Special economic zones (SEZs) are essential to Myanmar’s development. While the country is liberalising rapidly, the process will take some time. Regulations have to be written, and infrastructure needs to be upgraded in areas with legacy issues. Thilawa The development of Thilawa SEZ, which lies 25 km from Yangon, has been smooth. The first phase, the 400-ha zone A, was opened in 2015,…
While Myanmar has been a member of the ASEAN bloc since 1997, its capacity within that organisation – and indeed, within regional and international politics as a whole – was severely limited by the military regime of the time. Indeed, international sanctions and condemnation led to the country skipping its turn as ASEAN chair in 2006, under the organisation’s rotating leadership system. Moving…
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 be…
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…
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…
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,…
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…
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…
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…
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…
