the 2018-2019FY, according to the Ministry of Commerce. During the same period in the previous FY, trade stood at $32.5 billion, according to the data released by the ministry. Myanmar’s foreign trade has shown a 10-per cent increase, year over year, under the incumbent government. Myanmar has already reached a total trade value of $34 billion for the current FY, said an official from the ministry.
Myanmar is endeavouring to penetrate US fish and seafood market with local fisheries exports to effectively mitigate the impacts of the pandemic
Myanmar fisheries sector is hit hard by the coronavirus fallouts, and the Ministry of Commerce is endeavouring to penetrate the US’s fish and seafood market, Yangon Region Fisheries Department stated. The offshore fishing season commenced on 1 September, and fish and shrimp supply has entered Yangon starting from 7 September. Myanmar fishery products exports to the countries in Asia have been severely affected by the global coronavirus outbreak. To effectively mitigate the impacts of the pandemic, the ministry is exerting the concerted efforts to enter the US fish market.
Myanmar traders are expecting border trade to take another hit as China closed key customs gate to curb the spread of COVID – 19
Traders at Myanmar’s largest border crossing with China, in Shan State’s Muse, are expecting border trade to take another serious blow following China’s decision to shut a crucial customs gate to curb the spread of COVID-19. On Tuesday, authorities in Ruili, the town across the border from Muse in China’s Yunnan Province, imposed a lockdown and ordered that all residents be tested for COVID-19 after two Myanmar nationals tested positive there. Chinese officials also shut down Ruili’s customs clearance office, a crucial checkpoint for goods from Myanmar. “Border trade has stopped completely. Since the customs gate is no longer in service, we can’t export any goods to China,” U Min Thein, vice chairman of the Muse Rice Wholesale Center, told The Irrawaddy.
Myanmar is ready to export rice if the Republic of the Korea (ROK) send the purchase proposals for the emergency reserve to Myanmar
Myanmar is willing to sell rice if the Republic of Korea delivered the purchase proposals for the emergency reserves to Myanmar, said U Ye Min Aung, president of Myanmar Rice Federation (MRF). To maintain the price stability and build food security for the possible natural disaster, the government of ROK will start the annual purchase of rice for the emergency reserves in the third week of September. Under the plan, Korea will purchase 340,000 tonnes of rice for the reserves by the end of this year, along with 10,000 tonnes for foreign aid, according to the Ministry of Agriculture, Food and Rural Affairs of Korea.
Yangon Region Directorate of Hotels and Tourism will start provide online service for administrative procedures
Yangon Region Directorate of Hotels and Tourism temporarily shut down its office, yet it will provide online service for managerial procedures, the department stated. In a bid to contain the surging coronavirus cases, only the staff were allowed in the Yangon Region government office compound starting from 14 September. The current coronavirus resurgences in the region led the department to go digital platform to facilitate those work matters, including business licence, the extension of permit and changing the business name and the company’s principal place. Therefore, those who want to contact the regional directorate can contact through mail address yangon@tourism.gov.mm and in-person contact will be informed later, notified the directorate. The regional tourism committee, at the meeting held in Yangon Region government office compound on 3 September, issued licences to one hotel and three guesthouses, with a total of 2,360 rooms; and construction permits have been granted for two hotels, with an estimated capital of K9.353 billion.
Asian Development Bank (ADB) forecasted to bounce back 6 percent in 2021 despite the current economic fallout in Myanmar
Although Myanmar’s GDP growth has fallen to 1.8 percent due to the effects of COVID-19, the Asian Development Bank (ADB) has reported that growth is forecast to bounce back to 6 percent in 2021. The bank’s Wellness in Worrying Times: Asian Development Outlook 2020 forecasts Myanmar’s GDP growth for the fiscal year ending Sept. 30 will fall by more than a half due to COVID-19. However, the projected GDP would bounce back almost as dramatically, ADB said. It said growth will be supported by a stable performance in agriculture, higher government spending and expansion in the telecommunications sector. ADB reported Myanmar’s GDP growth at 6.7 percent in the last fiscal year before falling to 4.2 percent in April and 1.8 percent since June.