Myanmar Business Today - Vol 2, Issue 28


Published on

Myanmar Business Today is Myanmar’s first and the only bilingual (English-Myanmar) business newspaper, distributed in both Myanmar and Thailand. MBT covers a range of news encompassing local business stories, special reports and in-depth analysis focusing on Myanmar’s nascent economy, investment and finance, business opportunities, foreign trade, property and real estate, automobile, among others. MBT also provides detailed coverage of regional (ASEAN) and international business stories. For more information please visit
Facebook: Twitter: @mmbiztoday
Google Plus:

Published in: Business
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Myanmar Business Today - Vol 2, Issue 28

  1. 1. July 17-23, 2014 Myanmar Business Today July 17-23, 2014| Vol 2, Issue 28MYANMAR’S FIRST BILINGUAL BUSINESS JOURNAL Myanmar Summary Inside MBT Myanmar Rosewood Stolen to Feed Chi- List? P-21 Enforcement Teams to Target Growing Tax Evasion in Myanmar T he Internal Rev- enue Department (IRD) will start col- lecting data on unpaid government taxes to tack- le Myanmar’s growing tax evasion problem after up to 400 industrial compa- nies were reported avoid- Mobile enforcement teams will monitor indus- South Okkalapa, Mingala- don, Thaketa, Shwe Pyi Thar, Hlaing Thayar and South Dagon townships, according to the IRD. Internal Revenue De- partment Director U Aung Kyaw Tint said gov- ernment action to target the country’s tax evasion follow the authorities’ in- spection of business in these market areas. “As there are many businesses to pay taxes,” U Aung Kyaw Tint told Myanmar Business To- day. The taxation board plans to hold negotiations Htun Htun Minn with industrial commit- tees, township city de- velopment councils and manufacturers on tax- evading businesses oper- ating in industrial areas. Chair of Hlaing Thayar Industrial Zone U Myat Thin Aung said manufac- turers operating without industrial licenses in the could be driving Myan- mar’s increased tax eva- sion. “Some manufactures have to operate on rented facilities which increases production costs. That might be why the manu- facturers evade taxes,” U Myat Thin Aung told My- anmar Business Today. The government also plans to implement mo- bile enforcement teams to collect tax evasion data on areas including the Saw Bwargyi Gone mar- ket, Bogyoke market and Theingyi market. Chair of Dagon Port In- dustrial Zone U Aye Lwin said while he welcomes the governments plan to levy taxes more strictly throughout the country, authorities shouldn’t tar- get struggling manufac- turers following the coun- try’s industrial laws. to impose taxes on those who have been buying lands without using real estate names and those evading taxes by renting out land instead of op- erating businesses there themselves,” U Aye Lwin told Myanmar Business Today. jrefrmEdkiftwGif;&SdpufrIZkefrsm; rSvkyfief;aygif;400ausmf&Sdonfh teuf vkyfief; 100 cefYu tcGefa&Smifvsuf&Sdí Zlvkdifv 'kwd,tywfrSpwifum pm&if; aumufcHí tcGefpnf;MuyfoGm; rnfjzpfaMumif;jynfwGif;tcGefrsm; OD;pD;XmerS od&onf/ ,if;uJhokdY pm&if;aumufcHrIukd &efukefwdkif;a'oBuD;twGif;&Sd pufrIZkefrsm;&SdaomawmifOuúvm? r*Fvm'kH? omauw? a&Tjynfom? vIdifom,mESifhawmif'*kHNrdKUe,f wdkYwGif ueOD;pm&if;aumufcH oGm;rnfjzpfNyD; usefNrdKUe,frsm;&Sd pufrIZkefrsm;tm; aumufcHEkdif &efvnf; qufvufaqmif&Guf oGm;rnfjzpfaMumif; jynfwGif; tcGefrsm;OD;pD;XmerS od&onf/ ]]avmavmq,fu aps;BuD;awG rSm&SdwJh qkdifcef;awGukd ppfaq; NyD;&if pDrHcsufeJY pufrIZkefawG vSnfh&r,f/ZkefawGursm;awmh t&ifqkH;pm&if;aumufr,f/NyD; &ifazmfxkwfNyD;wmeJYtcGefaqmif zkdYukd taMumif;Mum;oGm;r,f}}[k jynfwGif;tcGefrsm;OD;pD;XmerS ñTefMum;a&;rSL; OD;atmifausmf wifhu ajymonf/ ]]wcsKdUvkyfief;&SifawGu vkyfief; vkdifpifr&SdwJhtwGuf tiSm;aqmif &Guf&wmawG&Sdw,f/tJ'DtwGuf olwkdYrSm p&dwfpuawG ykdrsm; oGm;wJhtwGuf tcGefa&Smifwm rsKd;awGvnf; jzpfEkdifwmyg}}[k vIdifom,mpufrIZkefOuú| OD;jrwfoif;atmifu ajymonf/ ]]tcGefpnf;Muyfr,fhtay:rSm awmh BudKqkdygw,f/'gayrJhvkdY vkyfief;&SifawGtaeeJYu tvkyf orm;udpö? puf½kHajrae&mudpö tygt0if pdefac:rIaygif;rsm;pGm eJYvkyfief;vnfywfatmifvkyfae olawGukd tcGefaqmifckdif;wm xufpm&if trnfrazmfbJ ajr uGufawG vkduf0,fw,f/ puf½kH raqmufbJ iSm;pm;NyD; tcGef a&SmifwJholawGukd aumufcHwm uawmh ykdNyD;tusKd;&Sdr,fvkdY jrif ygw,f}}[k '*kHqdyfurf;pufrIZkef Ouú| OD;at;vGifu ajymonf/ New Gov’t Regulations to Shorten Air- craft Lifespans P-5 The taxation board plans to hold negotiations with industrial committees, township city development councils and manufacturers on tax-evading businesses operating in industrial areas. SoeZeyaTun/Reuters
  2. 2. July 17-23, 2014 Myanmar Business Today 2LOCAL BIZ MYANMAR’S FIRST BILINGUAL BUSINESS JOURNAL Board of Editors Editor-in-Chief - Sherpa Hossainy Email - Deputy Editor - Aundrea Montaño Email - Editor-in-Charge - Wai Linn Kyaw Email - Ph - 09 40 157 9090 Regional Editor - Tom Stayner International Editor - David Ross Reporters & Contributors Htun Htun Minn, May Soe San, Kyaw Min, Wai Linn Kyaw, Aye Myat, Aung Phyo, Zwe Wai, Phyo Thu, David Mayes, Sherpa Hossainy, Aundrea Montaño, Tom Stayner, David Ross Art & Design Zarni Min Naing (Circle) Email - Ko Naing Email - DTP May Su Hlaing Translators Aye Chan Wynn, Wai Linn Kyaw, Phyu Maung Advertising Seint Seint Aye, Moe Hsann Pann, Htet Wai Yan, Zin Wai Oo, Nay Lin Htike Advertising Hotline - 09 420 237 625, 09 4211 567 05, 09 31 450 345, 09 250 411 911, 09 2500 18646 Email - Managing Director Prasert Lekavanichkajorn 09421149720 Publisher U Myo Oo (04622) No. 1A-3, Myintha 11th Street, South Okkalapa Township, Yangon. Tel: 951-85000 86, 8500 763 Fax: 951-8603288 ext: 007 Shwe Naing Ngan Printing (04193) Printing Subscription & Circulation Aung Khin Sint - 09 20 435 59 Nilar Myint - 09 4210 855 11 Khaing Zaw Hnin - 09 4211 30133 Business News in Brief Mitsubishi Central bank to change reserve requirement rules for private banks At the suggestion of the IMF, the Central Bank of My- anmar will make some major changes concerning the reserve requirement for local private banks soon, local “They will not be allowed to have reserve requirement in bond any more. They will be required to keep it in cash. And they will be required to have only 5 or 6 per- cent reserve requirement, down from 10 per cent at Bukit Asam may invest in Myanmar, Vietnam power plants Indonesia’s state-owned coal miner PT Tambang Ba- tubara Bukit Asam is considering investing $600 mil- lion to build two power plants in Myanmar and Viet- nam, with a capacity of 200 megawatts each, said CEO Milawarma, according to Indonesian media reports. SME Myanmar has invited 26 Japanese companies to in- vest in small and medium enterprises in agriculture, manufacturing, telecom equipment and infrastructure development sectors, local media reported Myanmar Investment Commission Chairman Zeya Aung as say- ing. Japan has been implementing the Thilawa Special Industrial Zone project, outside Yangon, since 2013. pacity for Myanmar has been signed by Aggreko plc. All Asia Asset Capital signed the deal for delivery by Anda- man Power and Utility Company Limited (APU), a My- anmar and Thailand-focused power generation group. In turn APU, which has a Memorandum of Understand- ing (MoU) with the government of Myanmar to act as an electricity and utility provider to Dawei – the capital city of the Tanintharyi region – and surrounding cities, signed a binding agreement with Aggreko. owned subsidiary of Bridgestone Corp, announced the the truck, bus, car manufacturing industries and tire markets, as well as conduct related activities on be- investment laws has attracted many automobile com- panies to set up a presence in fast-growing Myanmar, where transportation infrastructures such as roads are rapidly improving,” said Kunitoshi Takeda, member of the Board and COO of BSCAP. Bridgestone has been local channels. Myanmar claims Facebook partnership after nering with the social media site Facebook to moni- tor Myanmar language posts following concerns that a viral post sparked deadly sectarian clashes recently, VOA’s Burmese service reported. The unnamed aide to President Thein Sein said in an interview with VOA’s Burmese service the government and Facebook have a plan to manage a recurring issue in Myanmar – namely according to the report. Facebook declined to comment on the claims. But a spokesperson for the US-based to VOA it has been in contact with the government of Myanmar. Myanmar, Norway to cooperate in mangrove conservation Myanmar and Norway are seeking cooperation in mangrove forest conservation and a conservation plan in this respect is being worked out between the two countries. At a meeting between minister for Environ- iting head of Norwegian Parliament’s Standing Com- mittee for Energy and the Environment Ola Elvestuen, the two sides discussed cooperation with international non-governmental organisations in rehabilitation programs, mangrove forest conservation activities be- Foundation. Norway has been helping Myanmar with the programs on conservation of biodiversity and forest resources. Myanmar Summary EdkifiHwumaiGaMu;&efyHkaiGtzGJUESifhurÇmhbPfwdkU tBuHjyKcsufjzifh jrefrmEdkifiHA[dkbPfonf yk*¾vdubPfrsm;wGif t&efyrmPvdktyf csufrsm;ESifh ywfoufí t"dutajymif;tvJrsm; jyKvkyfoGm;rnf[k od&onf/ yk*¾vdubPfrsm;taejzifh t&efb@mudk aiGacs;pmcsKyf jzifhxm;&Sd&ef owfrSwfcsufr&SdawmhbJ aiGom;jzifhomxm;&Sd&ef vdktyf awmhrnfjzpfum ,if;rSmvnf; vuf&SdowfrSwfcsufjzpfonfh t&ef b@m 10 &mcdkifEIef;xm;&Sd&ef owfrSwfcsufrS 5 rS 6 &mcdkifEIef; omxm;&Sd&ef owfrSwfoGm;rnfjzpfaMumif; t&m&SdwpfOD;u qdkonf/ tif'dkeD;&Sm;EdkifiHydkif ausmufrD;aoG;wl;azmfol PT Tambang Batubara Bukit Asam onf jrefrmEdkifiHESifh AD,uferfEdkifiHwdkUwGif r*¾g0yf 200 pDxGufonfh ausmufrD;aoG;"mwftm;ay;puf½HkESpf½Hk wnfaqmuf&ef a':vm oef; 600 &if;ESD;jr§KyfESH&ef pOf;pm;vsuf&Sd aMumif; trIaqmift&m&SdcsKyf Milawarma u ajymMum;onf/
  3. 3. July 17-23, 2014 Myanmar Business Today 3LOCAL BIZ Myanmar Summary Myanmar Petrochemical Enterprise to Let Trad- S tate-run Myanmar Petrochemical En- terprise (MPE) is seeking a foreign partner to launch a joint venture in a bid to privatise an oil the Ministry of Energy an- nounced. MPE last week invited a tender to operate and car- ry out the rehabilitation of about 14 kilometres out- side Yangon, to “improve its production capacity.” The project, which will be licensed under the Foreign Investment Law, will also undertake the import, distribution and storage of a wide range of petroleum products, it said. The partnership is ex- pected to land the potential foreign partner a petro- leum trading licence – an unprecedented move that will curb MPE’s longstand- ing quasi-monopoly over petroleum trading in the Southeast Asian country. “It’s a licence to print money,” a source in the oil and gas industry who is intimately familiar with the project told Myanmar Business Today. the government is going petroleum products. “If you wanted to get a head start in Myanmar’s highly lucrative petro- leum sector this is your permit to trade. This is it,” said the source, who wished to remain anony- mous. He said this is going to be “tremendously inter- esting” for big Japanese trading houses like Mitsui and Itochu, who will be eagerly pursuing this. The partner may also receive a licence to de- ploy a subsea pipeline and pumping station allow- ing pumping oil directly to Yangon, thus dramati- cally reducing the cost of petroleum distribution. Currently, the oil is trans- ported in a cumbersome and expensive manner through boats over the Thanlyin river. Sherpa Hossainy ies in Myanmar and the largest. It has storage fa- cilities, which is rare in Myanmar, and can store crude oil and condensate (229,600 million gal- lons), gasoline, jet fuel, diesel and LPG (5,500 tonnes). However, another cru- cial aspect is that the fa- cility has 745 acres of land for future expansion. The source said techni- cal consultants for the project have estimated that the current facil- ity can be turned into a advantage of the exten- sion provision. Dutch oil giant Shell and Malaysia’s Petronas will be very in- terested in this, he added. He said another sweet- ener for the deal would be that the operating facility, along with the land, will come with all the