Myanmar Confronts Towering Problem of Office Space Shortage

Myanmar is scrambling to put up more office blocks in Yangon, fearing that an acute shortage of office space in the commercial capital will put off foreign investors making a beeline to invest in the reform-embracing country.

Rental costs of limited office space in the city have jumped multifold, surpassing even rates of increase in New York and Tokyo due to pent-up demand.

The government is concerned that the rising costs and shortage, which may only ease in about three years as property developers race to implement new construction projects, could dampen efforts to lure foreign investors and speed up much-needed development after more than five decades of military rule.

Restrictions to be placed on new buildings to avoid congestion

The Yangon City Development Committee (YCDC) will impose restrictions on new buildings that do not provide sufficient space for parking and cause traffic jams and over-crowding, according to officials.

New buildings in downtown Yangon will need designated car parks as well as enough space in order to avoid contact with other buildings and avoid congestion on the roads below.

“We have to impose restrictions on the over-crowded buildings in downtown Yangon. The system is that we will only approve buildings which have enough space in proportion with its height. We are not going to give permission to those if the area is small and the height is too much,” said an official from YCDC.

 

source: Eleven Myanmar

http://www.elevenmyanmar.com/national/2942-restrictions-to-be-placed-on-new-buildings-to-avoid-congestion

Local cinemas fail to submit requirements for digital upgrade

Local cinemas have failed to submit requirements for becoming fully digitalised before a July 7 deadline, according to an official from the state-owned Myanmar Motion Picture Enterprise.

 

"Even though it's past the deadline, only a few cinemas have submitted [their requirements]. As most of them didn't send them, we have to contact each cinema and request them to send them," said Thein Tun Aung, director of Myanmar Motion Picture Enterprise.

Local cinemas fail to submit requirements for digital upgrade

Local cinemas have failed to submit requirements for becoming fully digitalised before a July 7 deadline, according to an official from the state-owned Myanmar Motion Picture Enterprise.

"Even though it's past the deadline, only a few cinemas have submitted [their requirements]. As most of them didn't send them, we have to contact each cinema and request them to send them," said Thein Tun Aung, director of Myanmar Motion Picture Enterprise.

The Myanmar Motion Picture Enterprise earlier met with entrepreneurs operating state-owned cinemas and private cinemas and requested them to submit a detailed report on the costs for upgrading to digital projectors and improving their facilities.

"There will be many costs in changing to the digital system. There are sectors where investments have to be made. We asked them [the requirements] so that we will know how we can help out, give our supports, and negotiate," said Thein Tun Aung.

The government plans to have all 27 state-owned cinemas with long-term rentals to be digitally upgraded by the end of 2013. The government will then try to have digital systems in 87 cinemas that have been sold to private entrepreneurs. Thirty-nine private-owned cinemas will be upgraded with digital system in the third stage, according to the director.

Small and Medium Scale Industrial Development Bank will provide loans for cinemas that need finance. After they become digitalised, entrepreneurs will be allowed to rent state-owned cinemas on a five-year contract and which can be upgraded for another two years if they provide good services.

Myanmar tourist guides association objects to temple dinners in Bagan

Myanmar Tourist Guides Association (MTGA) will make a complaint against holding temple dinners for foreigners near pagodas around the ancient city of Bagan, according to MTGA officials.

The Bagan archaeological department has allowed the hosting of temple dinners for tourists outside of the ancient pagodas in three main sites.

Kanbawzathadi

A remade palace named Kanbawzathadi, located in the center of Bago, is one of the attractive sites for foreign visitors as well as local ones to study how ancient Myanmar king ruled and built the country with full of cultural heritages collectively in the bygone era.

Fifty miles away from Yangon, Bago is a good place to travel for one day trip.

“The place is packed with tourists because it is just an hour drive from Yangon to see ancient Myanmar culture and heritage,” said Nwe Nwe Aye, a tour guide.

Sky-high real estate prices hinder foreign investments - MIC

Myanmar's sky-high real estate prices may dissuade new foreign investors, according to sources from Myanmar Investment Commission (MIC).

