ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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  Government officials from Myanmar and Singapore signed a bilateral agreement on the promotion and protection of investments in Yangon

  Myanmar and Singapore signed a bilateral agreement on the promotion and protection of investments on Tuesday in Yangon. Myanmar representatives led by Union Minister for Investment and Foreign Economic Relation U Thaung Tun and Singapore representatives by Minister for Trade and Industry Chan Chun Sing signed the agreement on behalf of their countries. The bilateral agreement is expected to set the foundation for more regular and stable investments by Singapore. U Min Zaw Oo, the Director of Directorate of Investment and Company Administration (DICA) said the agreement took more than four years to finalise. “Now that we have inked this agreement, we believe Myanmar will attract more investments from Singapore and this will give other countries more confidence to invest with us as well,” he said.
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  Ministry of Commerce (MOC) announced that Ministry will be banned for the trade companies who are failing to register

  The Ministry of Commerce announced that it will not allow wholesale and retail companies to import fertilizers, pesticides, seeds, medical equipment, construction equipment, and agriculture equipment if they failed to register. The Minister started allowing local, foreign, and joint-venture companies to import and sell these types of wholesale and retail products since mid May. However, the ministry also said that the companies must register as a wholesale and retail importer within 90 days after it made the change. Some of the companies have failed to register within the 90 day period, which ended in mid August. The ministry warned that it will take action in accordance with existing laws and regulations.
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  Myanmar’ Trade deficit reached over USD $ 1.2 billion two weeks before the end of the fiscal year

  Myanmar's trade deficit was set to be US$500 million this fiscal year, but it has reached over US$1,200 million two weeks before the end of the fiscal year, according to sources from the ministry of commerce. From October 1 to September 13 in the current 2018-2019 fiscal year, export value amounted to US$15.976 billion while import value totalled over US$17.218 billion, causing a trade deficit of US$1,241 million. During the first-day session of the ninth regular parliamentary meeting, Union Minister for Planning and Finance Soe Win said efforts would be made to have over US$31 billion in foreign trade and promised to reduce to USD 500 million in trade deficit. Seventeen days before the end of this financial year, however, the trade deficit has reached more than US$1.2 billion. But this year's deficit fell by over US$1.930 billion compared to the previous fiscal year.
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  Yangon Region Government made their efforts to open the new compressed natural gas (CNG) fuelling stations in Yangon Region

  A submission for the government to acquire land for a new compressed natural gas (CNG) fuelling station in Yangon Region will be submitted in the coming budget year, said Yangon Region Minister for Agriculture, Livestock, Forestry and Energy U Han Tun during the sitting of the Regional Hluttaw (assembly) on Thursday. The submission will also be sent to the Ministry of Electricity and Energy, U Han Tun said in response to a question from Mayangone township MP U Yan Shin on whether there is plan to build more CNG filling stations in the region for the convenience of users of CNG-powered vehicles. Currently, there are 41 CNG stations in the Yangon Region.
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  Trading on Yangon Stock Exchange (YSX) reached K 1.92 billion in August 2019 which is marked a new high in month-on-month trading for the year

  Trading on the Yangon Stock Exchange (YSX) reached K1.92 billion in August 2019, marking a new high in month-on-month trading for the year, according to market data released by the exchange. January saw trades worth K520 million, but volume went slightly down in February landing at K400 million. The volume of trade in March was the lowest with trade totaling only K390 million, but picked back up in April with K500 million. Things really took off in May with K1.4 billion worth of trades, K1.3 billion in June and K1.2 million in July. However, trade in August was K740 million higher than the amount of trade in July. Out of the five listed companies at Yangon Stock Exchange, shares of First Myanmar Investment (FMI) and Myanmar Thilawa SEZ Holding (MTSH) were traded most. 97,891 shares of FMI valued over K794 million in total were traded at YSX during that period, while over 20,000 shares worth over K790 million were traded.
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  Yangon Regional Tourism Committee endorsed hotel and guest house projects worth K 10.537 billion which expected to create 252 job opportunities

