Sampath Bank PLC is a major player in the Sri Lankan market and known for its introduction of innovative financial solutions. In a positive move for Myanmar, Sampath Bank has announced it’s completed a loan transaction with a Yangon-based developer.
One of the major challenges facing Myanmar when developing its economy and attracting new investment is insufficient access to electricity. And, as the economy continues to expand, the demand for power is also increasing.
Local fuel prices in Myanmar are rising sharply due to the high price of fuel internationally. Also contributing to the problem are the high exchange rates for exports that earn dollars, according to the Myanmar Petroleum Trade Association (MPTA).
There is real potential to develop an organic farming market in Myanmar. This could boost the value of crops that are produced for export, and in turn boost the standard of living for farmers in the country.
As it stands, Myanmar’s farmers already use fewer chemical pesticides and fertilisers than many of the country’s neighbours. However, the sector is reluctant to definitively move into the organic market due to high costs of transport and infrastructure.
In 2020, Hotel Okura, the hotel chain based in Japan, will open its first hotel in Myanmar. The project will be the company’s first in Myanmar and will centre around the construction of Okura Prestige Hotel in Yangon.
The Ministry of Planning and Finance has announced that those companies listed on the Yangon Stock Exchange (YSX) are entitled to a 5% reduction in corporate income tax. This means they will only need to pay 20% income tax.
The move comes in a bid to encourage more companies to jump on board to help grow and develop the YSX.
As part of its long term economic recovery plan, the Myanmar government has announced it will lift the ban on exporting livestock.
The Ministry of Planning and Finance also reports that it will offering loans to farmers in an attempt to further boost Myanmar’s agricultural industry.
The huge amount of money needed for the government to supply electricity to the whole of Myanmar for 2017/2018 means that they are supplying this vital resource at a loss.
An amount of K300 billion is needed by the government to supply the electricity across the country, but according to U Myint Oo, the deputy director general of the Electricity and Energy Ministry’s Department of Electric Power, the government doesn’t have the funds.
There has been a move from the Securities Exchange Commission of Myanmar (SECM) to crack down on illegal trading and financial scams carried out by unlisted companies in Myanmar.
The SECM appealed to the public in July 2017 to gather information on a specific company trading in Mawlamine. The company is called I Smart Co and has been reported as engaging in suspicious trading in Ayeyarwady. The company has also been linked to Saxon Capital Limited (SCL), which was shut down due to illegal trading.
The government of Myanmar has recommended that more than one thousand small and medium sized businesses (SMEs) should come under consideration to receive bank loans. This information has been released by the Central Department of Small and Medium Enterprises Development (CDSMED) and is good news for the start-ups in the country.
The Ministry of Industry has 46,794 businesses officially signed up and registered with them, and have recommended that financial institutions offer loans to the selected enterprises after they conduct an assessment.