neces- sary permits that are re- quired. “It’s very hard to start a get the licences, particu- larly environmental li- cences. Now [the partner will have] the government as a shareholder, grandfa- thering in, bringing all the licences that you need.” In terms of require- ments, MPE is seeking businesses that have ex- perience owning and op- with experience in im- porting and distributing crude oil and petroleum products. A consortium, erator and a supplier of fuel, is also possible given it’s a strong combination. To be eligible to submit a proposal, an applicant shall be a company or a corporation or a con- sortium, and must be involved in, for at least three consecutive years, a direct or indirect inter- est of at least 50.1 percent and management control tal production of at least 500,000 barrels per day (BPD) as at 31 December 2010”; and “a business or a division engaged in the importation of crude oil, and/or the importation, sales and distribution of petroleum products,” MPE announced. MPE also stipulated that the import, sales and distribution activities of the company must have started no later than 31 December 2010, while the volume of crude oil import or sales and distri- bution of petroleum prod- ucts has to be at least 20 MM barrels per annum for the last three years. “An important factor is access to cheap fuel and that comes with volume. somebody who has his own production such as Shell, Petronas or Thailand’s PTT or we are talking about a who is able to buy oil at very competitive rates,” the source said. The move is seen as MPE trying to start with which happens to have the growth potential to become a huge one that might compete with prod- ucts that are currently be- ing imported. eries in Thailand, Malay- sia, Indonesia, Japan and to compete with those. But with a large facility [MPE] might be able to do that.” The documentation re- lated to the tender went on sale on July 14 and can be purchased upon pay- ing a non-refundable fee of K3 million ($3,000). Detailed payment infor- mation is available in the ministry of energy’s web- site. The deadline for submit- ting the bid is October 13, while there would be op- portunity for applicants to perform due diligence tion in relation to the pro- ject until September 12. EdkifiHykdifjrefrmha&eH"mwkvkyfief; (MPE)onfpGrf;tif0efBuD;Xme vufatmuf&Sd a&eHcsufpuf½Hk wpfcktm; yk*¾vduydkiftjzpf ajymif;vJEdkif&ef EdkifiHjcm;vufwGJ zufvkyfief;wpfck&SmazGvsuf&Sd aMumif; xkwfjyefxm;onf/ MPE onf trSwf 1 a&eH csufpuf½Hk (oefvsif) tm; jyefvnfjyifqifí vnfywf&ef wif'gwpfckudk NyD;cJhonfh oDwif; ywfu ac:,lcJhonf/ &efukefNrdKU jyifbuf 14 uDvdkrDwmtuGm wGif wnf&Sdaom ,if;a&eHcsuf puf½Hktm; xkwfvkyfpGrf;tm; jr§ifhwifEdkif&efjyifqifoGm;rnf[k od&onf/jynfy&if;ESD;jr§KyfESHrI Oya'atmufwGif vdkifpif&,l rnfh ,if;pDrHudef;onf jynfyrS a&eHxkwfukeftrsKd;rsKd;wifoGif; jcif;? jzefYjzL;jcif;? odkavSmifjcif; wdkYudk jyKvkyfoGm;rnfjzpfaMumif; od&onf/yl;aygif;aqmif&GufrI t& aqmif&Gufvmrnfh jynfy vkyfief;taejzifh a&eHukefoG,f a&;vdkifpif&&SdEdkifonf[k cefYrSef; xm;Mu&m MPE a&eH a&mif;0,fa&;vkyfief;tay: umv&SnfMumvuf0g;BuD;tkyf vmrItm; avsmhusaprnfjzpf onf/ ]]'Dvdkifpif[m aiGvdkoavmuf xkwfay;r,fh vdkifpifyJ}}[k pDrH udef;ESifheD;pyfonfh a&eHESifh obm0"mwfaiGUu@wGif;vkyf udkifolwpfOD;u ajymMum;onf/ Mitsui ESifh Itochu wdkYuJhodkU *syefEdkifiHukefoG,fa&;vkyfief; BuD;rsm;onf þtcGifhta&;udk t&,l&ef BudKpm;vmMurnfjzpf jzpfvmrnfhukrÜPDtaejzifh a&atmufydkufvdkif;ESifh a&eH ydkYvTwfpuf½Hkwnfaqmuf&ef vdkifpif&&SdEdkifNyD; &efukefodkY wkduf ½dkufjzefYjzL;Edkifrnfjzpfonf/
  4. 4. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 4 Myanmar Summary Myanmar Summary Over 20 Environmental NGOs Operating without Licences May Soe San M ore than 20 en- v i r o n m e n t a l monitoring non- governmental organisa- tions (NGOs) in Myanmar are operating without a licence or registration, Yangon region’s Ministry of Environmental Con- servation and Forestry (MOECAF) said. regarding the environ- mental organisations come out, these [NGOs] will have to register at the ministry where they will be scrutinised,” a senior told Myanmar Business Today. He said registration of NGOs will help authori- ties better monitor their projects throughout the country. NGOs assess the en- vironmental and social impacts of a country’s de- velopment projects on the nation, according to the ministry. There are 20 lo- cal and seven such inter- national organisations in operation in Myanmar. Myanmar had been without a Ministry of Environment for a long time before MOECAF was founded in 2012. Two years later, MOECAF en- - ronmental regulations implemented in Myan- years. Another MOECAF sen- - partment needs top-rank- ing government member’s support to open 15 state monitor environmental organisations around the country. - work of NGOs throughout told Myanmar Business Today. MOECAF plans to found Environmental Conversa- tion Committees (ECC) in Yangon, Mandalay, Saga- ing, Ayeyrwaddy and Tan- inhari regions this year, while ECCs are planned for Bago, Rakhine, Mon, Shan, Kachin states by August next year and in Magway, Chin, Kayah and Nay Pyi Taw in 2016. jrefrmEdkifiHwGif obm0ywf 0ef;usifqdkif&mavhvmapmifhMunfh aeonfh tpdk;&r[kwfonfhtzJGU tpnf;aygif; 20 ausmf&Sdaomf vnf;,aeYtcsdeftxdpm&if;oGif; jcif;ESifhvdkifpifcsxm;ay;Edkifjcif; r&dSao;aMumif; obm0ywf0ef; usifxdef;odrf;a&;ESifhopfawm a&;&m0efBuD;Xme (&efukefwkdif; a'oBuD;) rS od&onf/ obm0ywf0ef;usiftay: tusKd;oufa&mufrI? vlrlywf0ef; usiftay:tusKd;oufa&mufrI udk avhvmapmifhMunfhonfhtzGJU pnf;aygif; a'owGif; tef*sDtdk 20 ESifh EdkifiHjcm;tef*sDtdk 7 zJGU &SdaMumif; tqdkyg0efMuD;XmerS od&onf/ ]]y½dkpD*smawGxGufvm&if 'Dwwd,ajrmuftzJGUtpnf;awG u 0efBuD;XmerSm vdkifpifwif& r,f/vlawG&JU Capacitybuilding udkMunfhr,f/tckawmhrvkyfay; Edkifao;bl;}}[ktqdkyg0efBuD;XmerS tqifhjrifht&m&dSwpfOD;u ajym onf/ jrefrmEdkifiHwGifESpfaygif;rsm;pGm obm0ywf0ef;usifqdkif&m0efBuD; Xmer&SdcJh&mrS 2011 ckESpfwGif xGufay:vmNyD;2012 ckESpfwGif Oya'?2014 ckESpfwGif enf; Oya'udk xkwfjyefcJhonf/ vkyfief;awGvkyfEdkifatmifc½dkif tqifhxyfzGJU&r,f/ NrdKUe,f½Hk; avmufawmhaumif;w,f/q&m wdkY0efBuD;XmetaeeJY tpdk;&udk xdkYjyif rMumcifumvtwGif; &efukefwdkif;a'oBuD;twGif; ywf0ef;usifxdef;odrf;a&;BuD;Muyf rIaumfrwDukd zGJUpnf;oGm;rnfjzpf NyD; vuf&SdwGif &efukef? rEÅav;? ppfudkif;? {&m0wD? weoFm&Dwkdif; wkdYwGifomzGJUpnf;xm;onf/ Gov’t Drafts Action Plan for Inland Ports, Containerisation Aung Phyo M yanmar has drafted an ac- tion plan for the development of dry ports (inland ports) and con- tainerisation of rail trans- goods and provide new opportunities for interna- tional trade before imple- mentation of the ASEAN Economic Community in 2015. The action plan is set to be carried out in the cur- 15, state-run media an- nounced. Under the plan, the state-run Myanmar Rail- ways is to build dry ports in Yangon and Manda- lay, where three sites are targeted as top priorities as these sites are large enough to hold contain- ers and road and rail net- works facilitating access The plan also covers running container trains from inland container de- pots to sea ports directly and the repair of 13 bridg- 2015 ckESpf tmqD,HpD;yGm; a&;todkuft0ef; AEC udk pwifusihfoHk;csdefwGif vGwfvyf pGmukefpnfpD;qif;onfhpepfudk taxmuftulay;Edkif&eftwGuf jrefrmtpdk;&onf &xm;vrf; uGef&ufrsm;jzifh uGefwdefempepf o,f,lydkYaqmifa&;vkyfief;rsm; udk vkyfudkifEkdifrnfh ukef;wGif; o,f,lydkYaqmifa&;pcef;rsm;udk wnfaqmuf&ef pDpOfaeonf[k od&onf/tqdkygtpDtpOftm; ,ckb@ma&;ESpfjzpfonfh 2014-2015 ckESpfwGif wnf aqmufoGm;rnf[k od&onf/ tqdkygpDrHudef;t& tpdk;&ydkif jrefrmhrD;&xm;vkyfief;onfukef; wGif;o,f,lydkYaqmifa&;pcef; rsm;udk&efukefESifhrEÅav;NrdKUü wnf aqmufoGm;rnfjzpfNyD;&xm; vrf;uGef&ufrsm;udktoHk;jyKum wnfaqmufoGm; rnfjzpfonf/ es on the Yangon-Manda- lay railroad. According to the Myan- mar Railways, open ten- ders to develop the dry ports will be invited soon to start construction work within four months. UAung/Xinhua NGOs assess the environmental and social impacts of the country’s development projects on the nation, according to the ministry. There are 20 local and seven such international organisations in operation in Myanmar. DavidRoss
  5. 5. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 5 Myanmar Summary New Gov’t Regulations to Shorten Aircraft Lifespans Htun Htun Minn T he Department of Civil Aviation (DCA) under the Ministry of Transport has revealed new government regulations that will re- duce the standard lifes- pan of domestic airplanes Prior to the government changes, commercial air- ways were allowed to op- erate airplanes in Myan- mar for up to 25 years. The new regulations were announced by DCA Review on Air Transpor- tation Meeting. DCA director general anmar Business Today that domestic airlines planning to import new planes are likely to choose younger models under the government’s new regula- tions. buy or lease planes with many years left before their expiry to maximise said. planes in operation for longer than the allowed 20-year lifespan will likely sell their aircrafts to other countries. President of Myanmar Airways International (MAI) U Khin Maung Lat told Myanmar Business Today that the airways will sell their older planes to generate revenue for newer aircrafts. Countries in Africa and the Middle East have made proposals to secure Myanmar’s aircrafts older than the government’s newly allowed 20-year lifespan, according to MAI. Executive Director of Lwin Moe said that the company supports DCA’s new regulations. “If the situation at the local airports improves, and more instruments are installed, the airlines have plans to use better types of aircrafts,” U Lwin Moe told Myanmar Business Today. The Department of Civil Aviation revealed 53 air- crafts are domestically registered – the total in- cludes 48 passenger air- planes, 2 helicopters and 3 aerial transport carriers. One private domestic by decreasing aircraft lifespans the government costs for local airlines. “It’s not easy to cover the cost for a plane in 20 years, and the longer a plane is used, the more He said the govern- ment’s newly proposed regulations to reduce plane service commis- sions won’t be commer- cially feasible for local airlines. “This regulation will cost airlines a lot of mon- ey, especially at a time like this when competition is high in the industry.” jynfwGif;av,mOfrsm;ouf wrf;ukd ,cif 25 ESpfoufwrf; owfrSwfcJh&mrS ESpf 20 okdY ajymif;vJavQmhcsowfrSwfoGm; rnfjzpfaMumif; ykdYaqmifa&; 0efBuD;Xme? avaMumif;ykdYaqmif a&;ñTefMum;rIOD;pD;XmerS owif; &&Sdonf/ ]]oufwrf;jynfhcgeD; av,mOf awGukdtopfeJYvJvS,fzkdY? olUxuf oufwrf;EkwJh[meJYvJvS,fzkdYyg/ 0,f&ifvnf;0,f? iSm;&rf;vnf; iSm;&rf;oufwrf;&SdwJh[mrsKd;qkd okH;pJGcGifhay;oGm;rSmyg}}[k av aMumif;ykdYaqmifa&;ñTefMum;rIOD;pD; Xme ñTefMum;a&;rSL;csKyf OD;0if; aqGxGef;u ajymonf/xdkYaMumifh av,mOftopfwifoGif;rnfh avaMumif;vkdif;rsm;tm; ouf wrf;Ekaom av,mOfrsm;wif oGif;Ekdif&ef taMumif;Mum;xm;NyD; onf/ ]]vuf&SdtcsdefwGif jynfwGif;ü ajy;qJGaeaom av,mOfrsm; teuf tcsKdUav,mOfrsm;rSm ouf w rf; uk ef qkH; a e aom av,mOfrsm;&SdaeonfhtwGuf tjcm;EkdifiHrsm;okdY a&mif;csEkdif&ef pDpOfvsuf&SdaMumif; jynfwGif;&Sd avaMumif;vkdif;rsm;rS pkHprf;od& onf/ av,mOftif*sifawG toufBuD;vmNyD/wcsKdUav,mOf awGukd jynfyukd jyefvnfa&mif;cs zkdY BudK;pm;aeygw,f}}[k MAI avaMumif;vkdif;Ouú| OD;cifarmif vwfu ajymonf/ tjcm;EkdifiHrsm;wGif oufwrf; 20 xufykdí cGifhjyKaomEkdifiHrsm; &SdaomaMumifh tqkdygEkdifiHrsm;okdY a&mif;csoGm;rnfjzpfaMumif;? tqkdygav,mOfrsm;tm; tmz&du wkduf&SdEkdifiHrsm;?ta&SUtv,fykdif; rS EkdifiHrsm;u 0,f,l&ef urf;vSrf; xm;NyD;jzpfaMumif; MAI av aMumif;vkdif;rS od&onf/ ]]tck DCA(avaMumif;ykdYaqmif a&;ñTefMum;rIOD;pD;Xme)u csrSwf wJhtay:rSm uRefawmfwkdYu bm rS ajymqkd&efr&Sdbl;/okdYaomfvnf; yJ uRefawmfwkdYavaMumif;vdkif; awGtaeeJYuawmh jynfwGif;rSm &SdaewJhav,mOfuGif;awG&JUtae txm;awG ykdaumif;rGefvmr,f/ ykdNyD; Instrument awG jynfhpkH vmr,fqkd&ifawmh 'Dxufykdrkd omvGefaumif;rGefwJhtrsKd;tpm; awGukdokH;oGm;zkdY tpDtpOfawG &Sdaeygw,f}}[k Asian Wings Airways rSod&onf/ Aircrafts are seen at Nyaung Oo Airport in Bagan, Myanmar. SherpaHossainy