  The Yangon Regional Tourism Committee has endorsed hotels and guesthouse projects worth K10.537 billion, which are expected to create 252 jobs. The decision was taken during a meeting held yesterday at the Yangon Region government’s office. The regional tourism committee has granted licenses to four hotels and one guesthouse, with room occupancy of 224. The ministry has also issued 39 inbound tour licences and one hotel construction permit, according to the committee. So far, the regional tourism committee has issued licences to 37 hotels and nine guesthouses, and a temporary licence to one hotel, with a total of 2,360 rooms. Construction permits have been issued to 19 hotels and 3 guesthouses. Meanwhile, the committee has issued licences to 315 inbound tours, 121 outbound tours, and 218 tour guides. The total capital for hotels and guesthouses is estimated at K130.16 billion and US$238.29 million, with foreign companies investing K5.94 billion and $25.22 million, joint ventures putting in $213.07 million, and domestic companies parking K124.22 billion into projects. The projects have helped create over 2,900 jobs.
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  Directorate of Investment and Company Administration (DICA) reduced the registration fees for the new companies from K 250,000 to K 150,000 starting from October 1, the first month of 2019 – 2020 fiscal year

  In a fresh move to lure more firms to set up shop in Myanmar, fees to incorporate or register a new business in the country will be reduced to K150,000 from K250,000 from October 1, the first month of fiscal 2019-20. The Directorate of Investment and Company Administration (DICA) yesterday issued Notification (84/2019) announcing amended prescribed fees and late lodgment fees under the Myanmar Companies Law 2017. This replaces Notification (57/2018) issued in July last year. The reduction of fees under (84/2019) will be applicable to the incorporation as a private company limited by shares (Form A-1), company limited by guarantee (Form A-3), unlimited company (Form A-4), private company limited by shares under the Special Company Act 1950 (Form A-6) and registration as an overseas corporation (Form A-8).
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  The authorities are being drawn up the bill outlining sugar export and import policies in Myanmar

  A sugar bill prescribing sugar factory policies and sugar export and import policies is being drawn up, said U Win Htay, vice chairman of the Myanmar Sugar and Sugarcane Products Entrepreneurs Association. “We are writing the third bill with certain provisions revoked, while adding provisions to cope with the current situation. Under this law, we will form a board which will decide how much money to collect per one ton of sugar. And, we will give back support to local farmers when the price of sugar declines,” he added. Upon completion of the sugar bill, it is to be submitted to the Attorney General’s office, through which it will be sent to the bill drafting commission. Finally, it will be submitted for approval to the Hulttaw, which will pass the sugar bill for enactment. The sugar bill was drawn up by the sugarcane crop branch under the agricultural department, in cooperation with the Myanmar Sugar and Sugarcane Products Entrepreneurs Association. The sugar bill will detail sugar factory policies, sugar purchasing related policies and regulations in forming the board.
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  Institutional investors in Myanmar plan to set up the Myanmar Private Equity & Capital Association this month

  Leading private equity firms launched the Myanmar Private Equity & Venture Capital Association this month to give institutional investors a collective voice when engaging with the Myanmar authorities. “This launch marks a milestone in the development of the Myanmar economy since the country started opening up in 2012. The investment community has reached critical mass,” said association chair Josephine Price, who is co-founder of Anthem Asia. The membership organisation also counts Delta Capital, Japanese Daiwa PI Partners, London-listed Myanmar Strategic Holdings, Trust Venture Partners’ Yangon Capital Partners and YGA Capital among its founding members. After Myanmar opened up its market in 2012, the country attracted the interest of private equity investors looking to inject their funds. In 2018, startups in Myanmar raised around US$62 million. Online travel firm Oway secured $14.7 million from Japanese multinational business conglomerate Daiwa and the World Bank’s International Finance Corporation.
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  Myanmar Competition Commission warned against monopolies and false marketing in Myanmar

  Myanmar Competition Commission will keep monopolies in check among local businesses, and unfair tender process in government development project “You could have monopoly before, but now, you can’t and won’t now. We will take serious legal action against unfair competition, unfair tender process, and monopolies in accordance with law,” U Than Maung, Vice President of Myanmar Competition Commission, said. A monopoly exists when a specific person or enterprise is the only supplier of a particular commodity. Monopolies can be characterized by a lack of economic competition to produce the good or service, a lack of viable substitute goods, and the possibility of a high price well above the seller's marginal cost that leads to a high monopoly profit. The Competition Law is not to specifically control businesses in the country, but to protect them and consumers, said U Aye Han, a member of the commission.