Posts in category: INVESTMENT

MYANMAR’S transport and communications sector attracted foreign direct investments of US$87.7 million in the first half (April-September) of the current financial year 2024-2025, including the expansion of capital by the existing enterprises, according to the statistics released by the Directorate of Investment and Company Administration (DICA). The Myanmar Investment Commission gave the green light to 30 foreign projects from various countries including China, Hong Kong SAR, India, Indonesia, and Thailand to make investments of $223 million in the past six months, adding increased capital by the existing enterprises.

The transport and communications sector pulled $87.7 million with a capital expansion of $82.66 million this FY. The manufacturing sector drew $81.225 million, and the services sector received $44 million. The power sector brought in FDI of $8.5 million, while investments of less than one million flowed into the agriculture sector, respectively.

Singapore has so far invested $87.74 million of FDI in the H1 of the current FY, followed by Thailand and
China. There are 2,485 permitted foreign projects from 53 countries under the Myanmar Investment Law and the Special Economic Zone Law as of September 2024. Of them, 1,958 from 48 countries are existing projects, with China, and Hong Kong SAR as the leading investors in the country so far.

Source: The Global New Light of Myanmar

The Bago Region Investment Committee (BRIC) greenlit one foreign enterprise with an estimated capital of US$1.2 million, according to its meeting held on 16 August.
Between 1 February 2021 and August 2024, $201.315 million and K81.11 billion flowed into the region, creating 12,490 jobs for locals.
The factories in the designated area of the industrial park are given priority for investments. The labour-intensive businesses, such as CMP enterprises and import-substitution businesses with local products, will be prioritized as well. Additionally, BRIC endorses food processing factories in the region after conducting social and environmental impact assessments in line with rules and regulations of the Food and Drug Administration to ensure food safety.

Source: The Global New Light of Myanmar

According to U Nyi Nyi Min, Secretary of the Yangon Region Government, the region has approved three new foreign investments and one Myanmar citizen investment in July 2024, resulting in the creation of 1,491 new jobs.
“At the Yangon Region Investment Committee meeting 7/2024 held on 25 July, one investment by a Myanmar citizen in the hotel service sector and three foreign investments in industrial production sectors were approved. These four new investments totalled K1,210 million and $2.704 million. They will generate 1,491 job opportunities,” said U Nyi Nyi Min.
The report highlights an increase in both existing and new investment amounts, as well as a rise in the workforce during this period. The Yangon Region Investment Committee reviews and approves new Myanmar and foreign investments monthly, in line with laws, rules, and regulations, to foster job creation within the region.

Source: The Global New Light of Myanmar

Ambassador U Soe Lynn Han, Head of the Mission of the Republic of the Union of Myanmar to Belgium, the Netherlands, Luxembourg and the European Union (European Commission), invited foreign investments from Luxembourg, according to the Ministry of Foreign Affairs.
The fourth ASEAN Day 2024 was held under the theme of “Connecting the dots for a sustainable future” at the Luxembourg Chamber of Commerce on 3 June.
Myanmar Ambassador U Soe Lynn Han attended and elaborated on investment opportunities and challenges. Then, he invited foreign investments from Luxembourg.
Myanmar has enjoyed unilateral trade preference from the EU’s Generalized Scheme of Preference (GSP) and Everything but Arms (EBA Programme).
The Myanmar Ambassador attracted Luxembourg investors to produce import-duty-free goods in Myanmar under the GSP and EBA that can create jobs for locals. Following the presentation of the respective ambassadors from ASEAN regarding investment opportunities in the region, ASEAN representatives met with business delegates from Luxembourg separately and further discussed business and investment opportunities.
Prince Guillaume of Luxembourg attended the 4th ASEAN Day 2024 as honorary chairperson of the Board of Economic Development of the Grand Duchy of Luxembourg, an agency for economic promotion and development.
Mr Xavier Bettel, Deputy Prime Minister of Luxembourg and the Minister for Foreign Affairs and Trade, and Mr Lex Delles, Minister for Economy, SME, Energy and Tourism, also attended the event and joined a business lunch with ASEAN ambassadors.
ASEAN Day 2024 is a biannual event organized by the Luxembourg Chamber of Commerce and ASEAN-Brussels Committee to provide a platform for Luxembourgish companies to exchange information between Luxembourg and ASEAN and explore business opportunities in the ASEAN region. 

Source: The Global New Light of Myanmar

According to the Directorate of Investment and Company Administration (DICA), a total of 63 foreign investments, amounting to US$651.9 million, were recorded in the 2023-24 financial year. The majority of these investments were in the industries and electricity sectors.
China and Thailand were the main contributors to foreign investments, with most investments coming from these countries. In the same financial year, there were 69 Myanmar citizen-owned investments worth K1,287.3 billion, surpassing the anticipated K990 billion.
In the 2022-23 financial year, Myanmar received over $1.64 billion in foreign direct investments, primarily from Singapore, China, and Thailand, as per the statistics. 

