Japan seeks opportunity in Dawei SEZ

Japanese officials from the ministry of economy, trade and industry met with the committee chairperson of the Dawei Special Economic Zone on July 20 to discuss investing in the project.

The Dawei Special Economic Zone project was to be carried out by the Italian-Thai Development Plc (ITD) but was halted after the company sought more international backing and financing. 

“The Japanese government intends to invest in the Dawei SEZ project. The meeting was about current situation of the project,” said a high ranking official for the ministry of rail transportation.

Vietnam banks compete for licenses to operate in Myanmar

VietNamNet Bridge – The Bank for Investment and Development of Vietnam (BIDV) is the only Vietnamese bank of 25 foreign banks that have an opportunity to received one of 10 licenses in Myanmar.

The Central Bank of Myanmar has announced a list of 25 banks for the next round, of the 30 banks that have applied for a business license. These banks will continue to compete for the final 10 licenses. The winners will be announced next month.

"The Licensing Committee will evaluate each profile based on detailed quantitative and qualitative criteria. We will analyze their development plans to choose the appropriate names," Myanmar Times quoted the press release from Myanmar Central Bank.

Myanmar planning nuclear reactor for ‘research’, minister says

Myanmar is planning to build nuclear reactors for research purposes after it develops the expertise required to run one safely, Union Minister for Science and Technology Ko Ko Oo told Parliament yesterday. 

He was responding to a question from Upper House MP Myint Kyi, who asked if there were any plans to build a nuclear power station for research. 

“Some assume that use of nuclear energy is dangerous, but there are advantages if it is correctly used,” Ko Ko Oo said. “We need a nuclear reactor for research use as it is very useful in various fields, such as health, agriculture and livestock breeding. To develop nuclear technology, infrastructure is also necessary to prevent radiation and proliferation of nuclear weapons. We are trying to develop human resources to acquire nuclear technology,” he added. 

Myanmar-based DMCs get digital upgrades

THE upgrading of Myanmar's data networks by new telecomms companies in the country are facilitating DMCs' own systems upgrade with many turning to software-based solutions to handle bookings.

A spokesperson from a Yangon-based travel agency who wished to remain anonymous, remarked: “Myanmar’s recent opening resulted in more bookings, and therefore we need a software that can handle this increased workload.”

Such software would allow travel consultants selling packages to perform faster single and cross-country package calculations, as compared to doing them manually.

Kyaukpyu-Kunming railway's cancelled due to public disapproval

The memorandum of understanding (MOU) signed between the Ministry of Rail Transportation and China for the Kyaukpyu-Kunming railway project has expired, according to the Ministry of Rail Transportation.

Myint Wai, manager of the Ministry of Rail Transportation, said on Friday that China has not made any requests to sign another contract and the project will not be implemented due to objections from the people and social organisations in Myanmar.

According to the MOU signed on April 2011, the Kyaukpyu-Kunming railway project was expected to be implemented within three years, but no work has been carried out for the project up to April 2014. As the MOU has expired, it is not valid anymore, according to him.

Myanmar major private bank to launch online banking services soon

YANGON, July 18 (Xinhua) -- A Myanmar major private bank, the Kanbawza Bank, will launch online and mobile banking services soon and a U.S.-based information security company, RSA, will provide protection to its customers from online fraud and cyber threats, according to the bank on Friday.

RSA is the security division of EMC, which is an American multinational corporation.

With more than 200 branches across the country, the Kanbawza Bank has been granted an authorised dealers license by the Central Bank of Myanmar in 2011 to operate foreign banking business.

The bank started with an initial capital of 477 million Kyats ( nearly 500,000 U.S. dollars) in 1999 and has expanded its capital to 113 billion Kyats (117 million U.S. dollars) in 2014, the bank disclosed.

Myanmar to Grant Licenses to Foreign Banks

Myanmar is preparing to grant as many as 10 foreign bank licenses next month, a senior government official said, allowing overseas lenders to start doing business in the country after decades of being frozen out.

But to protect domestic banks, recipients of the coveted licenses will be limited to banking for foreign corporations and foreign-exchange services, according to people close to the licensing process.

Foreign banks, they said, will be limited to one branch, won't be permitted to operate a retail-banking business, and will be allowed to lend only in foreign exchange, and not in the local currency, the kyat.