"Currently the real estate prices are very high in the country. It may be a hindrance for foreign investments coming to the country. We have said often that the real estate prices in Yangon are higher than those of New York (the US). So the government is working now on policies to handle that issue," said Aung Naing Oo, head of the Directorate of Investment and Company Administration.

Vehicles to be imported for Yangon's new transit system

The Government has allowed private companies to import cars to be used for the Bus Rapid Transit system (BRT) according to Yangon officials.

 

The BRT system is one of the proposals to help alleviate traffic congestion in Yangon, Myanmar's former capital and largest city. Commuters currently have to spend too much time on the road due to traffic and poor road conditions. 

“We allowed importing of cars from various countries. But we are not using all the cars that have imported. Among them, we’ll choose the most suitable cars for the system,” said Yangon's Minister for Transport, Aung Khin.

Some imported cars are already in Yangon port and more will arrive soon. Tenders will be announced for companies who want to import vehicles to be used for public transport. The BRT will charge reasonable prices and ensure comfortable travelling for passengers, including using of air-conditioning. 

Bus stops for the buses as well as the traffic lights will be installed and the buses will run every three minutes. Pyay Road will be chosen as a test run for the BRT system starting from Yangon's Khayaybin cross-road.

 

source: Eleven Myanmar

http://www.elevenmyanmar.com/national/2926-vehicles-to-be-imported-for-yangon-s-new-transit-system

       

Myanmar pipeline to diversify China energy supply

China has started receiving natural gas from Myanmar through an 800 km-long pipeline project. The opening of the pipeline on Sunday was hailed by State media here as a landmark step towards diversifying China’s energy supply routes.

The gas pipeline, which can transport 12 billion cubic metres annually, runs from Kyaukpyu to Ruili in southwestern Yunnan province, which borders Myanmar. China is also building an oil pipeline that will bring 22 million tons annually to Yunnan when completed.

Ministry extends electricity tender for 15 industrial zones in Yangon

A power and natural gas tender to supply electricity to 15 industrial zones has been extended to August 15, according to the reports from the Ministry of Electric Power.

Natural gas will be used in power plants operated under the Ministry of Electric Power and purchased through gas pipeline owned by Myanmar Oil and Gas Enterprise.

The Ministry of Electric Power will purchase between 150 million and 200 million cubic meters of natural gas per day in this year and between 500 million cubic and 600 million cubic a day after 2014.

The method of natural gas conversion has been imported using a Floating Storage and Regasification Unit or FSRU.

The Ministry has invited international and local tenders for power generation and distribution to 15 industrial zones in Yangon, Myanmar's largest city. The winning companies must provide a constant supply of electricity to those industrial zones.

Currently, factories in Yangon's industrial zones are only provided electricity for five hours a day except in the rainy season.

 

Myanmar's electricity demand is about 2,000 megawatts and the estimated power generated from natural gas power plants will meet 20 percents of the this demand.

source: Eleven Myanmar
http://www.elevenmyanmar.com/business/2946-ministry-extends-electricity-tender-for-15-industrial-zones-in-yangon

                                                                                            

International airlines to open direct flights to Myanmar

Three new international airlines are planning to fly direct to Myanmar starting in September this year, according to an official from Yangon International Airport.
 

The new airlines are Thailand-based Nok Air and Business Airlines and Singapore-based Tiger Airline.

“For these airlines to fly direct to Myanmar they have submit their plans to Civil Aviation Department under the Ministry of Transport,” said General Manager Win Ko of Yangon International Airport.

Myanmar rice exports fall due to cheaper prices from Vietnam

As rice consumption in Myanmar's domestic markets increases, rice exports are declining due to competition from Vietnam.

The price of Myanmar’s rice exports to China vary between US$390 and US$ 400 per ton but Vietnam’s rice price is only US$355 per ton, according to Muse branch of Myanmar Rice and Paddy Trading Association.

Nissan launches S3 service centre in Myanmar

Japan-based Nissan Motor Company opened an S3 Centre comprising of show room, service centre and spare parts shop in Yangon on Thursday, according local partners United Diamond Motor Company Ltd.