  6. 6. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 6 Myanmar Summary MyanmaAirwaysandATRtoBuildAirplaneRepairCentre S tate-run Myanma Airways (MA) has construct a repair center with France-based air- craft manufacturer Aerei da Tansporto Regionale Phyo Thu Yangon International Air- port. Currently, the ATR planes in use in Myanmar have to be taken overseas to Vietnam, India or Sin- gapore for repairs at larg- er-scale factories. However, ATR and MA plan to build a repair center at Yangon Interna- tional Airport in hopes to reduce local airplane re- pair costs. Managing Director of Myanma Airways U Than Tun said construction of the Yangon repair center - which will handle minor and large scale repairs on 30 ATR airplanes here. If this project is implement- ed these planes can be re- paired domestically and we plan to obtain inter- - pair planes from around the world,” U Than Tun told Myanmar Business Today. Myanmar Airways has collaborated with ATR to construct a factory. Future plans to con- struct repair factories in other airports around Myanmar are likely to be discussed. Myanmar Airways, who operate domestic travel services in the country, plans to start operating Myanmar National Air- ways in soon. MyanmartoResumeJadeMininginKachinState T he Jade Supervi- - Myanmar will resume the country’s suspended min- ing operations in its trou- bled Kachin State. Starting September 1, the government plans to lift its two-year mining suspension on the area. The government sanc- tions were introduced to help resolve ongoing army and ethnic rebels broke down in 2011. U Tin Shwe, a jade trader from Sagaing, said removing the sanctions should increase jade sales in the country’s local in- dustry. - to strictly supervise the risks associated with un- sustainable resource ex- traction,” U Tin Shwe said. Myanmar is the world’s largest exporter of high- quality jade. The country relies mostly on demand from Chinese markets to export these products. Mining operations in Phyo Thu Lonekhin, Hpakhant, Mawlu, Mawhan and Khandi townships were the country’s largest jade production areas before being suspended in May 2012. Myanmar gained more than $65 million from mining extracts exports year on April 1. Industry experts said Myanmar should increase monitoring of illegal jade exports to reduce raw re- source smuggling to in- ternational and domestic blackmarkets. Raw jade value from il- legal trade routes has reached $3.9 million (K3.92 billion) over the past four years, according to Myanmar Gems Asso- ciation estimates. - most $1 million in illegal year, which ends March 2015. jade export earned $1.01 period showing the indus- try’s recent development in Myanmar. Myanmar’s 51st Jade and Gems Emporium, held from June 26 to July 6 in Nay Pyi Taw, brought in a record $3.5 billion to the country this year. Last year’s emporium brought in up to $2.6 billion worth of jade sales. Myanmar Summary &efukeftjynfjynfqdkif&mavqdyf 0if;twGif;wGif jyifopfEdkifiH tajcpdkuf ATR ESifh jrefrmh avaMumif;wdkYyl;aygif;um EdkifiH wum&Sd ATR trsKd;tpm;av ,mOfjyifqif½Hkudk aqmufvkyf oGm;rnfjzpfaMumif; jrefrmhav aMumif;rS od&onf/ jyifqif½HkaqmufvkyfEdkif&eftwGuf oHk;ESpftwGif; taumiftxnf azmfoGm;rnfjzpfum jynfwGif;&Sd ATR av,mOfrsm;twGuf omref jyifqifrIrSpwifum tBuD;pm; jyifqifrItxd vkyfudkifEdkif&ef aqmif&GufoGm;rnfjzpfaMumif; jrefrmhavaMumif;rS refae*sif; 'g½dkufwm OD;oef;xGef;u MBT odkY ajymonf/ ]]uRefawmfwdkY 'DrSm ATR av,mOf 30 &Sdw,f/'DtwGuf jyifqifcsif&ifpifumylEdkifiHavmuf udkoGm;&w,f/pDrHcsuft&taumif txnfazmfEdkif&if jynfwGif;rSmbJ jyifqifEdkifrSmjzpfovdk? EdkifiHwum u av,mOfawGyg jyifEdkifatmif todtrSwfjyKvufrSwfyg&&Sdatmif vnf; vkyfzdkYtpDtpOf&Sdygw,f}} [k OD;oef;xGef;u ajymonf/ vuf&Sd jynfwGif; ATR av ,mOfrsm;udk pifumyltjyif AD,uf erf?tdE´d,EdkifiHrsm;txdoGm;a&muf jyifqifae&NyD; jynfwGif;rSmyif ,if;twGuf tBuD;pm;tvkyf½Hk wnfaqmufEdkifygu ukefus p&dwf oufomvmEdkifrnfjzpf um jyifopf ATR ukrÜPDu EdkifiHwumrS todtrSwfjyK vufrSwf&&Sda&;vkyfaqmifay; oGm;rnfjzpfaMumif; od&onf/ jrefrmhavaMumif;taejzifh ,if;uJhodkYpuf½Hkwnfaqmufa&; wGif ATR ESifh yxrqHk;tBudrf yl;aygif;vkyfaqmifjcif;jzpfNyD; &efukefavqdyftjyif tjcm; avqdyfrsm;wGifyg av,mOf jyifqif½Hk wnfaqmuf&ef aqG;aEG; oGm;zG,f&Sdonf/ jrefrmhavaMumif;udkjynfwGif; omysHoef;cJh&mrS,ckZlvdkifvt wGif;rSpíjynfyc&D;pOfrsm;p wif ysHoef;rnf[k od&onf/ ESpfESpfausmf&yfqdkif;xm;cJhonfh jrefrmEdkifiHausmufpdrf;wl;azmf cGifhvkyfief;rsm;udk jyefvnfcGifhjyK ay;oGm;rnfjzpfaMumif; ausmuf rsuf&wemvkyfuGufrsm;cGifhjyKrdefY csxm;ay;a&;? ppfaq;a&;ESifh BuD;Muyfa&;vkyfief;aumfrwDrS od&onf/ tqdkygjyefvnfwl;azmfcGifhudk vmrnfhpufwifbmv 1 &ufrS pwifoGm;rnfjzpfNyD; ausmuf pdrf;aps;uGuftay: oufa&muf rIrsm;pGm&SdvmEkdifaMumif;vnf; ausmufrsuftodkif;t0dkif;rS oHk;oyfonf/ ]]aps;uGufrSm ,SOfNydKifEdkifpGrf;ydkrdk vmEdkifayr,fh wpfzufu o,H Zmwxkwf,loHk;pGJrI twwfEdkif qHk;enf;Edkifatmif wl;azmfcGifhudk txl;MuyfrwfzdkYvdktyfygw,f}}[k ppfudkif;wdkif;a'oBuD;rS ausmuf rsufvkyfief;&Sif OD;wifa&Tu ajym onf/ jrefrmjynfausmufpdrf;aps; uGufrSm vuf&SdwGif w½kwf0,f vufudkom tm;udk;ae&qJjzpfNyD; ausmufpdrf;acsmxnfwifydkYEdkif&ef ESifh w&m;r0ifwifydkYrIavsmhenf; vm&ef aqmif&GufoGm;&efvnf; vdktyfaMumif; a usmuf rsuf vkyfief;&Sifrsm;u ajymonf/ ausmufpdrf;xGuf&SdrItrsm;qHk; jzpfaom ucsifjynfe,f vHk;cif;? zm;uefY&wemajr? armfvl;- armf[ef&wemajrESifh cE¨D;&wem ajrwdkYtwGif; 2012 ckESpf arv twGif;u &yfem;xm;apcJhNyD; a'orsm;wnfNidrfrItay:vdkuf í jyefvnfwl;azmfcGifhcsxm;ay; jcif;jzpfaMumif; od&onf/ ,ckb@mESpftp {NyD 1 &ufrS ZGefvaemufqHk;&ufowåywftxd jrefrmhowåKwGif;xGufwifydkYrIonf Corrigendum In the article “Kelvin Chia Expands to Mandalay” appearing on Page 20 of My- anmar Business Today (Volume 2, Issue 27), the caption of the photo in the article was wrongly stated. The correct caption is “Cheah Swee Gim, Director of Kelvin Chia Yangon, and Goh York Lin, President of Keppel Land Myanmar.” a':vm 65 oef;ausmf&SdcJhNyD; aemuf aemufqHk;av;ESpfwm twGif; w&m;r0ifausmufpdrf; zrf;qD;EdkifrIrSm usyf 3929 'or 646 oef;&SdaMumif; od&onf/ vuf&Sdb@mESpftwGif;ausmuf pdrf;? ausmufrsufzrf;qD;rIpm&if; rsm;t& usyf 195 'or 150 oef;&SdaeNyD;,cifb@mESpftwGif; jynfyodkY ausmufpdrf;wifydkYrI a':vm 1011 'or 6 oef;&SdcJh um ,ckESpftwGif; wifydkYrIydkrdk vmEdkifaMumif; vkyfief;&Sifrsm;u oHk;oyfonf/ ,ckESpfwGifjyKvkyfcJhonhf ZGefv 26 &ufaeYrS Zlvdkifv 6 &uf aeYtxd jyKvkyfcJhaom 51 Budrf ajrmuf jrefrmhausmufrsuf&wem jyyGJwGif a&mif;cs&aiGtar&duef a':vm oef; 3000 ausmf&&SdcJh NyD; ESpfpOfa&mif;cs&rItjrifhqHk; pHcsdefwifEdkifcJhaMumif; od&onf/ A Yangon Airlines aircraft takes off in Yangon International Airport. SoeZeyaTun/Reuters SoeZeyaTun/Reuters
  7. 7. July 17-23, 2014 Myanmar Business Today 7LOCAL BIZ Myanmar Summary Myanmar Summary FinanceMinistrytoWorktowardsATransparentBudget Htun Htun Minn T he Ministry of Fi- nance has pledged to introduce trans- parent budgetary sys- tems, in cooperation with international standards of openness, according - nance Dr Lin Aung. He said on the advice of - istry is working to ensure transparency through modernising manage- “To inform the public how their taxes are spent and how debts are paid is the duty of the govern- ment,” he said. The ministry has indi- cated it will move towards budget” – where infor- mation regarding govern- ment income and expend- iture, in easily understood language, is disclosed. Major requirements budget are disclosure of - timates, details of the proposed and completed budget, inter-year report- ing, end-of-year reporting and budgetary audits. - nancial management have been in place since the start with the project expected sections: project planning for improving taxation col- lection, improved budget- ary planning, implement- reporting and improving external oversight capacity. The Ministry of Fi- nance indicated it had been working towards re- - cial management system since 2012. urÇmhbPfESifhyl;aygif;í EdkifiH wumpHEIef;ESifhudkufnDaom yGifh vif;jrifomrI&Sdaom bwf*suf pepfudk taumiftxnfazmf aqmif&GufoGm;rnfjzpfaMumif; b@ma&;0efBuD;Xmejynfaxmifpk 'kwd,0efBuD;a'gufwmvif;atmif u ,ckusif;aeaom txuf vTwfawmf (trsKd;om;vTwfawmf) tpnf;ta0;wGif uwdjyKajym Mum;cJhonf/ urÇmhbPfESifhyl;aygif;taumif txnfazmfaqmif&Gufvsuf&Sd onfhjynfolUb@ma&;pDrHcefYcGJrI pepfacwfrDzGYHjzdK;wdk;wwfa&;pDrH csufygvkyfief;pOfrsm;udk yGifhvif; jrifompGm avhvmEdkif&ef aqmif &Gufxm;onf/EdkifiHawmfbwf *sufudk EdkifiHwmpHEIef;ESifhtnD open Budge jzpfapa&;ESifh Citizens budget jzpfapa&; tqifhqifhtaumiftxnfazmf uwdjyKajymMum;cJhjcif;jzpfonf/ ]]EdkifiHom;rsm;tcGeftcudk b,fvdkcGJa0oHk;pGJw,f/acs;,l xm;wJhaiGawGudk b,fvdkjyefqyf r,fqdkwm EdkifiHom;awGudk tod ay;&rSmu tpdk;&wm0efwpfck citizens budget qdkonfrSm tpdk;&taejzifh 0ifaiGrnfrQ&&Sd onf? rnfodkYcGJa0oHk;pGJonfudk bmom&yfqdkif&mtoHk;tEIef; rsm;ryg&SdbJ EdkifiHom;rsm;tvG,f wulod&Sdem;vnfap&efxkwfjyef aom bwf*sufqdkif&mowif; tcsuftvufjzpfonf/ Citizens Budget jzpfap&ef t"duvdktyfcsufrSmPre.Budget Statement, Executive's Budget Proposal' Th Enacted Budget, ESpftwGif;tpD&ifcHpm? ESpfukeftpD&ifcHpmrsm;xkwfjyef ay;jcif;ESifhpm&if;ppftpD&ifcHpm xkwfjyefay;jcif;wdkYjzpfonf[k 'kwd,0efBuD;u qufvufajym Mum;onf/ 2014-2015 b@ma&;ESpfrS pwifí jynfolUb@ma&;pDrH cefYcGJrIjyKjyifajymif;vJrIqdkif&m r[mAsL[ma&;qGJcJhNyD; jrefrm EdkifiHjynfolUb@ma&;pDrHcefYcGJ rIpepfacwfrDzGHUNzdK;wdk;wufa&; taumiftxnfazmfaqmif&Guf vsuf&Sdonf/tqdkygpDrHcsufudk tcGef&aiGpkpnf;rIzGHUNzdK;wdk;wuf a&;pDrHudef;a&;qGJjcif;ESifh bwf *sufa&;qGJjcif;vkyfief;rsm;zGHUNzdK; wdk;wufa&;? bwf*suftaumif txnfazmfrIESifhb@ma&;tpD &ifcHrIzGHUNzdK;wdk;wufa&;?jyifyBuD; MuyfrIzGHUNzdK;wdk;wufa&;ESifhpGrf; aqmif&nfjr§ifhwifa&;ponfh tydkif;ig;ydkif;jzifhtaumiftxnf azmfaqmif&Gufvsuf&Sdonf[k b@ma&;0efBuD;XmerSod&onf/ UMW Wins $51-million Myanmar Contract Zwe Wai M alaysia-based C o r p o r a t i o n - - ing Sdn Bhd has been awarded a contract by Thailand’s PTTEP Inter- national for the provision of drilling rig services. The contract, with an estimated value of $51.3 million, will be based in the Gulf of Mottama (Block M3) in Myanmar, - NAGA 5. 250 days excluding mo- bilisation and demobili- sation), and may be ex- tended for one optional said in an announcement on local stock exchange Bursa Malaysia. - rently in the Philippines, serving a drilling contract with NIDO Petroleum Philippines for drilling - ippines, which is expected to be completed by July. rav;&Sm;tajcpdkuf a&eHESifh obm0"mwfaiGUvkyfief;wpfckjzpf onfh UMW aumfydka&;&Sif; vkyfief;cGJwpfckjzpfonfh UMW OG urf;vGefa&eHwl;azmf&SmazG a&;ukrÜPDonfxdkif;EdkifiH PTTEP ukrÜPDESifh a&eHwl;azmfjcif;vkyf ief;rsm;aqmif&Guf&ef oufwrf; wdk;cJhaMumif; od&onf/ pmcsKyft& cefYrSef;ajctar&d uefa':vm 51 'or 3 oef; wefzdk;&Sdonfh rkwåryifv,fauGU &Sd vkyfuGuftrSwf M 3 wGif UMW u vkyfief;rsm;vkyfudkif rnfjzpfonf/tqdkygpmcsKyft& UMW onf a&eHwGif;ig;wGif; wl;azmfjcif;udk aqmif&Guf&rnf jzpfNyD; &ufaygif; 250 twGif; wl;azmfrnfudkvnf; UMW OG u aMunmcJhonf/ Representatives attend a session of the union parliament in Nay Pyi Taw. UAung/Xinhua
