Analysis

Myanmar's banks invest in technology to modernise operations
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Not only are Myanmar institutions improving in safety, soundness and accountancy, they are also expanding their use of technology. Several banks are adopting the latest systems in an effort to become modern financial services companies, while more generally the country is developing its digital strategy to allow for channels that enhance the banking system. The hope is that the sector will…

Analysis

New economic legislation to facilitate economic growth in Myanmar
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The government of Myanmar has passed a wide range of legislation aimed at economic reform since 2010. While much remains to be done, the body of new law on the books is substantial, covering areas from lighthouses to central banking. The new government under the National League for Democracy has been careful in introducing its own legislation, but it has been implementing much of what was passed…

Analysis

Rise of 4G set to expand client base in Myanmar's telecoms sector
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The rollout of 4G services combined with rising incomes in a data-hungry nation is set to drive growth in Myanmar’s telecoms sector for the foreseeable future. After two years of international operators entering the market, data consumption has surpassed neighbouring countries and continues to accelerate, fuelled by affordable smartphones. More Services In May 2016 Ooredoo became the first of…

Analysis

Foreign ownership law on high-rise condominiums could catalyse foreign investment to Myanmar
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Since Parliament approved a long-awaited Condominium Law in January 2016, real estate stakeholders have been hoping to see sales surge, with foreigners now permitted to own property for the first time. Implementing the law is proving problematic, however: unclear regulations regarding criteria for condominiums have left investors uncertain, land classification and allocation remain major challenges,…

Analysis

Increasing credit options available to Myanmar's small-hold farmers
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While the financial services industry in Myanmar continues to move forward, the provision of funding remains the biggest roadblock to small-hold farmers. For the most part, banks lack flexibility due to rigid interest rates and overprotective collateral-based lending, which hinders their ability to provide finance to farmers. Likewise, a lack of tenure security accentuates the limited amount of rural…

Analysis

Logging and export bans implemented in Myanmar to slow deforestation
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Myanmar’s timber industry has long lined the pockets of loggers, both legally and illegally. In recent times, however, deforestation has spun out of control, and the vast forests of the country’s landscape are gradually shrinking. According to the Ministry of Natural Resources and Environmental Conservation’s Forestry Department, 58% of the country was covered by forest in 1990, but by 2010…

Analysis

Rising foreign investment in Myanmar's food and beverage segment
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International retail investors have flocked to Myanmar’s food and beverage (F&B) segment in recent years, drawn by a rising middle class with disposable incomes for F&B purchases, though not yet more expensive internationally branded fashion and consumer goods. Recognising the growth potential, a host of US fast-food chains have moved to enter the market or expand their offerings in recent…

Analysis

Sector plan in Malaysia foresees development of industrial clusters and legislative reform
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The new administration of the National League for Democracy (NLD) has highlighted industrial development as a top priority, evidenced by the recent release of a long-term industrial strategy expected to boost the sector’s GDP contribution to nearly 40% over the next 13 years. Under the plan, new investment in key economic corridors will be underpinned by development of industrial clusters, including…

Analysis

New legislation in Myanmar's mining sector clears way for investment in natural resource development
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In a effort to usher in a new wave of investment into natural resource development, the previous ruling party passed the 2015 Mining Law during the final stretch of U Thein Sein’s presidential term. The initial injection of foreign capital was stunted by a sluggish permit process and a glut in commodities, but reforms continue to improve the business climate. Recent Trends From a global perspective,…

Analysis

Increasing passenger numbers lead to Myanmar airport infrastructure upgrades
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Buoyed by years of surging visitor arrivals, Myanmar’s aviation sector is set for robust long-term expansion, as the Department of Civil Aviation moves forward on a number of projects aimed at boosting capacity. Chief among these is the construction of two new terminals at the country’s primary aviation hub, Yangon International Airport (YIA), one of which came on-line in early 2016. The planned…