Japanese Mobile Carrier To Pioneer Myanmar's Growing Mobile Market

Major Japanese mobile carrier KDDI Corp. (TYO:9433) is partnering with Japanese trading company Sumitomo Corp. (TYO:8053) to invest about $2 billion in Myanmar’s state-owned telecommunication business over the next decade, when the country’s telecommunications sector is expected to grow rapidly, the companies said Wednesday.

The two companies signed a deal Wednesday with state-owned Myanmar Post & Telecommunications to jointly operate a mobile phone network in the country, which is opening up to investment after decades of military rule.

About 10 percent of 65 million Myanmar residents use mobile phones, KDDI said, but demand is expected to greatly increase. KDDI and Sumitomo already operate the largest share of a growing mobile market in Mongolia.

SCG invests US$ 400 million to build cement factory

Thailand’s Siam Cement Group is investing $ 400 million to construct the cement factory in Mawlamyine, Mon State.

The construction of the factory is expected to complete in the middle of 2016.

“The priority we are focusing this moment is to manufacture cement and later cement related products such as ready mixed concrete and precast concrete blocks,” saidKanTrakulhoon, SCG president and CEO.

“Myanmar seems developing progressively and infrastructures are needed so cement market will be good. The investments made in industry and housing construction sectors are increasing especially in major cities – Yangon, Mandalay and Nay Pyi Taw,” he said.

Japanese firms to invest in Myanmar's telecommunication sector

YANGON, July 17 (Xinhua) -- Two Japanese firms will invest a total of 2 billion U.S. dollars in Myanmar's telecommunication sector to help the state-owned tele-enterprise expand network and compete with foreign telecommunication operators in providing services, according to the state-run Myanmar Posts and Telecommunications (MPT) Thursday.

The investment will be made by KDDI Corporation and Sumitomo Corporation under a memorandum of understanding signed with the MPT of the Ministry of Communications and Information Technology in Nay Pyi Taw.

Meanwhile, the Groupe Speciale Mobile Association (GSMA) and the Myanmar ministry jointly held a workshop Wednesday on "mobile communications as an agent of inclusion and change" in the capital.

Luxury cars and artisanal cheese: Burma opens up, but true democracy still elusive

RANGOON, Burma — On a recent rain-soaked night, the ancient gold Shwedagon Pagoda, believed to contain relics of the Buddha, glowed through the mist in Rangoon.

Not far away, a more modern scene was unfolding at one of the city’s newest shopping malls, where middle-class families sipped lattes and dined on hamburgers and French fries. Just a few years ago, such cuisine was affordable only for the elite or Western travelers.

Once isolated from the world, Burma, also known as Myanmar, has seen rapid change since 2010, when its military government began a process of democratic reform that prompted Western governments to ease economic sanctions.

US-based Ball to commence construction in October at Thilawa SEZ

Yangon- US-based Ball Corporation has set October to construct its production plant for beverage can becoming the first US investment project at Thilawa Special Economic Zone, said Min Tala Nyan, the company’s country manager.

“We have not finished land preparation during the monsoon. At the end of the rains, we can start construction work. We hope the construction can begin in October,” said the country manager.

The investment project was unveiled at the signing ceremony for the memorandum of understanding on June 6.

More than 3,000 companies registered under foreign investment law

A total of 3,032 foreign-based companies and more than 70 joint ventures have registered to open offices and to operate 720 projects under the foreign investment as of June, according to the Directorate of Investment and Company Administration.

"The investment commission gave approval to mostly garment factories, shoe factories and other manufacturing businesses. This will create employment opportunities for the citizens. On the other hand, labour rights should be ensured. It is bad if foreign investors could not ensure labour rights after getting approval for investment," said an executive from the Union of Myanmar Federation of Chambers of Commerce and Industry.

Highways to be upgraded for Rakhine SEZ

The No 2 Union Highway and Kyaukphyu-Magway route will be upgraded for the Kyaukphyu Special Economic Zone in Rakhine State, the Ministry of Construction said yesterday.

The SEZ is expected to cost US$280 million to develop and the bidding for contracts is open to foreign investors. The two highways are priority connections to the SEZ.