  8. 8. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 8 Myanmar Rosewood Stolen to Feed China’s Elite Furniture Craze Rosewood in Myanmar to go extinct in three years: EIA Phyo Thu M yanmar’s pre- cious rosewood tree species are heading for imminent commercial extinction at the hands of China’s mul- ti-billion dollar rosewood furniture boom, an envi- ronmental conservation group said. The illegal trade in rose- wood species is driven by expanding wealthy elites in China and their desires for high-end Ming and Qing dynasty reproduc- tion furniture, collectively known as “hongmu”. - ronmental Investigation Agency (EIA) said if cur- rent trends persist unad- dressed, the two most tar- geted hongmu species in Myanmar – tamalan and padauk – could be logged to commercial extinction within as little as three years. EIA’s May report Routes of Extinction, which doc- pressure on Siamese rose- wood has all but eradi- cated the species from countries neighbouring Myanmar, leaving Thai- land facing violence and Virtually overnight, My- anmar has become the biggest hongmu log sup- plier to China worldwide. “If Myanmar doesn’t seek help, now, then these precious species will quite simply become extinct very soon,” warned EIA Forests Campaign Leader Faith Doherty. “The vast bulk of this stolen timber is smug- gled into China across its land border with Myan- mar although Myanmar has a log export ban in place, China simply isn’t respecting its neighbour’s laws and allows these - hindered. “China has little re- gard for forestry or tim- ber trade laws in foreign countries but does show some respect for the Con- vention on International Trade in Endangered Spe- cies (CITES), and we be- lieve the best short-term action Myanmar can take, as a matter of urgency, is to secure listing for its threatened rosewood spe- cies via CITES.” EIA contends that the huge scale of illegal and unsustainable logging poses a real threat to gov- ernance, the rule of law and the viability of dwin- dling forests. China’s 2013 imports of Myanmar’s rosewood logs were triple the vol- ume and value recorded in 2012, and nearly six times the 2010 trade. Sei- in Myanmar since 2008 have followed almost ex- actly the same pattern as imports into China. The London-based agency urged the govern- ment to seek CITES Ap- pendix III protection for its at-risk hongmu spe- cies – Dalbergia barien- sis oliveri (tamalan) and Pterocarpus macrocarpus (padauk) – at the soon- est opportunity to ensure trade is in line with sus- tainable exploitation of existing standing stocks. “Myanmar needs help and CITES is one way for the Government to seek assistance in protecting this valuable resource. “EIA is also calling for CITES Parties to assist My- anmar in its need for a fully functioning Management Authority,” Doherty said. Myanmar Summary w½kwfEdkifiHvsifjrefpGmBuD;xGm; vmaom a':vmbDvD,HcsD opfeufy&dabm*aps;uGuf vufcsufaMumifh jrefrmEdkifiH tzdk;wefopfeufopfarT;rsKd;pdwf rsm;rSm rsKd;okOf;rnfhab;ESifh rvGJ raoG&ifqdkifae&NyD[k obm0 ywf0ef;usifxdef;odrf;a&;tzGJU wpfzGJUu qdkonf/ w½kwfEdkifiH&Sd txufwef;vTm rsm; aiGoHk;pGJrIESifh ][Gefrl}[k NcHKiHkíac:aomopfarT;rsKd;rsm; jzifhvkyfaom y&dabm*vuf&m rsm;tay:vdkcsifwyfrufrIaMumifh opfarT;w&m;r0ifukefoG,frIrSm jrifhwufvmvsuf&SdaMumif; od& onf/ obm0ywf0ef;usifpHkprf;ppf aq;a&;at*sifpD (EIA) owif;pm&Sif;vif;yGJwGif opfarT; rsm;rsKd;okOf;vmrIvrf;aMumif;udk azmfjyxm;NyD; ,if;vrf;aMumif; wGif jrefrmEdkifiHtdrfeD;csif;EdkifiH rsm;wGif xdkopfrsKd;rsm; vHk;0rsKd; okef;aysmufuG,foGm;onfudk rSwfwrf;wifxm;onf/ w½kwfEdkifiHonfjynfyEdkifiHrsm; opfESifhukefoG,fa&;Oya'rsm; udk *½kpdkufavhr&Sdaomfvnf; rsKd;okOf;tEÅ&m,f&SdaomrsKd;pdwf rsm;EdkifiHwumukefoG,fa&;qdkif &mnDvmcHqHk;jzwfcsuf (CITES) udkrl tenf;i,fav;pm;vdkufem aomaMumifh jrefrmEdkifiHtaejzifh a&wdkwGif umuG,fa&;twGuf taumif;qHk;vkyfaqmifEdkifonf rSm tEÅ&m,f&Sdaeaom opfeuf rsKd;rsm;udk CITES pm&if;0if atmifaqmif&Guf&efyif&SdaMumif; EIA u qdkonf/ a&&SnfwnfNrJEdkifjcif;r&Sdaom opfyrmPtrsm;tjym; w&m; r0ifckwfvSJukefoG,fjcif;rSm tpdk;& tkyfcsKyfa&;? w&m;Oya'pdk;rdk;rI ESifhopfawmrsm;xdef;odrf;a&;wdkY udk xdcdkufapaMumif; EIA u owday;onf/ w½kwfEdkifiHu 2013 ckESpfwGif jrefrmEdkifiHrS opfeufwifoGif;rI yrmPESifhwefzdk;rSm 2012 ckESpf xuf oHk;qydkrsm;NyD; 2010 ukef oG,frIajcmufqeD;yg;&Sdonf/ MinistryDraftsLong-termPlantoTackleEnergyCrisis Htun Htun Minn T he Asian Develop- ment Bank (ADB) and the Ministry of Energy (MoE) are said to be in the process of draft- ing and implementing a long-term energy master plan, according to U My- int Zaw, deputy minister for energy. According to statistics released by the MoE, My- anmar produced only 42 percent of gasoline and 11 percent of the diesel consumed in the 2013-14 was reportedly met with imports of 97 million gal- lons of gasoline and 330 million gallons of diesel. The government, in co- operation with the ADB, is currently preparing long-term plans for the coordination and conser- vation of energy resourc- es. This involves plans for storage to ensure fuel availability in the future and plans for the opera- tion and extraction of oil and gas from onshore and To ensure this, the MoE opened 16 onshore oil and - anmar and Ayeyarwaddy region, to 12 international companies to reduce reli- ance on imports. A tender process for an additional 18 oil and gas has been underway, since 2010, with deals to operate - ation with 10 international businesses –underway. The tender process for - ments since 2010, with the latest announcement made last month. Preparation for oil and gas extraction in an addi- Rakhine state and Tanin- tharyi region, in coopera- tion with eight interna- tional businesses, is also being carried out. Tenders are also un- derway for an additional same area, preparation for 21 of which is under- way. The ministry has said it is focused on using natu- ral gas extracted from - gy production. They have also indicated they will attempt to source power from several renewable sources, including solar, wind, hydro and biomass generation. Myanmar’s daily extrac- tion of crude oil currently falls short of required die- sel and gas use, requiring imports from Thailand and Singapore. It has been suggested if this discrepancy is not ad- dressed in the future, My- further deteriorate. Myanmar Summary jrefrmEdkifiHtem*wfpGrf;tif vkHNcKHa&;twGuf tm&SzGHUNzdK;a&; bPf (ADB) tultnDjzifh umv&SnfpGrf;tifqdkif&myifr pDrHcsuf (Long Term Energy Master Plan) ESifh pGrf;tifrl0g' qdkif&myl;aygif;aqmif½Gufjcif; (Coordination for Energy Policy) wdkYudk a&;qJGaqmif&Guf vsuf&Sdonf[kpGrf;tif0efBuD;Xme rS'kwd,0efBuD;OD;jrifhaZmfu ,ck usif;yaeaom atmufvTwf awmftpnf;ta0;wGifajymonf/ pGrf;tif0efBuD;Xmetcsuf tvufrsm;t& jynfwGif;a&eH pdrf;xGuf&SdrIt& 2013-14 b@m a&;ESpfwGif jynfwGif;xkwfvkyfrI "mwfqD*gvH 70 'or 5 oef; ESifh 'DZ,fqD*gvH oef; 40 cefY&Sd NyD;? jynfwGif;tokH;pGJrSm "mwfqD *gvef 168 oef;cefYESifh 'DZ,fqD *gvH 370 oef;cefYjzpfonf/ avmifpmqDvdktyfcsufjynfhrDap &ef EdkifiHawmfESifh yk*¾vduu@ ESpf&yfaygif;rS "mwfqD*gvef 97 oef;cefYESifh 'DZ,fqD*gvHoef; 330 cefYtm; jynfyrS wifoGif; cJh&onf/ vuf&SdtcsdefwGif tm&SzGHUNzdK; a&;bPf (ADB) tultnD jzifh umv&SnfpGrf;tifqkdif&m yifrpDrHcsuf (Long Term Energy Master Plan) ESifh pGrf;tifrl0g'qdkif&m yl;aygif; aqmif&Gufjcif; (Coordination for Energy Policy) wdkYudk a&;qJG aqmif&Gufvsuf&Sdonf/
  9. 9. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 9 Contd. P 20... Contd. P 20... Novotel CaseStudy:HowtoEntertheMarketinMyanmar Case 1: XYZ BV StrohalLegalGrouppresentsaweeklycasestudyaimingtoprovidealegaloverviewandupdatesonthelegalframeworkinMyanmar T he XYZ BV is a Dutch company that provides ser- - ter the successful estab- lishment in Singapore the XYZ BV is now seeking for a business opportunity to enter the market in My- anmar. The XYZ BV is ap- proaching us with the query of setting up a company in Myanmar or to start with a market a professional to Myan- mar. Further points are the company type that would suite best for their investment strategy, ob- stacles for foreign compa- nies entering the market as well as the rules and regulations on company, tax and labour law re- garding foreign and local employment contracts by complying with Myanmar labour law. - ness start-up based on the possibilities in Myanmar we advised XYZ BV on the advantages and disad- company types such as company or a Non-MIC company relating to capi- tal requirements, foreign investment protection and tax issues. Foreigners like Mr M, the CEO of the XYZ BV, may set up a 100 percent foreign-owned company either under the Myanmar Foreign Investment Law or the Myanmar Compa- nies Act. If the XYZ BV will set up a business ac- cording to the Companies Act the minimum share capital requirement is $50,000 for service com- panies – and $150,000 for manufacturing com- panies. Furthermore, it is re- quired for a foreign com- pany to obtain a permit from Directorate of In- vestment and Company Administration (DICA). A DICA permit is gener- years. Under the Foreign Investment Law (FIL) it is at the discretion of the MIC (Myanmar Invest- ment Commission) to decide on the minimum share capital and also the decision is based on the desired business activi- ties. Before a foreign compa- ny is set up in Myanmar, it is required to apply for Permit to Trade from the Ministry of National Planning and Economic Development before it can apply for registration of the company with the Registrar of the Compa- However, the Permit to Trade shall not be un- derstood in the common sense and rather means “Permit to do business”. Although the government did not announce a pro- vision of such permit, no or DICA permit for a for- eign trading company (distributing and selling products) are issued at present. Therefore, trading ac- tivities are still restricted this reason if trading is an important and main part of the XYZ BV. they should consider setting up a 100 percent local- owned company under the Myanmar Companies Act which they can com- mit to act as agent and/or distributor for their im- ported goods. The XYZ BV as a foreign company has to take into account that not all sec- tors are open for foreign investors. However, the law provides the option to enter into a joint venture with the government for restricted sectors. Provid- the XYZ BV is not a re- stricted sector. Based on the given fact we advise the XYZ BV to form a MIC approved company under the FIL. Therefore XYZ BV can reach the following in- income tax exemption from the year of starting production or services ac- tivities, up to continuous - tion or relief from income invested within one year and as well as exemption or relief from income tax up to 50 percent of exports, repatriation of Furthermore the for- eign investor is protected under the FIL against nationalisation and ex- propriation, which is also guaranteed by law. Ad- ditionally, the XYZ BV, if registered under the FIL is eligible to lease not only from the state but from private individuals as well. Lease periods extend up to 50 years and after this period, the Myanmar Investment Commission may authorise an exten- sion of further 10 years, which is again renewable for another 10 years. In our following article we will advise the XYZ BV about labour law and im- migration issues. Strohal Legal Group, founded by Dr Theodor Strohal in 1979, is a law Stefanie Siegfried jynfyukrÜPDwpfck jrefrmEdkifiH wGif0ifa&muf&if;ESD;jr§KyfESHvdkygu tpdk;&csrSwfxm;aom pnf;rsOf; tqifhqifhudk vdkufem&ef vdktyf ygonf/þaqmif;yg;wGif azmfjy xm;onfrSm jynfyEdkifiHrsm;wGif 0efaqmifrI½Hk;rsm; zGifhvSpfcJhNyD; jrefrmEdkifiHwGif vIyf&Sm;vdkonfh ukrÜPDwpfckudk erlemxm;í avhvmwifjyjcif;jzpfonf/ EdkifiHjcm;ukrÜPDrsm;taejzifh rnfonfhyHkpHjzifh0ifa&mufvdkonf udk a&G;cs,fp&mtrsKd;rsKd;&Sdonf/ jynfyydkifvkyfief;tjzpf jynfy&if;ESD; jr§KyfESHrIOya' (FIL) odkYr[kwf jrefrmukrÜPDrsm;tufOya' (MCA) ESifhtnDwnfaxmifEdkif onf/MCA t& vkyfief;wnf axmifvdkvQif 0efaqmifrIukrÜPD twGuf tedrfhqHk;t&if;tESD; vdktyfcsufrSm a':vm 50ç000 jzpfNyD; ukefxkwfvkyfa&;ukrÜPD Myanmar Summary UAung/Xinhua