Source: The Global New Light of Myanmar

Negotiations are underway to attract foreign agricultural companies to invest in Myanmar by growing oil crops on vacant land, according to U San Lin, Chair of the Myanmar Edible Oil Dealers’ Association. This initiative aims to achieve self-sufficiency in edible oil production.
Despite cultivating marketable oil crops domestically, Myanmar’s production of edible oil remains low due to limitations in grinding and milling technology. As a result, locally grown peanuts are exported as raw produce rather than processed into peanut oil.
To address this challenge, the Myanmar Edible Oil Dealers’ Association is engaging in negotiations with foreign agricultural companies. These companies would be granted permission to cultivate oil crops, such as sunflowers, on vacant and unused land in the country.
“We are negotiating with foreign agricultural companies interested in investing in Myanmar’s agricultural sector,” explained U San Lin. “We have vacant land available, and we will collaborate with relevant authorities to facilitate land acquisition. Once land is secured, these companies will be allowed to establish factories and oil mills nearby to process the crops into edible oil.”
This initiative is crucial as Myanmar’s domestic production of edible oil (approximately 300,000 tonnes annually) falls significantly short of national consumption (around 1,200,000 tonnes annually). Consequently, Myanmar imports nearly 900,000 tonnes of edible oil each year, with over 90 per cent originating from Indonesia and Malaysia. 

Source: The Global New Light of Myanmar

Statistics from the Ministry of Investment and Foreign Economic Relations reveal that Singaporean investments in Myanmar rank highest between February 2023 and January 2024.
The report indicates that China holds the second position in Foreign Direct Investment in Myanmar, with US$236.264 million, following Singapore with US$346.407 million. Japan occupies the third position with US$99.353 million.
From February 2023 to January 2024, 77 businesses were permitted to expand their investments across eight sectors, amounting to US$774.084 million. Of these, US$374.525 million was allocated to the electricity sector, US$189.38 million to the industrial sector, and US$93.276 million to the service sector, as per the report.
During the same period, 74 Myanmar national businesses were given the green light to expand their investments across nine sectors, amounting to K1,295.254 billion. K876 billion was earmarked for the industrial sector, K169.843 billion for the electricity sector, and K117.05 billion for the livestock and fishery sector.

Source: The Global New Light of Myanmar

According to statistics released by the Yangon Region Investment Commission, 62 local and foreign investments were made in Yangon Region in 2023.
Of these, 46 were foreign investments, three were joint ventures, and Myanmar citizens made the remaining 13. Most investments were in the electricity, service, and industrial sectors.
These foreign direct investments (FDIs) created over 32,000 job opportunities and came from countries such as China, Japan, South Korea, Thailand, and others.
The endorsed enterprises covered a wide range of sectors, including the distribution of electricity from solar energy systems, oil production from grinding peanuts and sunflowers, purification and manufacturing of palm oil, dyeing and printing on fabrics and textiles, garment factories using the CMP system, warehousing and logistics services, hotels and tourism services, rice grinding and polishing, manufacturing various types of electric wires, manufacturing of aluminium, tin, and copper for export, exporting high-value rubbers, producing and selling cardboards in the domestic market, manufacturing various types of shoes with cut, make, and package systems, manufacturing and exporting construction materials, packaging and exporting fruits and vegetables with cold storage systems, manufacturing instant noodles, manufacturing value-added rice, grinding and polishing beans and pulses for export, and manufacturing construction-used grinding stones.

Source: The Global New Light of Myanmar

HALF-YEAR profit of the First Myanmar Investment Public Co Ltd (FMI Group) up to September 2023
increased more than 68 per cent, and the revenue rose 43.9 per cent compared with the corresponding period last year, the group said on 16 December. FMI earned K229.4 billion and K159.4 billion in this and the previous half of the financial year, respectively, up 43.9 per cent, mainly thanks to financial services (Yoma Bank) and healthcare services (Pun Hlaing Hospital Group). Yoma Bank earned K190.7 billion and K130.4 billion in this and last year’s half-financial year, respectively, a 46.2 per cent increase, mainly due to various bank loans and banking services. Pun Hlaing Hospital Group earned K 38 billion and K 29 billion in this half financial year and last year, respectively, increasing 31.4 per cent, mainly due to medical checkups, emergency treatment, and inpatient and outpatient medical services.

As a result, FMI Group made a gross profit of K90.9 billion, up 68.6 per cent compared with K53.9
billion last year. Memories Group, a travel agency of FMI Group, that has signed management contracts with famous buildings in Yangon, such as Boutique Hotel, Governor Residence and British Club, is expanding its resort services market amid the challenges of declining foreign tourist arrivals and slowing domestic tourism services, it also stated.

Source: The Global New Light of Myanmar

The Myanmar Investment Commission approved three new investment projects that will create 744 local job opportunities in the industrial and agricultural sectors on 1 December. In the meeting held at the office of the Union Government in Nay Pyi Taw, the Myanmar Investment Commission approved investments amounting to US$0.180 million and more than K300 billion.

Till the end of October 2023, among 52 countries and regions that have invested in Myanmar, the largest investor countries are Singapore, China, and Thailand, respectively. Among 12 kinds of businesses in Myanmar, 28.49 per cent of the total investment flowed into the energy sector. The investments for oil and natural gas sector accounted for 24.44 per cent and the industrial sector, 14.39 per cent, respectively.

Source: The Global New Light of Myanmar