Myanmar has more than 90,000 kilometres in roads. The ministry has built 36 Union roads linking the North and South and 45 connecting east and west. Their combined length is total miles for those roads are 24,700km.

Vietnam plans industrial zone in Myanmar

Vietnam has expressed interest in a setting up of industrial zone focused on the manufacturing of basic wood products and gems and jewelry, according to a bilateral meeting.

Vietnamese firms intend to invest in agriculture, fisheries, wood products, and gems and jewelry, officials said. Myanmar officials said they would help Vietnamese businesses establish the industrial zone in compliance with the Foreign Investment Law.

A bilateral trade committee was formed last year between the two countries to solve disputes, and trade has increased. The committee is working to increase imports of Myanmar agriculture product to Vietnam.

Myanmar invites submission of expression of interest in SEZ development

YANGON, July 14 (Xinhua) -- Myanmar-assigned Singapore-based consortium, led by CPG Consultants, is inviting interested firms to submit expression of interest (EOI) this month for first-phase development of Kyaukpyu Special Economic Zone (SEZ) in western Rakhine state, state media reported Monday.

The consortium was tasked by Myanmar to develop a master project plan for the Kyaukpyu SEZ, the third of its kind in Myanmar.

The initial phase of the Kyaukpyu SEZ development project will have three components, a deep-sea port, an industrial park and an integrated residential area, a statement of the CPG was quoted as saying.

Almost all land taken for Thilawa released, as protest gains ground

Just 200 of the 2,400 hectares of land allocated for the Thilawa Special Economic Zone have yet to be released for industrial use, according to Thilawa SEZ Management Committee.

The announcement comes despite a growing protest by those who say they have been impoverished since being “forced” to make way for the first phase of the project located about 20 kilometres southeast of downtown Yangon.

Last month, with the assistance of Japanese NGO Mekong Watch, people affected by the Japan-Myanmar project they took their protest to Tokyo. Three representatives of the Thilawa Social Development Group made a formal complaint to the Japan International Cooperation Agency, or JICA, which has a stake in the SEZ.

That complaint triggered a formal review of the project by JICA, which has a set of environmental and social guidelines it is required to follow in projects it invests in, as well as an examiner that can investigate alleged violations of these guidelines.

Lenders seek Myanmar banking entrée

TOKYO: Dozens of foreign banks are pushing to launch licensed operations in Myanmar, in a bid round closing on Monday that reveals both pros and cons of entering the fast-opening southeast Asian country, reports the Financial Times. 

Japan’s Mitsubishi UFJ Financial Group, Sumitomo Mitsui Financial Group and Mizuho Financial Group are among a clutch of Asian financial institutions pressing to expand in the nation, as most of their US and European counterparts stay on the sidelines. 

Political uncertainty, infrastructure problems and international sanctions have limited western corporate enthusiasm for Myanmar, although Standard Chartered of the UK and Australia’s ANZ – which, unlike other western lenders, have representative offices in Myanmar – are seen as candidates to enter the banking market. 

Business breakthrough in Burma as UK opens first new Chamber of Commerce

Burma – which had a 244% leap of imports from the UK of £12.8m to £44m in 2013 – today (Wednesday) sees the launch of a ground-breaking Chamber of Commerce.

The UK is the first country to launch a completely new, locally registered Chamber in the attractive emerging Asian market.

The role of the Chamber is to promote, foster, support, and represent UK business interests in Burma (or Myanmar) – directly helping British firms identify market opportunities and providing them with a first port of call when looking to trade in that particular market.

John Longworth, Director General of the British Chambers of Commerce, said: “Burma is the fastest growing economy in South East Asia, with goods exports seeing an increase of 244% in 2013.

Taiwan and Myanmar sign deal on tech cooperation

Taiwan and Myanmar signed a memorandum of understanding Monday on cooperation in the field of information and communications technology.

The memorandum will further expand ICT cooperation and exchanges by promoting exchanges in information technology, business know-how, Chinese language learning, marketing and promotion and development of business opportunities, according to the Taipei Computer Association, one of the signatories.

Representing Taiwan at the signing ceremony was Dennis Hu, CEO of the Taipei Computer Association's International Cooperation Office and the APEC Digital Opportunity Center (ADOC) 2.0 Non-Government Office.