  10. 10. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 10 Myanmar Summary Myanmar Summary for Myanmar Rice Exporters May Soe San M yanmar’s rice exporters can margins by taking advan- tage of China’s growing demand for high-quality rice, Muse Board of Trade Chairman U Chan Thar Oo said. Myanmar exported 850,000 tonnes of rice to China in 2014, while daily trade volume has hit 3,500 tonnes a day this month. U Chan Thar Oo said Myanmar must continue increasing export rates to gain a foothold in the de- veloping Chinese market- place. “The country can gener- - ing a long-term relation- ship of high quality rice trade with China,” he told Myanmar Business To- day. Myanmar generates a large supply of low-quali- ty rice, which the country sells at a cheaper price to countries interested in these products. Rice exports are pro- duced in two categories – a lower quality known as 25 percent broken rice or a high quality known as 5 percent broken rice. Africa is Myanmar’s dominant rice export market, importing mostly 25 percent broken rice. China is focused on im- porting high-quality rice to meet the growing de- mands of the country’s large population. The country only buys lower quality rice varieties at cheap prices to account for the production costs of having to mill products into higher qualities after they reach China. Myanmar’s rice milling facilities remain weak in their ability to scale up their operations due to low investment and mini- mal technology available. It is estimated that My- anmar’s dilapidated mill- ing facilities each only process about 50 tonnes of rice per day, whereas to meet market demand for domestic consump- tion and increased quality exports, such as China de- mands, milling operators would need to process at least 250 tonnes a day, rice traders say. U Chan Thar Oo said many local rice producers to sell rice at the low pric- es demanded by Chinese importers. prices given their subse- quent production costs to ensure they’re still inter- ested in buying our local products,” he said. The Myanmar Rice Asso- ciation forecasts Myanmar to export 1.5 million tonnes of rice this year including expanded markets in the European Union. w½kwfEdkifiHajymif;vJvmonfh aps;uGufoabmw&m;rsm;t& t&nftaoG;jrifhqefrsm; xkwf vkyfwifydkYEdkifygu tusKd;tjrwf &&SdNyD; cdkifrmaomaps;uGuf&&Sd rnfjzpfaMumif;rlq,fqefukefpnf 'dkifrS twGif;a&;rSL; OD;csrf;omOD; u ajymonf/ w½kwfEdkifiHtaejzifh t&nf taoG;jrifhqefrsm;udk vdktyfcsuf t& 0,f,laeNyD; NyD;cJhonfh ZGefv twGif; qefwefcsdef 850ç000 cefY jrefrmEdkifiHrS wifykYda&mif;cs EdkifcJhNyD; ,ckvwGifvnf; wpf &ufvQif qefysrf;rQwefcsdef 3500 ausmf t0if&SdaMumif; od&onf/ ]]w½kwf&JUajymif;vJvmwJh aps; uGufoabmw&m;rsm;t& jrefrm EdkifiHtaeeJY t&nftaoG;jrifh qefawGudk xkwfvkyfwifykdYEdkifrS ukefoG,fawGtaeeJY qefpufydkif &SifawGtaeeJYyg rqHk;½IH;bJtusKd; tjrwfrsm;&&SdNyD; ckdifrmaomaps; ajymonf/ jrefrmEdkifiHwGif wef;jrifhqef xkwfvkyfEdkifonfh pufta& twGufrSm vuf&Sdtcsdeftxd vGefpGmenf;yg;vsuf&SdonfhtwGuf qefpufrsm;rSxGuf&Sdaom qef t&nftaoG; 84 &mcdkifEIef; rSm tusKd;taMu 25 &mcdkifEIef; yg0ifaomtrsKd;tpm;rsm;omjzpf NyD; 16 &mcdkifEIef;cefYom wef;jrifh qewifydkYxkwfvkyfEkdifaMumif;? w½kwfukefonfrsm;taejzifh t&nftaoG;aumif;qefudkom t"duxm;0,f,lNyD; jrefrmEdkifiHrS tvwfp atmufpawG ta&mif; u ajymonf/ ILO,MyanmartoDevelop Employers’Capacity Kyaw Min M yanmar’s apex business associ- ation and the In- ternational Labor Organi- a project for boosting the capacity of employers’ or- ganisations in Myanmar and promoting work prin- ciples and sustainable en- terprises. According to a memo- randum of understanding (MoU), signed between the Union of Myanmar Federation of Chambers of Commerce and Indus- try (UMFCCI) and the ILO, the project, aimed at solving disputes between employers and employ- ees and promoting skill of labourers, will be imple- mented up to April 2016. Under the project, the ILO Chief Technical Ad- will jointly conduct busi- ness training and work- shops for employers in a bid to create harmonious relations between employ- ers and employees. stressed the need for ef- - tation and the role of pri- vate sector in Myanmar’s economic, social and democratic development. They also voiced sup- port for the development of UMFCCI and business organisations. A Myanmar industries association leader said that Myanmar doesn’t have enough skilled work- ers compared with other countries and the work- ers need more technical knowledge and other sup- ports. ChaiwatSubprasom/Reuters SakchaiLalit/Reuters jrefrm Apex pD;yGm;a&;tzGJU ESifhtjynfjynfqdkif&mtvkyform; tzGJUtpnf; (ILO) wdkY yl;aygif; í jrefrmEdkifiH&Sd tvkyf&Sifrsm; tzGJUtpnf; vkyfaqmif&nfudk jr§ifhwifay;NyD; vkkyfief;BuD;rsm; vkyfief;pnf;rsOf;rsm;ESifh a&&Snf wnfwHhrIwdkYudkvnf; jr§ifhwifay; oGm;rnfjzpfonf/ jrefrmwGif uRrf;usifvkyfom; vHkavmufrIr&Sdí enf;ynmESifh tjcm;tultnDrsm; ydkívdktyf aeaMumif; uRrf;usifolrsm;u qdkonf/
  11. 11. July 17-23, 2014 Myanmar Business Today 11 HIGHLIGHTS: Banking Regulatory Update: Licensing of Foreign Banks, Mobile Banking, and Security on Onshore Assets OUR OFFICES YANGON NAY PYI TAW
  12. 12. July 17-23, 2014 Myanmar Business Today LOCAL BIZ 12 David Ross A ustralian Foreign Minister Julie Bishop has an- nounced plans by her gov- ernment for “increasing educational opportunities for primary and tertiary students” in Myanmar. During her recent three- day visit to Myanmar, she said the Australian government will provide a $27.8 million in fund- ing to boost services in 43,000 schools and strengthen teacher train- ing colleges for tertiary sectors. “Education is essen- tial to the success of the Myanmar government’s Improvements in educa- tion will help people de- velop the skills to take ad- vantage of the expanding economic opportunities,” she said in a statement. This funding is in addi- tion to Australia’s com- mitment of $24.6 million, aimed at promoting “eco- nomic growth and com- munity engagement with the peace process.” Myanmar’s education - acy of chronic underinvest- ment and mismanagement in almost every school and educational institution – with past governments failing to provide invest- ment or upkeep. - ondary schooling, My- anmar faces the issue of falling participation rates in its education system, many children do not en- rol or for many are unable to attend primary school. The Australian govern- ment, in cooperation with the Ministry of Education expand existing school- grant and stipend pro- grams in addition to add- ed programs of training and curriculum-manage- ment assistance. - cial aid, Australia will also provide 50 long-term Australia Awards for My- anmar students to study in Australia in 2015 and it is also exploring oppor- tunities within the New Colombo Plan to enable Australian students to study in Myanmar. President U Thein Sein visited Australia last year, meeting with ex-Prime Minister Julia Gillard, in what was widely seen as a historic visit. It was during this visit put under the spotlight, with the country then re- ferred to as Myanmar and its biggest city as Yangon. However, in recent times the Australian government has referred to the country both Burma and Myanmar and its biggest city as both Rangoon and Yangon. Such a move was pre- dicted following the change of Australian gov- ernment late last year but has been tipped as threat- ening some diplomatic gains made between the two countries. Myanmar Summary Myanmar Summary Myanmar Summary MyanmartoHoldInt’lFood, BeverageFairinYangon M yanmar will hold - tional food and beverage expo in Yangon, the Union of Myanmar Federation of Chambers of Commerce and Indus- try (UMFCCI) announced. The International Food and Beverage Exhibition, jointly organised by the Thai Chamber of Com- merce, Board of Trade of Thailand and ICVeX Co Ltd, will be held at Myan- mar Convention Center from July 24-26. The three-day exhibi- tion will feature manu- facturers, suppliers and brands, mostly from Thai- land, who will promote their food and beverage lines ranging from raw products. It will also cover food service, food and bever- age catering equipment and supplies as well as franchising opportunities. Zwe Wai The exhibition will help to promote foreign manu- facturers and suppliers as well as Myanmar enter- prises, hotels, restaurants and catering companies, the organisers said. Myanmar Jade And Gems Emporium Nets Record High $3.5 Billion M yanmar’s latest jade, gems and pearl brought in a record high $3.5 billion, a senior of Mines said. Myanmar is the world’s biggest source of high- quality jade, much of it coming from Kachin state in the north, but the in- dustry has been disrupted the army and ethnic re- bels in the region broke down in 2011. Much of the jade is smuggled over the border to China. The government general- a year and the latest was in the capital, Nay Pyi Taw, from June 24 to July 6. “Total proceeds from the sale of jade, pearl and gems like ruby and sap- phire at the 51st Empo- rium amounted to over €2.6 billion ($3.54 bil- lion), exceeding our ex- Aung Hla Tun pectations and hitting a Htein, a director general at the Ministry of Mines. He said total proceeds from all last year’s sales came to about $2.6 billion. - cial, who asked not to be not authorised to speak to the press, said most of the buyers of the jade were from China, Hong Kong, Thailand and Singapore, while local buyers bought most of the gems. data compiled by the state-run Central Statis- tical Organisation (CSO), Myanmar produced 15.06 million kg of jade in the March 2014, compared with 19.08 million in 2012/2013 and 43.19 mil- lion in 2011/2012. Reuters jrefrmEdkifiH yxrqHk;tBudrf tjzpf EdkifiHwumtpm;taomuf ESifh tazsmf,rumjyyGJwpfckudk &efukefNrdKUwGif usif;yoGm;rnf[k UMFCCI u aMunmcJhonf/ tqdkygEdkifiHwumtpm;taomuf ESifhtazsmf,rumjyyGJudk xdkif;EdkifiH ukefonfpufrItoif;?xdkif;EdkifiH ukefoG,fa&;bkwftzGJUESifh ICVex ukrÜPDvDrdwufwdkYyl;aygif;í jrefrmuGefAif;&Sif;pifwm MCC wGif Zlvdkifv 24 &ufrS 26 &uf txd usif;yoGm;rnfjzpfaMumif; od&onf/ oHk;&ufMum Mumjrifhrnfhtqdkyg jyyGJwGif xdkif;EdkifiHrS pm;aomuf ukefxkwfvkyfolrsm;?ukefpnfjznfh qnf;olrsm;? emrnfBuD;trSwf wHqdyftrsm;pkvma&mufjyornf jzpfonf/ jrefrmEdkifiHaemufqHk;w&m;0if ausmufpdrf;? &wemrsm;ESifh ykvJ ta&mif;jyyGJwGif pHcsdefwif 0ifaiG a':vm 3 'or 5 bDvD,H&&Sd cJhaMumif; owåKwGif;0efBuD;Xme tqifhjrifht&m&SdwpfOD;uqdkonf/ jrefrmEdkifiHonf t&nftaoG; jrifh ausmufpdrf;urÇmay:wGif trsm;qHk;xGuf&Sd&mEdkifiHjzpfNyD; trsm;pkrSm EdkifiHajrmufydkif; ucsif jynfe,frS &&Sdjcif;jzpfaomfvnf; 2011 ckESpfwGif tpdk;&ESifh wdkif; &if;om;vufeufudkifwdkYtMum; typf&yfpmcsKyfusKd;ysufoGm;NyD; aemufwGif ausmufpdrf;vkyfief; rSm xdcdkufvmcJhonf/xGuf&Sdaom ausmufpdrf;trsm;pkrSm w½kwfjynf odkYw&m;r0ifydkYaqmifvsuf&Sdonf/ tpdk;&onf trsm;tm;jzifh ausmufrsufjyyGJudk wpfESpfvQif ESpfBudrfusif;yavh&SdNyD; aemufqHk; yGJudk aejynfawmfwGif ZGefv 24 rS Zlvdkifv 6 &ufaeYtxd usif;y cJhjcif;jzpfonf/ 51 Budrfajrmuf ausmufrsufjyyGJ rSm ausmufpdrf;? ykvJ? ywåjrm;eJUY eDvmpwJh ausmufrsuf&wem a&mif;cs&rIaMumifhpkpkaygif;0ifaiG [m a':vm 3 'or 54 bDvD,H ausmf&SdcJhNyD; rlvcefYrSef;csufrsm; udk ausmfvGefumpHcsdefwifjrifhwuf oGm;aMumif; owåKwGif;OD;pD;Xme rS ñTefMum;a&;rSL;csKyf OD;0if;xdef u qdkonf/ MopaMw;vstpdk;&onf jrefrm EdkifiHwGif rlvwef;? tv,fwef; tqifhESifh wuúodkvftqifh ausmif;om;rsm;twGuf ynma&; tcGifhtvrf;rsm;jr§ifhwifay;Edkif&ef pDpOfvsuf&SdaMumif; MopaMw;vs EdkifiHjcm;a&;0efBuD; *sLvDbda&Smh u xkwfjyefvdkufonf/ Mo p aMw;v s t pdk ; & onf a':vm27 'or 8 oef;axmufyHh í ausmif;aygif; 43ç000 0efaqmifrIrsm;udk jr§ifhwif&efESifh wuúodkvftqifhtaejzifh q&m jzpfoifaumvdyfrsm;udk jr§ifhwif ay;&ef oHk;pGJoGm;rnfjzpfaMumif; Mumvma&mufaom c&D;pOfwGif ajymMum;cJhonf/ pD;yGm;a&;zGHUNzdK;&efESifh Nidrf;csrf; a&;vkyfief;pOfwGif todkuft0ef; uydkíyg0ifEdkif&ef&nf&G,faom Mo p a Mw; v s a xmufyHhrI a':vm 24 'or 6 oef;tjyif txufygaxmufyHhrIudk xyfrH jyKvkyfoGm;rnfjzpfonf/ MopaMw;vstpdk;&onf ynm a&;0efBuD;XmeESifh urÇmhbPfwdkY ESifhyl;aygif;í &SdESifhNyD;aom ynm oifaxmufyHhaMu;tpDtpOfrsm; udk csJUxGif&efESifhavhusifhoifMum; ay;jcif;ESifh oif½dk;pDrHcefUcGJjcif; tultnDwdkUudk jznfhqnf;ay; oGm;rnfjzpfonf/President U Thein Sein (L) meets with visiting Australian Foreign Minister Julie Bishop in Nay Pyi Taw. Xinhua/MyanmarNewsAgency Merchants view the jade during the 51st annual Myanmar Gems Em- porium at Maniyadana Emporium Hall in Nay Pyi Taw. UAung/Xinhua
