ข่าวเศรษฐกิจและธุรกิจประจำสัปดาห์

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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.”
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  European Union (EU) monitoring mission expected to visit Myanmar to withdraw Cambodia’s market privileges in mid-February

  An EU monitoring mission is expected to visit Myanmar again before this summer following the EU commission’s decision to withdraw Cambodia’s market privileges in mid-February. Kristian Schmidt, the EU ambassador to Myanmar, told The Myanmar Times in an exclusive interview that he expects the mission to arrive before summer with an aim to examine and review the country’s progress in improving human rights and labour situations. The EU last sent a mission to the country in October 2018, after which the trade commission announced it was considering revoking trade privileges offered to Myanmar due to human-rights violations in northern Rakhine. Since then, the EU has been waiting for the Myanmar government to deliver on some of its commitments to improve the situation in Rakhine, Schmidt added.
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  Border trade volume reached to about USD $ 4 billion within over four month in this fiscal year

  Total border trade volume is reached to about US$4 billion from October 1 to February 7 in this fiscal year and it is more US$580 million in compared with the same period in last fiscal year, according to Ministry of Commerce. Myanmar earned US$1.918 billion from Muse border trade center, which is mainly traded with China and it is more US$230 million in compared with the same period in last fiscal year. The border trade camps in Myanmar are Muse, Lwejel, Chinshwehaw, Kanpikete, Kengtung, Tachilek, Myawady, Kawthoung, Myeik, Nabulel/Htikhee, Mawtaung, Mesel, Sittwe, Maungdaw, Tamu, Reik, Htantalan and Kyainglek.
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  The Securities and Exchange Commission of Myanmar (SECM) will allow foreigners to invest in the local equity market in March

  The Securities and Exchange Commission of Myanmar (SECM) will allow foreigners to invest in the local equity market from next month. “Regarding foreign participation on the YSX, they will be allowed to start trading shares on the YSX by March, and the details on foreign trades on the exchange will be announced next month,” said an official from the YSX. The Securities and Exchange Commission of Myanmar, under the Ministry of Planning, Finance and Industry, issued a notice on 12 July, 2019, announcing that foreigners would be allowed to invest in shares listed on the YSX. Securities companies will monitor the daily trades of foreigners, in keeping with the rules and regulations, so that they do not exceed the limit set for each listed company. In addition, the SECM is striving to promote listing of companies on the YSX and proceed with foreign participation on the exchange, the official added.
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  Investments by fully foreign-owned and joint-venture insurance firms tops USD $ 127 million in this fiscal year

  Capital investments by 11 recently licensed, fully foreign-owned and joint-venture insurance companies have amounted to $127 million plus K67 billion, according to the Directorate of Investment and Company Administration (DICA) DICA data show that, from the beginning of the 2017 fiscal year to January of this year, the five foreign-owned life insurance firms have invested $69.89 million, the three joint-venture life insurers have invested $34.7 million plus K10.61 billion and the three joint-venture general insurance firms have invested $26.43 million plus K56.7 billion. “Insurance businesses do not fall under the purview of Myanmar Investment Law or the Myanmar Investment Commission. However, we are disclosing this information to let the public know,” said DICA director general U Thant Sin Lwin. Starting in 2013, Myanmar opened up its insurance industry to private-sector participation. In April 2019, the government approved the entry of five foreign life insurance firms and five joint-venture insurers.
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  The new Thanlyin – Bag0 – Kyaikhto highways proposed and expected to start with the assistance from JICA and ADB

  The government is set to build new expressways connecting Yangon Region, Bago Region, and Mon State with assistance from the Japan International Cooperation Agency (JICA) and Asian Development Bank (ADB), a senior official of the Ministry of Construction has announced. Deputy Minister of Construction U Kyaw Lin said that work is expected to start soon on a new road link connecting Thanlyin in the Yangon Region to Bago in the Bago Region. The project, expected to cost US$160 million (K228.5 billion), will be built with help from JICA. U Kyaw Lin said another project involving a new expressway connecting Bago in Bago Region to Kyaikhto in Mon State, is being negotiated. The project, estimated to cost around US$500 million), will involve assistance from the ADB. “These two projects with assistance from JICA and ADB will connect Yangon to the capital of Mon State, Mawlamyine, and will involve building a new bridge over the Sittaung River,” said the deputy minister.
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  Chin State Chamber of Commerce (CSCCI) seeks tax breaks on import of old off-road vehicles

  The Chin State Chambers of Commerce and Industry (CSCCI) has forwarded a request to the Private Sector Development Committee, led by Vice President U Myint Swe, to permit importation of old-model off-road vehicles with Chin State licence and grant tax exemption on imports of budget cars for the benefit of hotels and tourism entrepreneurs in Chin State. U Kap Khen Pau, chair of the CSCCI, made the request at the 32nd regular meeting of the Private Sector Development Committee with private entrepreneurs on 22 February at the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry. “Chin State’s roads are not suitable for luxury vehicles. Only station wagons that are specially designed for rough roads can run in the state. At present, the import of old model cars is restricted in the country, and only latest models are allowed. Travel entrepreneurs cannot afford to buy the latest model cars,” said U Kap Khen Pau.