“We are going to expand Nissan brands popular among Myanmar people to achieve more success. We have appointed United Diamond Motor Company Ltd. as a partner because we have had relations with the company for 50 years,” said Hiroto Saikawa, Executive Vice President of Nissan.

French companies are reliable investors says Foreign Trade Minister

French companies can guarantee their responsibilities should they invest in Myanmar said France's Foreign Trade Minister in a conference held at the French Embassy in Yangon on July 31.

"About 20 representatives from business organisations are here with me. They have the intention to invest in Myanmar and export products from here. Now French companies are starting to invest in Myanmar. We have to thank the France trade commission UBIFRANCE for the efforts they have made," said Nicole Bricq, France's Foreign Trade Minister.

Myanmar will not allow more private banks - Deputy Minister

Myanmar will not allow permission for new private banks except for branch offices which are jointly cooperating with the government, according to the Deputy Minister of Finance.

Currently, there are many application forms by local entrepreneurs, including Myanmar Microfinance Bank and Housing Development Bank, to open new private banks. There were 20 local private banks being opened until the end of May this year, according to a statement by the Central Bank of Myanmar.

“We didn’t not grant for the opening of new private banks except the government’s joint venture banks,” said Deputy Minister of Finance Maung Maung Thein.

Thai-Myanmar border-crossings open to tourists

Three Myanmar-Thai border checkpoints will be open to Thai nationals and other foreign visitors for entry and exit as of August, aimed at providing better service to the visitors holding passport and Myanmar entry visa, official media reported Monday.

The three gates are designated as Tachilek-Mae Sai, Myawaddy- Mae Sot, and Kawthaung-Ranong under a Myanmar-Thai Border Crossing Agreement, said the New Light of Myanmar.

Thai visitors on top of Yangon's foreign arrivals

Thais are on top of the list of foreign visitors received by the Yangon International Airport from January to mid-July, according to official figures from the Ministry of Hotels and Tourism.

Over 366,000 visitors entered through the country's main gateway over the past seven months and the majority of them were from Asia, which accounted for more than 235,000 tourists. It was a considerable increased compared to the same period last year saw 165,000.

Among the Asian tourists, over 52,000 visitors were from Thailand, followed by Japan with over 33,000 visitors and China with 24,000 visitors.

Burma Tourist Arrivals Are Fastest-Growing in SE Asia

Burma’s tourism sector saw the highest relative growth in Southeast Asia, with the number of foreign arrivals spiking 52 percent last year, according to a report by the UN World Tourism Organization. Despite the surging growth, Burma remains one of the region’s least-visited countries, attracting just over 1 million visitors in 2012. Southeast Asia’s tourism growth topped all Asian subregions, with arrivals rising 9 percent in 2012. Asia and the Pacific region as a whole received 234 million visitors last year, generating $324 billion in revenue and representing 30 percent of the tourism sector globally.

source: The Irrrawaddy
http://www.irrawaddy.org/archives/40863

Myanmar Calling Out for Indonesia’s Telkom

Telekomunikasi Indonesia, the nation’s biggest telecommunication company, has won a tender to manage Myanmar’s international networks.

“The trust given by the Myanmar government is the result of our team’s hard work on the ground in Myanmar. This will be an opportunity to show Telkom can be aligned with other big international operators,” Arief Yahya, president director of state-controlled Telkom, said in a statement on Friday.

Why GE's Myanmar Venture Has not been Easy

The industrial giant is trying to do business in just-opened Myanmar, where they badly need the stuff it makes and sells. So why is this storied multinational struggling?
 
In the midday haze outside the Thingaha Hotel in Naypyidaw, the new capital of Myanmar, the national flag droops alongside the Stars and Stripes and General Electric’s corporate logo. Inside the Grand Ballroom the staff scurries with last preparations for a meticulously planned gala dinner. Heading up this coming-out party is Stuart Dean, a blue-eyed, rawboned American and GE’s chief for Southeast Asia.