The document discusses business opportunities in Myanmar for Finnish companies. It notes that Myanmar has undergone a transition to a civilian government and pro-business policies after over 50 years of military rule. There is large demand for investments in electricity infrastructure, as only 30% of the population has access to electricity from the national grid. Other sectors of focus for foreign investment include telecommunications, transportation infrastructure, mining, forestry, agriculture, construction and medical. International financing organizations like the ADB and World Bank are providing funding to develop Myanmar's infrastructure, but continued large investments will be needed across many industries. The document promotes Myanmar as an attractive but still developing market for Finnish machinery, technology and expertise.

1. Business Opportunities for Finnish
Companies in Myanmar
04.05.2016

2. Myanmar After Elections
First real Civilian President and Government
since 50+ years..
The Lady Aung San Syu Kyi has been nominated
as ’Advisor for the State’, and will run the show
in practice.
Military occupies 25% of Parliament and 3
Ministerial posts by Consititution
Big restructuring of National and Provincial
Governments going on
Now only 21 Ministries - before 36 (e.g. before
energy matters were devided under 8
different ministries..)
Deputy Minister posts abolished
Trend of privatizing of state enterprises,
requiring heavy investments, will continue.
Pro business – pro foreign investments
Transition has gone surprisingly smoothly
10/05/2016 © Finpro2

3. Myanmar After Elections
First real Civilian President and Government
since 50+ years..
The Lady Aung San Syu Kyi has been nominated
as ’Advisor for the State’, and will run the show
in practice.
Military occupies 25% of Parliament and 3
Ministerial posts by Consititution
Big restructuring of National and Provincial
Governments going on
Now only 21 Ministries - before 36 (e.g. before
energy matters were devided under 8
different ministries..)
Deputy Minister posts abolished
Trend of privatizing of state enterprises,
requiring heavy investments, will continue.
Pro business – pro foreign investments
Transition has gone surprisingly smoothly
10/05/2016 © Finpro2

4. Electrictity Generation and Distribution
Only 30% of the population gets electricity from
the Government grid !
Hydropower dominates - seasonality
Huge market for diesel generators and other back
up power solutions!
Decentralized electricity & minigrid solutions
IPP for industrial zones and major cities
Coal, gas, liquid fuels (6 power plant projects
nearby Yangon completed 2015)
Renewable energy
Solar, Wind, mini hydros
Waste to energy
From Forest waste to Energy
Fuel from MSW?
10/05/2016 © Finpro4

5. Forestry & Agriculture
From log smuggling to value added exports
Teak (80% of world’s teak exports) and
other hardwoods
Log exports banned – development of
mechanical wood processing
EU’s FLAG certification – traceability,
documentation
From forest waste to energy
Possible expert seminar planned for
Oct/Nov 2016
Pulp & Paper, Cardboard industry
modernization/rebuilding old mills
foreign investments for new mills, local
interest for small mills
Plantations
Foreign investments now allowed
Eucalyptus (Oji, AA), rubber, teak etc
Regular auctions of 400ha coming
Agricultural machinery
Food products processing, storate, cooling..
© Finpro5

6. Mining
Plenty of Untapped Resources
Gold, gemstones, copper, lead, zinc,
nickel, tin, antimony, chrome, uranium
etc..
Exploration, extraction of different
minerals, feasibility studies,
engineering..
New Foreign Investment Legislation
Foreign ownership extended on mining
projects
Exempt from income taxes for the first
five years of operation in Myanmar
Foreign investors able to lease land for
up to 50 years with possibility to extend
2 times 10 years
Australian and other multinational
companies waiting further clarifications
GTKs Advisory Role at Mining Ministry !
10/05/2016 © Finpro6
• This mining site, like others along the Irrawaddy River, is a concession given by
Burma’s ruling military junta to local warlords or businessmen.

