The rising disposable incomes of Myanmar’s rapidly growing middle class are changing the make-up of local retail, driving demand for aspirational goods and quality floor space. Strong retail demand has seen occupancy rates in the commercial capital Yangon rise to 95% as of the beginning of this year, according to a report issued by property consultancy Colliers International. Even with almost…
Some 20 years after the Asian financial crisis brought many Southeast Asian nations to their knees, business sentiment is buoyant in a region that now functions as one of the primary engines of global growth, according to the results of our inaugural Business Barometer: OBG in ASEAN CEO Survey. Around 84% of executives surveyed across six ASEAN states – Indonesia, Malaysia, Myanmar, the Philippines,…
Business Barometer: OBG in ASEAN CEO Survey Copyright (c). All rights reserved. This survey has been designed to assess business sentiment amongst business leaders (Chief Executives orequivalent) and their outlook for the next 12 months. Unlike many surveys, the OBG Business Barometer is conducted by OBG staff on a face-to-face basis, across the full range of industries, company sizes and…
Building on positive performance in recent years, Myanmar’s economy is set to continue gaining momentum in the near and medium term, despite concerns over the slow pace of economic reforms and social unrest in Rakhine State. The economy is expected to grow by 6.7% in FY 2017/18, which ends in March 2018, according to an IMF forecast released in November. The figure is significantly above the 5.9%…
Although they comprise 98% of businesses in Myanmar, small and medium-sized enterprises (SMEs) are facing a host of growth impediments as the process of economic liberalisation accelerates, including low levels of legal and financial inclusion, infrastructure deficits preventing businesses from fully capitalising on growth in domestic and regional supply chains, and a burdensome regulatory environment. The…
Myanmar continues to rank low on the World Bank’s annual “Doing Business” report, which measures the investment attractiveness of countries across 10 indicators. However, recent legislation, including the 2017 Investment Law, 2016 Arbitration Law and new anti-corruption measures, have paved the way for a sharp improvement, with the government targeting an improvement in the rankings in the coming…
Approved foreign investment in Myanmar has dropped off since the early years of economic liberalisation. The government now seeks to attract new inflows in an effort to boost exports and employment, reduce the trade deficit and diversify the production base. Companies Law A number of major legal reforms have been rolled out to increase international trade and investment. The most recent of these…
Myanmar’s electrification rate is among the lowest in South-east Asia, despite the country holding abundant hydropower resources that should easily enable it to reach energy self-sufficiency. With electricity consumption rising sharply in recent years, and forecast to triple by 2030, the government of Myanmar is moving to deploy dozens of new power plant projects in an effort to reduce shortages…
In an effort to further strengthen a formidable telecoms sector, the Posts and Telecommunications Department – under the Ministry of Transportation and Communication – granted a fourth mobile operator licence to Myanmar National Tele & Communications in January 2017 following a period of negotiations. With an initial investment of $2bn, the new player launched operations on February 12, 2018…
Myanmar’s downstream oil and gas sector is slated for expansion in the coming years, as declining production at its big four offshore gas fields, limited domestic refining capacity, and rising fuel imports and electricity consumption create new investment opportunities for the private sector. One of the largest recent downstream developments saw a crude oil pipeline running to south-western China…
