Myanmar Airways to buy six planes, open a service centre for jets
Play
State-owned Myanmar Airways will sign an agreement with ATR Company from France to buy six new planes and open a repair station in Myanmar.
Than Htun, managing director of Myanmar Airways, said a memorandum of understanding was signed on May 6. “The next stage is to sign an agreement at the Attorney-General’s Office,” he added.
Many local airlines in Myanmar use planes manufactured by ATR. Whenever they need to be repaired, they have to go to ATR repair stations in Malaysia or Singapore. The agreement will allow ATR to service both local and foreign airlines in Myanmar.
The six new aircraft Myanmar Airways will buy from ATR are its 72-600 planes.
The flagship airline has been operating since 1948 and currently flies to 26 cities with a fleet of nine passenger aircraft – three ATR-72, one ATR-42, three Beech 1900D and two Embraer 190. The airline also has two cargo planes, one MA 60 and one F-28.
Tenders announced for Thilawa port
The Myanmar Ports Authority has announced eight construction tenders to construct a general cargo port and a container loading dock using Japanese development aid.
The port will be part of the Thilawa Special Economic Zone, an industrial complex south of Yangon, and building is due to start this year. “We are looking for qualified international construction companies to build and quality-test purchasing equipment. In total, eight companies will be chosen,” said an official from Myanmar Ports Authority.
The Ministry of Transport has received a US$205-million loan from Japan to enlarge Thilawa port. At present, only two ports are able to handle general cargo using a pier bridge that is still under construction.
The ministry is currently hiring advisers, inviting tenders, and preparing to construct buildings behind the port. Thirty-seven 200 by 750 metre plots are available for port expansion. Companies have already snapped up twenty-seven.
The Myanmar Ports Authority is currently negotiating with residents to lease farms at plot numbers 25, 26, and 30 in the Thilawa region. – Myanmar Eleven
Shwe Than Lwin plans to enter banking sector
THE business empire under Shwe Than Lwin has proposed to open a financial institution, Shwe Rural and Urban Development Bank.
In the application for a commercial and investment banking licence, Shwe Than Lwin said the initial investment capital would be Ks 10 billion, partly financed by profits from the sale Sky Net TV signal receivers to the public.
In addition to these profits, the capital outlay will come from business units like Shwe Than Lwin Trading, Shwe Than Lwin Media (Sky Net), Global Telephone and Than Lwin Ayer Gems. The proposal for a Ks 10-billion investment differs from past offers in similar deals made by United Amara, Myanmar Apex Bank, Ayeyarwady Bank and AGC Bank. Past deals included a Ks 20-billion capital outlay.
If the banking proposal is approved, Kyaw Win, chairperson of Shwe Than Lwin Group, is expected to lead the bank.
Under the Section 66 (E) of the 1990 Financial Institutions Act, the chairperson of a bank has to serve full time and must not do any other business.
The Central Bank has already acknowledged the Shwe Than Lwin’s application for a banking licence and forwarded it to the union committee on economic affairs.
The committee chairperson is Union Minister Soe Thein, formerly the chairperson of the Myanmar Investment Commission (MIC).
Shwe Than Lwin has been granted privileges to run some restricted businesses.
The group received the permission to distribute beer and cigarettes on July 11, 2012 when Soe Thein served as the chairperson of the MIC.
The group also obtained the concession to lease the Sittaung paper industry at a very low cost that included a one-year grace period from paying the fee.
The group allegedly grabbed 1,357 acres of land in Ywar Ngan Township of southern Shan State and failed to compensate farmers.
Sky Net has enjoyed a three-year tax exemption period, according to its agreement with the Ministry of Information. Under the contract, Sky Net is entitled to 96 per cent of the profit and the remaining 4 per cent will be paid to the state.
The television station generates Ks 80 billion annually from advertisement and monthly fees.
The business empire is responsible for cigarette distribution. Because of this, the country has missed out on the international recognition for curbing cigarette smoke, the health minister said in Parliament. Shwe Than Lwin is seen as close to the President’s Office. – Myanmar Eleven
Trade centre to reopen after decade-long closure
The Myanmar Trade Centre will resume its operations this month and local businesses are expected to lease exhibition and meeting space, the Directorate of Trade at the Ministry of Commerce said yesterday.
The centre was shut down following a bomb explosion in May 2005. Its reopening is slated for later this month.
Business operators can lease space in it for showcasing export-import products and other merchandise. They can also hold seminars and meetings in it and set up offices.
Trade experts are in the process of mapping out the strategy to enhance Myanmar’s export sector under the supervision of the Commerce Ministry.
The push is being financially supported by the German Society for International Cooperation.
The National Export Strategy is expected to cover five years and four phases – pre-engagement, inception, design, and implementation management.
The strategy is a joint effort by the government and civil society organisations, said the trade centre’s Lin Naing Oo.
At present, three of four NES phases have been finalised. The government is scheduled next year to organise the Myanmar Trade Development Council, which will implement the fourth phase of the strategy.
The ministry has been operating three related projects with foreign assistance. They are the Enhanced Integrated Framework, National Export Strategy and National Trade Facilitation Implementation Plan. – Myanmar Eleven