7. ICT & Telecom
Mobile networks
Mobile penetration 7% in 2012, 60%
in 2016 and 90% in 2-3 years time !
Engineering, hardware, construction,
capacity building etc.
Telenor (budget 1 billion Euros,
technology from Ericsson and
Chinese, license for 15 years)
Ooredoo (budget 15 billion USD,
technology from Nokia and Chinese).
Myanmar Post & Telecom (MPT), …
E-payments, payment & credit cards
1st ATM 2015, credit cards 2015..
No clear regulations exist yet
Internet Users
400,000 (0.8% of population in 2015)
WiFi in public places, transport etc.
10/05/2016 © Finpro7

8. Construction
Real Estate Booming
47 new hotel investment projects
approved for Yangon, Condominiums
and Service Apartments, Offices etc
30+ story buildings coming
Foreigners can now buy 40% of units
(buildings over 12 story)
Foreign investments now possible
Industrial Areas
Foreign investments are pouring in
Land ownership possible for up to 70
years
Machinery
Ready market for all kind of 2nd hand
machinery
New methods to speed up construction
needed (precast elements etc.)
10/05/2016 © Finpro8

9. Transportation Infra & Special Economy
Zones
New Special Economy Zones and Seaports
Dawei, Thilawa, Kyaukphyu (Phatein,
Belugune). New deap seaporst for
Dawei & Kyaukphyu (in the future)
New seaport for Thilawa (now) and
existing 5 ports in Yangon/Thilawa area
expected to expand
SEZs in border areas with Thailand
Electricity for SEZs and other IEs
Airports
New international airport for Yangon in
Bago (80km from Yangon downtown)
Upgrade of regional airports
Railways, Roads, bridges
Rivers - Huge need for dredging!
10/05/2016 © Finpro9

10. Environment
Municipal solid waste management
Yangon, Mandalay, but also smaller cities
and tourist spots
Waste collection a big challenge
80% organic waste
Industrial waste water treatment
Mandalay
Water supply & purification
Water supply in Cities and rural areas
Yangon water pipes rehab project
Mountainous areas
Salt removal
Dredging of water ways/reservoirs
Interested of Finnish Oil Spill management!
Waste to energy, pyrolyses (?)
Biomass and Biogass
Agri and forest waste, MSW
Financing..
Looking for private investors
ADB, WB, EU..?10/05/2016 © Finpro10

11. Medical Sector
“If yet get sick in Myanmar, the nearest
good hospitals are in Bangkok..”
Under developed hospital sector
56000 hospital beds (population 51m)
0.6 doctors / 1000 people
Over 50000 local patients travel to
Bangkok for treatment annually
Under developed laboratory sector
Lab samples for more advanced tests
are sent to Bangkok and Singapore
Capacity building needed in medical
education
ASEAN integration (AEC) has opened
door for easy investments from Thailand
and other AEC countries
Local private hospitals expected to
upgrade and expand their facilities
WB, ADB, WHO active in this sector
10/05/2016 © Finpro11

12. International Project Financing
Asian Development Bank (ADB)
$1 billion for 2013-16. (e.g. rural off-grid
renewable energy)
New 5 year plan under planning
World Bank, IMF, IFC
$2 billion package for agriculture, energy
and health.
New 5 year plan under planning
Other
Japanese (JICA) and other countries
bilateral development projects
EU – Health, rural development
EEP Mekong (Finnish MoFA)
Asian Infrastructure Fund (AIIF) ?
10/05/2016 12
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Finpro
*World Bank Group President Jim Yong Kim visits
the Myanmar North Dagon Township Hospital.

13. Summary
World’s fastest growing Economy in 2014 !!
Large untapped natural resources (oil, gas, minerals, teak etc.)
Insufficient electricity supply, decentralized power generation, alternative sources –
electricity investments have top priority!
Large infrastructure investments for telecom (Finns are already involved) and
transportation infra
Capacity building needed in every field (especially vocational skills)
Huge need for international financing to activate infra projects, but ADB, World
Bank, EU and bilateral financing from many countries have started to pour in
Existing market for 2nd hand (and new) generators, transportation-, agricultural-,
forestry- and construction machinery
“We might be 2-3 years too early for our business, but if we come back after 2-3
years, we will be already too late..!”
Finpro – Finland Trade Center in Myanmar
Aye Maw, aye.maw@finpro.fi, +95 (0) 9 255 803 325
Kai Tuorila, kai.tuorila@finpro.fi, +66 (0) 81 815 2029
10/05/2016 13
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Finpro