  13. 13. July 17-23, 2014 Myanmar Business Today REGIONAL BIZ 13 Myanmar Summary Myanmar Summary Japan’sCurrent-AccountSurplus MasksExportWeakness Masaaki Iwamoto and Chikako J apan posted a fourth straight current- account surplus, as income from overseas in- vestments masks the fail- ure of the yen’s slide to boost exports. The excess in the wid- est measure of trade was 522.8 billion yen ($5.1 bil- ministry reported in To- kyo today, beating the median forecast of 417.5 billion yen in a Bloomb- erg survey. Exports rose 2 percent from a year ear- lier. Export volumes remain under the level when Abe came to power in December 2012, despite the yen’s 16 percent slide against the dollar over the period. Abe’s task is to en- sure his growth strategy - the third of his so-called three arrows of Abenom- ics - gives companies enough of an edge over overseas rivals to boost outgoing shipments. “The strength of recov- ery in global demand will play a bigger role than - ing Japanese exports,” said Koichi Fujishiro, an economist at Dai-ichi Life Research Institute in To- kyo. “Sluggish exports can be attributed to the rising ratio of overseas produc- tion.” Japan’s Topix (TPX) in- dex of stocks followed U.S. shares lower, drop- ping 0.4 percent in morn- ing trading in Tokyo, on track for a second straight decline. The yen rose 0.1 percent against the dollar to 101.78 as of 12:22 p.m. in Tokyo. Bloomberg AngWith$10BillionPrimesSan MiguelforSoutheastAsianHunt Cecilia Yap S an Miguel Corp., the biggest Philippine company, is pre- pared to spend as much as $10 billion to buy assets in Southeast Asia, Presi- dent Ramon Ang said. An energy-related target has the potential to boost sales by more than 50 per- cent, Ang said on July 2, without giving a price and timeline. The company has announced 41 acqui- sitions worth $7.8 billion since 2000, about three- quarters of which were made since 2008, when it began moving out of the food and brewery busi- ness, according to data compiled by Bloomberg. San Miguel said in De- cember 2012 it was look- ing at a $5 billion acquisi- tion in the gas industry. “There are a lot of op- portunities in the region and most of these deals you can win with a small amount,” Ang said in his leverage capacity.” This year, Ang forecasts digit growth. Net income gained 42 percent to 38.1 billion pesos ($874 mil- lion) last year. The company, which owns the Philippines’ big- gest electricity producer SMC Global Power Hold- ings Corp. and the na- tion’s largest oil company Petron Corp. (PCOR), has also initiated a $9 billion capital spending plan to expand its oil, power and infrastructure businesses by 2016, Ang said. Most of the investments will be funded internally, he said. Bloomberg zdvpfydkiftBuD;qHk;ukrÜPD SanMiguel aumfydka&;&Sif;onf ta&SUawmiftm&S&Sd ydkifqdkifrIrsm; 0,f,l&ef a':vm 10 bDvD,H txd oHk;pGJoGm;rnf[k od&onf/ pGrf;tifESifhywfoufaomydkifqdkif rIwpf&yfonf a&mif;tm; 50 &mcdkifEIef;txd jrifhwufvmEdkif ukrÜPDonf 2000 jynfhESpfrSpí a':vm 7 'or 8 bDvD,H wefzdk;&Sdonfh 0,f,lrIpkpkaygif; 41 ckjyKvkyfcJhNyD; xdkxJrS av;yHk vkyfief;rSxGufícsJUxGifrIrsm;jyKvkyf vmonfh 2008 ckESpfaemufydkif; onf "mwfaiGUvkyfief;u@xJ wGif a':vmig;bDvD,Hwefzdk;&Sd aom0,f,lrIrsm;jyKvkyf&ef&SmazG vsuf&SdaMumif; od&onf/ a'owGif;wGif 0,f,lEdkifaom tcGifhtvrf;rsm;pGm&SdaeNyD;xdkxJrS trsm;pkudkyrmPtenf;i,fjzifh 0,f,lEkdifaMumif; Ouú| Ang wdkY tjrwfyrmPrSm *Pef; ESpfvHk;txdjrifhwufvmEdkifaMumif; Ang u cefYrSef;xm;onf/NyD;cJh onfhESpftom;wif0ifaiGrSm 42 &mckdifEIef;wdk;wufí a':vm 874 oef;&SdcJhaMumif; od&onf/ *syefEdkifiHydkYukefrsm;udkjr§ifhwif &ef ,ef;wefzdk;udk avQmhcsjcif; tpDtpOfratmifjrifaomfvnf; jynfy&if;ESD;jr§KyfESHrIrsm;rS 0ifaiG rsm;u umrdcJhaomaMumifh av;Budrfqufwdkuf 0ifaiGxGuf aiGtaygif;jyvmcJhaMumif; od& onf/ ukefoG,fa&;ydkaiGjyrIrsm;teuf trsm;qHk;rSm arvwGifjzpfNyD; ,ef; 522 'or 8 bDvD,H (a':vm 5 'or 1 bDvD,H)&SdcJh aMumif; b@ma&;0efBuD;u xkwfjyefvdkufum Bloomberg ppfwrf;tv,ftvwfcefYrSef; csufjzpfaom 417 'or 5 bDvD,HyrmPudk ausmfvGefcJh aMumif; od&onf/jynfyydkYukef rsm;rSm NyD;cJhonfhESpfxuf ESpf&mckdif EIef; wdk;wufvmaMumif;vnf; od&onf/ EdkifiHwumu 0,fvdktm; jrifhwufvmjcif;onf ,ef;wefzdk; xufydkí *syefydkYukefrsm;udk ouf a&mufvdrfhrnfjzpfaMumif; pD;yGm; a&;ynm&Sif udktDcsDu qdkonf/ EdkifiHwumrS xkwfvkyfrIjrifhvm jcif;ESifh *syef ydkYukefwifydkYrI usqif;jcif;wdkYrSm tcsKd;usae
  14. 14. July 17-23, 2014 Myanmar Business Today REGIONAL BIZ 14 Indonesia’sElectionHasInvestorsonEdge Karl Lester M. Yap, Brian Leonal and Novrida Manurung T he potential for weeks of uncertain- ty over Indonesia’s presidential-election re- sult puts the onus on the nation’s central bank to contain a current-account rupiah. Bank Indonesia, meet- ing to set policy today, is forecast to keep its bench- mark rate unchanged for an eighth meeting even as Southeast Asia’s biggest economy cools, accord- ing to all 21 economists surveyed by Bloomberg News. Lower rates would add to domestic demand that has spurred the na- tion’s current-account Jakarta Governor Joko counts, even as ex-Gen- eral Prabowo Subianto declared victory ahead of - fore a new administration can take charge, scope is - tively address the coun- “Right now the best way is to continue to keep monetary policy relatively tight because BI’s prior- - nancial market stability,” said Gundy Cahyadi, a Singapore-based econo- mist at DBS Group Hold- ings Ltd., Southeast Asia’s biggest lender. “The cur- - wrong with the economy in recent years.” The central bank’s fo- cus on a current-account gap that made the rupiah Asia’s worst-performing currency last year under- scores the economic chal- lenge for the next gov- results later this month give the presidency to - wi, with a narrow win, he could still face a frag- mented parliament in any bid to cut the nation’s reli- ance on fuel subsidies and free up funds to invest in infrastructure. “The new president in- herits a slowing economy which is in dire need of infrastructure investment and strong leadership,” said Chua Hak Bin, a re- gional economist at Bank of America Corp. in Sin- gapore. “Reviving growth, investment and exports should be key.” Bank Indonesia isn’t the only central bank in the region with a greater bur- den on monetary policy from political uncertain- ty. The Bank of Thailand lowered interest rates twice between late No- vember and mid-March, after months of public protests and political tur- moil undermined domes- tic demand. Indonesia’s rupiah for- wards jumped the most since February and dollar bonds advanced last week. One-month non-deliver- - shore rose 1.4 percent to 11,583 per dollar from July 8 as of 8:22 p.m. in Sin- gapore, according to data compiled by Bloomberg. That was the biggest in- crease since Feb. 14. Remain Vigilant Bank Indonesia Gover- nor Agus Martowardojo has held the reference rate at 7.5 percent since last raising it in Novem- to a one-year low in June. for no policy moves in the near term,” said Lim Su Sian, an economist at HSBC Holdings Plc in Singapore. “Regardless of the election outcome, we do want to see con- tinued hawkishness from the central bank and in- dications it does remain vigilant particularly with the external imbalances, which are still looking very vulnerable.” Consumer prices gained 6.7 percent from a year earlier in June, slowing from 7.32 percent the pre- vious month. Policy mak- ers aim to narrow the cur- percent of gross domestic product by the end of this year from 3.3 percent in 2013. Indonesia’s $878 billion economy expanded 5.21 - ter from a year earlier, the weakest pace since 2009. Jokowi has said the econ- omy can grow more than 7 percent with conducive investment and regula- tory framework. He has promised to give incen- tives for export-oriented industries and plans to build double-track rail- ways in Java, Sumatra and Papua. Prabowo has pledged to spread wealth out of the capital to rural communi- Myanmar Summary Indonesia’s Presidential candidate Joko Widodo casts his vote at a polling station in Jakarta. DimasArdian/Bloomberg ties by allocating at least 1 billion rupiah ($86,000) every year for each vil- lage. He has also prom- ised to raise wages from about 3 million rupiah a month to 6 million rupiah - tablish banks for farmers Bloomberg tif'dkeD;&Sm;EdkifiH or®wa&G; aumufyGJrSm tdE´d,EdkifiH rMum ao;rDuusif;ycJhaomtrsKd;om; a&G;aumufyGJ &v'frsKd;yif xGufvmvdrfhrnf[k oHk;oyfcHcJh& onf/tkyfcsKyfolvlwef;pm;tm; pdwfukefaeaom tdE´d,jynfol rsm;u atmufajcrS wufvm aom em&ef'grdk'Dudk a&pD;urf;NydK tEdkif&apcJhovdk tif'dkeD;&Sm;wGif vnf; axmifvTm;rIr&SdbJ jynfol rsm;ESifhxdawGUrI&Sdonf[k emrnf aumif;&aom *smumwmNrdKU0ef tjzpf xrf;aqmifcJhol *sKdudk0D'dk'dk udk a&G;cs,fMurnf[k cefYrSef;cJh Muonf/ odkY&mwGif a&G;aumufyGJpwif &ef &ufydkif;omvdkawmhcsdefwGif tajctaeajymif;vJvmNyD;*sKdudk0D [k jynfolrsm;u &if;&if;ESD;ESD; ac:qdkonfh0D'dk'dkrJta&twGuf tBudKcefUrSef;csufrsm;wGifOD;aqmif NydKifbuf y&mbdk0dkwdkYtMum; NydKifyGJ tvGeftBudwfte,f&Sdvmonf/ tEdkif&olonf tusifhysufjcpm; rIrsm; jynfhESufaeaom pD;yGm; a&;BuD;tm;qufcH&rnfjzpfonf/ Transparency Internation 2013 ckESpf tusifhysufjcpm;rI wdkif;wmcsufwGif 177 EdkifiHteuf tif'dkeD;&Sm;rSm tqifh 114 wGif &yfwnfvsuf&Sdonf/
  15. 15. July 17-23, 2014 Myanmar Business Today REGIONAL BIZ 15 Myanmar Summary Riding on Modinomics Hopes, India's Indebted Companies Rush to Lock in Funds Sumeet Chatterjee S everal private Indian up to $5 billion this year through share sales, em- boldened by a surge in the stock market and an an- ticipated economic recov- ery after Narendra Modi was elected as prime min- ister. Leading the equity issu- ances in the private sector - frastructure Ltd, Adani Enterprises Ltd and oth- ers in capital-intensive industries such as infra- structure, metals and tel- ecommunications, bank- ers say. These companies bor- rowed heavily in the past few years, when In- dia’s economy was one of the fastest growing in the by the slowdown in growth last year and the slide in the rupee to re- cord lows. In most cases, banks stopped giving fresh loans to these indebted compa- nies, whose loans often exceeds their equity sev- eral times over, leaving them with few options but to tap the equity market to raise money to reduce their debt. “There will be a stam- pede of Indian companies going to the markets and trying to reduce leverage to take advantage of this some kind of Modinom- ics,” said Eric Mookher- jee, a Paris-based fund manager at Shanti India, which manages Indian stocks. “The access to capital is much easier now, and you need to clean up your bal- ance sheet before you get into the investment mode again. So, the engine has now been started.” Bankers say 2014 is poised to become the - ings in India since 2010, which saw some $24 bil- lion raised by state-run and private companies. are expected to raise up to $6 billion via share sales, which, in addition to the $5.4 billion already raised year and the anticipated issuances by the private sector, would bring the total amount to around $16 billion for the year, according to investment bankers’ estimates and Thomson Reuters data. The rush to raise capital could gather speed if the federal budget on July 10 paves the way for a revival of the economy after the longest spell of growth be- low 5 percent in a quarter of a century, bankers say. Reuters Myanmar Summary ChinaJuneTradeDataMissesFore- casts,DoubtsOverEconomyLinger C hina's trade perfor- mance improved in June but still missed market forecasts, reinforcing expectations that Beijing will have to unveil more stimulus measures to stabilise the economy and meet its 2014 growth target. Exports rose 7.2 per cent in June from a year earlier, the best pace in - low a median forecast in a Reuters poll for a rise of 10.6 percent. Imports also missed ex- pectations, growing by 5.5 percent versus forecasts of 5.8 percent, although they returned to posi- tive territory after a small drop in May. China's combined ex- ports and imports edged six months of the year, data showed last Thursday. Aileen Wang and Kohgui Qing "For the economy to re- bound in the second half of this year, we believe more policy support is necessary due to the un- steady recovery base," at the China Centre for In- ternational Economic Ex- changes, a think-tank in Beijing. Premier Li Keqiang said on Monday that economic growth quickened in the second quarter from the previous three months, but added that further modest government sup- port measures will still be needed. Beijing has set an annual growth target of around 7.5 percent. Reuters Reuters tdE´d,EdkifiHwGif &S,f,maps;EIef; rsm; jyefvnfjrifhwufvmjcif;ESifh twl 0efBuD;csKyfopf em&ef'grdk'D wufvmNyD;aemuf pD;yGm;a&;jyef vnfOD;armhvmrnf[laomarQmf vifhcsufrsm;jzifh yk*¾vduukrÜPD trsm;tjym;onf &S,f,mrsm; a&mif;csí a':vm 5 bDvD,H txd rwnfum wif&Sdaeaom ta<u;rsm;udkay;qyf&ef jyifqif aeaMumif; od&onf/ tdE´d,pD;yGm;a&;onf urÇmay: wGif tjrefqHk;EIef;jzifh wdk;wuf aepOfumvjzpfonfh NyD;cJhonfh ESpftenf;i,fu ,if;ukrÜPD rsm;onf yrmPtrsm;tjym; acs;,lcJhojzifh NyD;cJhonfhESpf pD;yGm; a&;wdk;wufrIEIef;usqif;csdefESifh ½lyD;aiGwefzdk;pHcsdefwifusqif; csdefwGif tcufawGUvm&jcif;jzpf onf/trsm;tm;jzifh bPfrsm; onf ,if;ta<u;wifaeaom ukrÜPDrsm;tm; ta<u;opfrsm; xyfrHcsay;jcif;rjyKawmhojzifh ukrÜPDrsm;rSm ta<u;rsm;udk avQmhcsEdkif&ef &S,f,maps;uGuf wGif;odkY 0ifa&mufa&mif;csjcif; enf;vrf;om a&G;p&musefawmh onfhtajctaea&muf&Sdvmonf/ EdkifiHydkifESifh yk*¾vdubPfrsm; pkpkaygif; a':vm 24 bDvD,H wefzdk;txd &S,f,mrsm;a&mif;cs cJhaom 2010 ckESpf aemufydkif; wGif 2014 onf &S,f,ma&mif;cs rItjrifhqHk;ESpfjzpfvmrnf[k bPf vkyfief;&Sifrsm;u cefYrSef;xm;Mu onf/ w½kwfEdkifiH ukefoG,fa&; pGrf;aqmifrIrSm ZGefvwGif jyefvnf aumif;rGefvmaomfvnf;aps;uGuf ueOD;cefYrSef;csufrsm;udk jynfhrD jcif;r&Sdao;ojzifh ab*sif;tae jzifh pD;yGm;a&;udk wnfNidrfap&ef a&; cefYrSef;csufrsm;udk jynfhrDap &ef pD;yGm;a&;wGef;tm;ay;onfh vkyfaqmifcsufrsm; xyfrHaqmif &Gufvm&vdrfhrnf[laomcefYrSef; csufrsm;udkydkícdkifrmvmaponf/ ydkYukefrsm;rSm ZGefvwGif NyD;cJh onfhESpftvm;wlumvuxuf 7 'or 2 &mcdkifEIef;wdk;wufvm cJhNyD; ig;vtwGif; taumif;qHk; EIef;xm;jzpfaomfvnf; Reuters u cefYrSef;xm;aom 10 'or 6 &mcdkifEIef;xuf tawmftwef edrfhaeao;aMumif; od&onf/ oGif;ukefrsm;rSmvnf; arQmfrSef; csufrsm;xuf edrfhuscJhNyD; 5 'or 8 &mcdkifEIef;cefYrSef;xm;&mrS 5 'or 5 &mcdkifEIef;wdk;wuf vmcJhum arvtwGif; tenf; i,fusqif;cJhNyD;aemufydkif; taumif;bufodkY OD;wnfvmcJh NyDjzpfonf/ w½kwf ydkYukefESifh oGif;ukef ESpfckaygif;onf ,ckESpf yxr 6 vtwGif; 1 'or2 &mcdkif EIef;omwdk;wufcJhaMumif;vnf; od&onf/
  16. 16. July 17-23, 2014 Myanmar Business Today INTERNATIONAL BIZ 16 Myanmar Summary FrancePutsEuroZoneRecoveryatRisk,EconomistsWarn Liz Alderman A s Europe struggles to move past the worst of its debt crisis, France has increas- ingly become a worry point in the recovery. The economy has been hovering too long near stagnation, economists warned at an economics conference in France on Sunday, saying that unless the government in Paris pushed more strenuously to improve growth along- side Germany, its perfor- mance threatened to weigh on the prospects for a wider recovery in the euro “The weakness of France managing director and interview on the sidelines of the conference. “It’s not that France and Germany should dominate,” he add- way together it might be an issue.” That theme was repeat- edly invoked during the three-day meeting by Le Cercle des Économistes as top European policy mak- ers and economists ad- dressed what has become the most urgent concern about Europe: that for all the steps taken to put crisis-stricken countries on a path toward renewed growth, the recovery is still unfolding much too slowly. Christine Lagarde, man- aging director of the Inter- national Monetary Fund, hinted on Sunday that the fund’s economic forecasts for Europe might be cut amid signs that the growth potential of numerous countries was weakening. “The global economy is gathering speed, though the pace may be a bit less than we previously pre- dicted,” Ms. Lagarde told the conference. She added, - icit everywhere.” Investment in Europe is about 20 percent lower than it was before the cri- sis unspooled, while public investment — especially along Europe’s southern rim — has been sharply tightened because of budg- et constraints, she said. Two years after Germany urged European countries to cut government spend- ing and raise taxes to mend national accounts, policy makers are now discuss- ing the need for shock- and-awe public invest- ment programs, especially infrastructure projects, to that have been deepened by austerity measures. “There are still post-crisis said Jacques Mistral, head of economic studies at the French Institute of Inter- national Relations. “There is a lot less spending today, that hole.” According to a recent re- PwC, Europe will represent just 10 percent of global in- frastructure spending by 2025, falling from around 20 percent a few years ago, - gion will represent nearly 60 percent of such spend- ing. Like many who gathered here for the conference, Mr. Mistral called for bil- lions of euros in public in- vestments in energy, the environment and technol- ogy and high-speed Inter- net, where a number of countries — France includ- ed — sorely lag. France has gotten its Eu- ropean partners to allow it to push back a deadline for reducing its budget domestic product, a tar- get the government now plans to reach in 2015. The French president, Fran- çois Hollande, has called for exempting investment - ures as he tries to re-ener- Michel Sapin, the French a more reassuring tone second-largest economy, amid rising concern that France may be the new “sick man of Europe.” “France is a huge econo- my in Europe, with a large industrial base and inno- vation and research,” Mr. Sapin said in an interview. “I don’t see how we can be sick, or at least sick for a we’re lowering costs and taxes for companies, and we’re working for more competitiveness.” Still, Ms. Lagarde warned countries seeking to spend their way out of a down- turn not to add to already high national debts — a problem that has been at crisis. “If you’re not in a medium-term situation that assures sustainabili- ty,” she said, “you can’t un- dertake major infrastruc- ture investments.” “This has to be done on a case-by-case basis,” she added. NewYorkTimes ICRC headquarters in Geneva. DenisBalibouse/Reuters jyóemrsm;xJrS ½kef;xGufausmf vTm;Edkif&efBudK;yrf;vsuf&SdcsdefwGif jyifopfEdkifiHrSm em;vefxlaeonfh vkyfief;pOftwGif;ü pdk;&drfp&m taetxm;wpfckjzpfvmonf/ jyifopfpD;yGm;a&;rSm wefYae onfhtajctaeem;a&mufaeonf rSm rsm;pGmMumjrifhaeNyDjzpfaMumif; pD;yGm;a&;ynm&Sifrsm;u we*FaEG aeYu usif;yaom pD;yGm;a&; nDvmcHwGif owday;cJhNyD; *smreD ESifhwef;wl&ifaygifwef;wdk;wufrI &&ef yJ&pftpdk;&u jyif;jyif;xef xefwGef;ay;jcif;r&SdvQif ,l½dkZkef wpfckvHk; us,fus,fjyefUjyefUjyef vnfem;vefxlvmap&ef tvm; tvmrsm;tay: oufa&mufrI rsm;&SdvmEkdifaMumif; owday; ajymMum;onf/ ]]jyifopf&JU tm;enf;csufu jrifae&w,f}}[k 0g&Sifwef&Sd urÇmh bPftkyfpkrS b@ma&;t&m&Sd csKyf bmx&efbm'&Du qdkonf/ ]]jyifopfeJU *smreDu vuf0g;BuD; tkyfvTrf;rdk;&r,fvdkYawmh r[kwf bl;? 'gayrJh uRefawmfwdkYyl;aygif; NyD;tajzr&SmEdkif&ef 'g[mjyóem qdkonf/ Le Cercle des Économistes wGifusif;ycJhaom oHk;&ufMum aqG;aEG;yGJwGif xdktaMumif;t&m udk rMumcP aqG;aEG;cJhMuNyD; Oa&mywGif ta&;tBuD;qHk;jzpf aeonfh ysufuyfBuHKae&onfh EdkifiHtm;vHk;tm; jyefvnfem;vef xl&ef BudK;yrf;rIrsm; rsm;jym;pGm jyKvkyfaeonfhwdkif aES;auG;vsuf yif&Sdaeonfhtajctaetay: wGifvnf; xdyfwef;Oa&myrl0g' csrSwfolrsm;ESifhpD;yGm;a&;ynm&Sif rsm;uoHk;oyfaqG;aEG;cJhMuonf/
  17. 17. July 17-23, 2014 Myanmar Business Today INTERNATIONAL BIZ 17 Lagarde Hints at Global Forecast Cut Even as US Rebounds Mark Deen and Francois De Beaupuy I nternational Monetary Fund Managing Direc- tor Christine Lagarde signaled a cut in the insti- tution’s global growth fore- casts, saying investment is still weak and that risks re- main in the U.S. even as its rebound accelerates. “The global economy is gathering speed, though the pace may be a bit less than we previously pre- dicted because the growth potential is lower and in- vestment” spending re- mains lackluster, Lagarde told the Cercle des Econo- mistes conference in Aix- en-Provence, France. The remarks underline the threats to global eco- nomic growth at a time when the U.S. Federal Re- serve is trimming stimulus and the European Central that is less than half its tar- geted level. The IMF is pre- paring to update its eco- nomic forecasts this month after predicting April 8 that the global economy will ex- pand 3.6 percent this year and 3.9 percent in 2015. Growth in the U.S., the world’s largest economy, is set to accelerate in coming months and Asia’s emerg- ing market economies will avoid a hard landing, though the European re- covery is still not as strong as it should be, Lagarde said. Jobless Data In the U.S. “we expect a - garde said, adding that riskstoU.S.growthinclude the ability of the Fed to ta- per in an “orderly” manner and that of the Treasury to put in place a medium- term budget framework. A July 3 Labor Depart- ment report showed em- ployers in the U.S. expand- ed payrolls by 288,000 workers last month, push- ing down the jobless rate to 6.1 percent from 6.3 per- cent in May, a level Fed- expect to see before the end of the year. Treasuries were released, while the Dow Jones Industrial Av- erage (INDU) rose above - ing how long to keep the benchmark federal funds - pleting a bond-buying program that’s set to end late this year. The Federal Open Market Committee repeated on June 18 that it expects the rate to remain - able time” after the pur- chases end work. Fed Chairwoman Ja- net Yellen said last month the central bank doesn’t intend “to signal any im- minent change” in policy and that the balance sheet will remain large “for some The growth opportunities for healthcare companies and Market Expansion Services providers in My- anmar are encouraging. According to a study by Rubicon Strategy Group, a recognized leader in market analysis, the My- anmar healthcare market is expected to further open up. Yet challenges like the abundance of coun- terfeit products and the fragmented point of sales channel however under- line the need for compa- nies to work with an ex- perienced and established partner in the country. The market study by Rubicon Strategy Group provides an extensive market overview based on on-the-ground surveys and interviews with business leaders, consum- ers and customers (pharma- cies, drugstores, hospitals and doctors). Part of Rubi- con’s ‘Asia Market Series’, uncovers the opportunities for healthcare companies to expand to Myanmar. The country opening up and the ASEAN Economic Community becoming real- ity in 2015 are expected to spur growth for healthcare companies and Market Ex- pansion Services providers in Myanmar. According to Rubicon’s study, consumer spending on over-the-coun- ter healthcare products is anticipated to grow three-to- four-times in size, from about USD 140 million in 2013 to USD 480 million by 2020. The research further shows that the medical devices market in Myanmar is an- ticipated to grow threefold by 2020. Meanwhile, eight out of ten of Myanmar’s con- sumers are willing to spend more on healthcare products and services if they have ac- cess to better options. The strong overall market growth is partly driven by the vast increase in government spending on pharmaceuti- cals and medical devices. Specialty products, in par- ticular cardiovascular, dia- betes and oncology products are expected to experience high growth rates for the next years. Challenges to enter the My- anmar healthcare market however remain. Compar- ing the healthcare systems worldwide, Myanmar was recently ranked 190th and last by the World Health Organization (WHO). Ru- collaborating with a local dis- tribution partner is the only accessing the market in My- anmar. This is due to My- anmar’s opaque regulatory environment, the abundance of counterfeit products, com- plex channels to market and the extremely fragmented point of sale network. Dr. Varun Sethi, DKSH’s General Manager, Business Unit Healthcare in Myanmar, said: “With the opening of Asia’s economy, Myanmar offers great potential for healthcare companies. Com- panies intending to expand in Myanmar should look for an experienced partner with the knowledge and connec- tions to reach a broad range of channels and consumers. With our 15 years of experi- ence in Myanmar and almost 150 years in Asia, DKSH is well-positioned to help com- panies explore the opportu- nities in Myanmar.” The study results are cap- tured in the 115-page Myan- mar healthcare report, which provides an extensive mar- ket overview and insights for healthcare companies exploring opportunities in the country. The full report is available online at http://www.healthintelasia. com/asia-healthcare-shop/ myanmar-report-page/ About Rubicon Strategy Group Rubicon Strategy Group is specialized in market access work for emerging econo- mies in the healthcare, bio- tech and senior care indus- tries. Rubicon has a focus on China and has completed research and market access projects in the pharmaceuti- cal, private hospital, senior housing and home health- care sectors in China. About DKSH DKSH is the leading Market Expansion Services provider with a focus on Asia. As the term “Market Expansion Ser- vices” suggests, DKSH helps other companies and brands to grow their business in new or existing markets. Publicly listed on the SIX Swiss Exchange since March 2012, DKSH is a global company headquar- tered in Zurich. With 735 business locations in 35 First Myanmar healthcare market report by Rubicon Strategy Group and DKSH reveals encouraging entry and growth opportunities for healthcare companies in Myanmar countries – 710 of them in Asia – and 26,700 special- ized staff, DKSH generated net sales of CHF 9.6 billion in 2013. DKSH Business Unit Health- care is the leading Market Expansion Services provider for healthcare companies seeking to grow their busi- ness in Asia. Custom-made offerings comprise registra- tion and market entry stud- ies as well as importation, customs clearance, market- ing and sales to physical dis- tribution, invoicing and cash collection. Products avail- able through DKSH Health- care include ethical pharma- ceuticals, consumer health, over-the-counter (OTC), as well as medical devices. With 150 business locations in 14 countries and around 9,050 specialized staff, Business Unit Healthcare serves over 160,000 customers and gen- erated net sales of around CHF 4.3 billion in 2013. (Advertorial) time.” that’s too low, Lagarde also urged caution on public investment plans as the re- gion’s governments study ways of supporting the re- covery in the wake of a sov- ereign debt crisis. French President Francois Hol- lande has said that Europe and consider exempting investment spending from - garde said. Yet public poli- cy must be dictated by debt sustainability, she said. “If you’re not in a medium- term situation that assures sustainability, you can’t undertake major infra- structure investments.” Countries with lower debt burdens and higher growth are the ones who - ment, she said. France has less need to renew its in- frastructure than Germa- ny, the U.K. and the U.S., Lagarde, a former French Finance Minister, added. “This has to be done on a case by case basis,” she said. Bloomberg Myanmar Summary AndrewHarrer/Reuters EdkifiHwumaiGaMu;&efyHkaiGtzGJU (IMF) tkyfcsKyfrI'g½dkufwm c&pf wumpD;yGm;a&;zGHUNzdK;rIcefYrSef; csufrsm;udk avQmhcsrnf[k t&dyf t>rufajymMum;cJhum tar&duef jynfaxmifpkwGif pD;yGm;a&;zGHUNzdK; rIjyefvnft&Sdef&vmaomfvnf; &if;ESD;jr§KyfESHrIrSm tm;enf;aeqJ jzpfNyD;xdckdufEdkifajcrsm;&Sdaeao; aMumif; ajymMum;onf/ xdkodkYajymMum;csufrsm;onf tar&duefA[dkt&efaiGaMu;Xme avQmhcsaeNyD; Oa&myA[dkbPf uvnf; &nf&G,fxm;onfh yrmPxuf0ufcefUom&Sdaom aiGaMu;azmif;yGrIudk udkifwG,f vsuf&SdcsdefwGif urÇmvHk;qdkif&m pD;yGm;a&;zGHUNzdK;rItay: ouf a&mufEdkifonfh tEÅ&m,frsm;udk axmufjyaeonf/ IMF onf urÇmhpD;yGm;a&; ,ckESpfwGif 3 'or 6 &mckdifEIef;ESifh 2015 wGif3'or9&mcdkifEIef;wdk;wuf rnf[k {NyD 8 &ufaeYwGif cefYrSef; csufxkwfjyefcJhNyD;aemuf cefYrSef; csuftopfrsm; ,ckvtwGif; jznfhpGufxkwfjyefrnfjzpfonf/
  18. 18. July 17-23, 2014 Myanmar Business Today INVESTMENT & FINANCE 18 Myanmar Summary Krüger Foundation Grants $40,000 to Start Scholarship Program for Burmese Students May Soe San Scharitable organisa- tion Krüger Founda- tion announced a $40,000 grant to enable the Univer- sity of the People (UoPeo- ple) to establish a scholar- ship program for Burmese students. The grant aims to pro- vide full scholarships for ten promising students in Myanmar to study at a leading US-based online university. The Krüger Myanmar Scholarship Program will cover the costs of a four- year bachelor’s program in either Business Admin- istration or Computer Sci- ence, a statement said. The purpose is to help meet the demand for op- portunities for motivated Burmese students as well as for higher skills in the local economy. Ten Burmese students will be provided with the opportunity to access ed- ucation, and to graduate with a bachelor’s degree in the program of their choice, beginning in Sep- tember 2014. Interested applicants can apply for scholarship support upon admission to the University of the People and before they commence their classes. “Our support for Uni- versity of the People is meant to leverage the power of online learning by establishing a dedicat- ed scholarship program for improving access to education in Myanmar,” said Christian Krüger, founder of the Krüger Foundation. “The hope is that some of these students will also be inspired and ad- equately educated to fur- ther assist with the rede- velopment and economic prosperity of their com- munities,” Krüger, who is also an impact investor, said at the Impact Econ- omy Symposium and Re- treat last month. Myanmar was one of the four focus countries at this year’s Impact Retreat, which took place from June 13-15 in Swit- Dr Maximilian Martin, the organiser of the event and founder and global managing director of Im- pact Economy, identi- Myanmar as countries with exceptional potential for inclusive growth and modernisation. The EMICs include Ethiopia, Iran, and Co- lombia in addition to My- anmar, and represent a group of high-stakes cata- lytic countries. “In one of our sessions at the symposium that was dedicated to Myan- mar, the importance of education and access to it for all members of society a key to success in sus- tainable modernisation. Impact Economy is de- lighted to see the Krüger Foundation addressing this need,” said Martin. At a time when Myan- mar’s enthusiasm to catch up with its neighbours is at an all-time high, the country needs to over- come a number of con- straints that are standing in the way of a sustainable middle-income future. Building more domestic human capital will help lay the needed foundation in Myanmar, Martin said. College and univer- sity students everywhere themselves with addi- tional obligations beyond just studying for a de- independence and family commitments. UoPeople is an accredit- ed degree-granting online university that provides tertiary education courses for students in 143 coun- tries. - ner with the Krüger Foun- dation in order to sponsor a group of Burmese stu- dents towards their bach- elor’s degrees at Univer- sity of the People,” said Shai Reshef, founder and president of UoPeople. will follow the example set by the Krüger Foun- dation and join us in our mission to democratise higher education across the globe,” said Reshef. In making this grant, Krüger Foundation ex- access to opportunity for youth in Asia, a footprint that will now include My- anmar. Freshmen students attend a chemistry class in Yangon University. SoeZeyaTun/Reuters University of the People (UoPeople) wuúodkvfrSaeí jrefrmausmif;om;rsm;twGuf ynmoifqktpDtpOfwnfaxmif ay;Edkif&ef qGpfZmveftajcpdkuf Kruger azmifa';&Sif;u a':vm 40ç000 axmufyHhaMu;ay;oGm; rnf[k aMunmvdkufonf/ xdkaxmufyHhaMu;jzifh tar&d ueftajcpdkufxdyfwef;tGefvdkif; wuúodkvf UoPeople wGif xl;cRefaom jrefrmausmif;om; 10 OD; ynmoifMum;Edkifap&ef ynmoifaxmufyhHaMu;tjynfh t0jznfhqnf;ay;&ef &nf&G,f xm;jcif;jzpfonf/ Kruger jrefrmynmoifqk tpDtpOfonfpD;yGm;a&;pDrHcefYcGJrI odkYr[kwf uGefysLwmodyÜHbmom &yfESpfckteuf wpfcktwGuf av;ESpfMumwuúodkvfbGJUoifwef; wGif oif,l&ef ukefusp&dwfudk pdkufxkwfay;rnfjzpfaMumif; owif;xkwfjyefcsuft& od& onf/&nf&G,fcsufrSm wuf<u BudK;pm;aom jrefrmausmif;om; rsm;twGuf tcGifhta&;rsm;jznfh qnf;ay;&efenf;wl jynfwGif; pD;yGm;a&;twGuf uRrf;usifrI jrifhwufvmapa&;ulnDay;jcif; jzpfonf/ jrefrmausmif;om;q,fOD;onf 2014 ckESpf pufwifbmvrS bGJUoifwef;wGif oif,líbGJU&,l Edkifrnfh tcGifhtvrf;udk&&Sdrnf jzpfonf/ avQmufxm;vdkolrsm; onf UoPeople odkY0ifcGifh&&SdNyD; twef;rsm;rpwifrD ynmoifqk twGufavQmufxm;Edkifrnfjzpf onf/ ]]UoPeople udkuRefawmfwdkU axmufcH&jcif;[m a&&SnfESpfjr§Kyf azmfaqmifay;r,fh ynmoifqk udkwnfaxmifjcif;tm;jzifhtGefvdkif; ynmoifMum;a&;&JU tiftm;eJY jrefrmEdkifiHrSm ynma&;udk ydkrdk vufvSrf;rDvmapatmif jr§ifhwif ay;zdkYjzpfygw,f}}[k Kruger azmifa';&Sif;wnfaxmifolc&pf&Sef c½l*gu qdkonf/ ]]uRefawmfwdkYarQmfvifhwm uawmh 'Dausmif;om;awGxJu wcsKdU[m olwdkYtodkuft0ef;udk jyefvnfzGHUNzdK;pnfyifapatmif aqmif&GufzdkY aphaqmfrIawG&&SdNyD; vHkavmufwJhynma&;awG&&SdNyD; jyefvnfazmfaqmifEdkifzdkYygyJ}}[k
  19. 19. July 17-23, 2014 Myanmar Business Today INVESTMENT & FINANCE 19 Myanmar Summary David Mayes I - nately an ugly real- ity we all have to deal with. Prices will realisti- cally most likely keep go- ing up every year until the day that we die, the only thing that will likely change from time to time is how quickly they are rising. So what is the most practical to safeguard the purchasing power of the money you have worked so hard to earn? As al- ways, there is no one fool proof way to address the issue, but several strat- egies you can take and each one has its own set of risks. Property is gener- ally one of the best bets long run, property will in fact usually make a posi- tive return above and be- there still exists timing is- sues and other risks which can never be 100 percent avoided. Take for instance Yangon commercial prop- erty at the moment. It has risen so fast, and there are so many projects under way, that one must won- der if today is a good time to buy in or if the gains form the expected boom are already priced in. Of course only time will tell, but for me it is one estate markets to get my head around. In some markets foreigners can- not legally own land, so the loopholes one must jump through add anoth- er layer of risk. The stock market is also said to keep pace with in- this is generally true, tim- ing is always a huge fac- tor involved in whether or not your investments actually do. One could make a strong argument - tion is already priced in at the moment, and in fact - pothesis taught in every say that this is the case. I am not a big fan of that theory in most instances, but at the moment I think this may be the case. If real estate and the stock market cannot be guaranteed to keep you about bonds? Here I see at the moment one of the few ways that you can be pretty sure you will beat not be by much. The oth- er thing is that you need to buy individual bonds, preferably by companies with top credit ratings, and make sure you can hold them to maturity. A bond fund, as I have written about many times, stands to lose when inter- est rates eventually break free and begin to rise. Commodities typically environment as well, but these can fall victim to the same boom and bust cycle that every other as- set class goes through as well. As I wrote about last week, I do put gold into a portfolio most of the time but am very aware that the downside potential at the moment could be similar to that of the stock market. As is usually the case with investing, the best way to try and stay ahead across asset classes. The risks involved with each type of investment will not - gains in one area should in another part of a well- - and we most likely will see some periods in the com- ing decades where prices rise very rapidly. If your assets are spread around you can be sure that some of them will catch this up- lift and protect your over- all purchasing power. David Mayes MBA provides wealth man- agement services to ex- patriates throughout Southeast Asia, focusing on UK Pension Trans- fers. He can be reached at david.m@faramond. com. Faramond UK is regulated by the FCA and provides advice on pen- sions and taxation. Reuters aiGaMu;azmif;yGrIonfuRefawmf wdkYtm;vHk;&ifqdkif&rnfh cg;oD; aomt&Sdw&m;yifjzpfonf/aps; EIef;rsm;rSm wpfESpfxufwpfESpf trSefwu,fjrifhwufvsuf&Sdrnf omjzpfNyD; wpfcsdefESifhwpfcsdefMum; tajymif;tvJqdkírnfrQvsifjref pGmjrifhwufonfqdkonfom&Sdonf/ xdkYaMumifh oif&SmazGxm;aom aiGrsm;0,f,lEdkifpGrf;tm;udk xdef;xm;Edkifrnfh vufawGUtus qHk;enf;vrf;onfbmjzpfrnfenf;/ xHk;pHtwdkif;yifþjyóemtwGuf ajcmufypfuif;onfhajz&Sif;enf; r&SdbJ enf;AsL[mtrsKd;rsKd;udk ukdifpGJ Edkifum ,if;wdkYwpfckcsif;pDwGif jyóemtoD;oD;&SdEdkifygonf/ tdrfNcHajrrSm aiGaMu;azmif;yGrI udk umuG,f&ef taumif;qHk; &if;ESD;rIwpfckjzpfonf/a&&SnfwGif tdrfNcHajrrSm taygif;vu©Pm &v'frsm; zefwD;ay;NyD; aiGaMu; azmif;yGrIxuf rsm;pGmausmfvGef Edkifonf/ odkY&mwGif tcsdefudkuf aqmif&GufEdkif&ef vdktyfNyD; 100 &mcdkifEIef;a&SmifvGJr&Edkifonfh tEÅ&m,frsm;vnf;&Sdonf/Oyrm tm;jzifh&efukefpD;yGm;a&;ajrae&m vsifjrefpGmjrifhwufvmaeNyD; pDrH udef;opfrsm;vnf; aqmufvkyf vsuf&Sdum ,aeYonf 0ifa&muf &if;ESD;jr§KyfESH&ef tcsdefaumif;vm; odkYr[kwf wpf[kefxdk;jrifhwuf vmEdkifajctwGuf tusKd;tjrwf rsm;tm;vHk;udk xkwf,lNyD;Muukef NyDvm;qdkonfrSm pOf;pm;p&mjzpf onf/tcsdefuom tajzxkwf ay;oGm;rnfjzpfonf/ pawmh&S,f,maps;uGufonf vnf; aiGaMu;azmif;yGrIESifhtwl vdkufumay;Edkifaomfvnf; þ ae&mwGifvnf; tcsdefudkufjzpf &efrSm tvGefta&;BuD;jyefyg onf/ tdrfNcHajrESifh pawmhaps; uGufwdkYu oifhtm; aiGaMu; azmif;yGrIxuf a&SUa&mufatmif rulnDay;EdkifvQifaiGacs;vufrSwf ua&mrnfokdY&Sdrnfenf;/þonf uawmh aiGaMu;azmif;yGrIudk um ay;Edkifaomfvnf; tenf;i,frQ omjzpfonf/ &if;ESD;jr§KyfESHrIwGif BuHK&aom tajctaetwdkif;yif aiGaMu; azmif;yGrIxuf a&SUBudKí a&muf ae&efrSm ydkifqdkifrItrsKd;tpm; trsKd;rsKd;wGif jzefYusufjr§KyfESH&ef yifjzpfonf/&if;ESD;jr§KyfESHrIwpfck csif;pDtEÅ&m,frsm;onfwpfNydKif wnf;ay:aygufrnfr[kwfbJ aocsmpGmjzefYusufjr§KyfESHxm;vQif wpfu@rS trsm;tjym;tjrwf &vdkufjcif;jzifh tjcm;wpfzufrS jyóemrsm;twGuf umrdEdkif rnfjzpfonf/