Myanmar's domestic investment reaches nearly US$5 billion

Local investors usually channel their capital to agriculture, livestock and aquaculture, mining, manufacturing, energy and related businesses, transportation, hotel and tourism, real estate and construction sectors. Domestic investment has funded 982 firms. Manufacturing ranks first with locally-invested funds amounting to $1 billion, followed by construction ($800 million) and hotel and tourism ($700 million).

Myanmar has 38,162 local firms registered, 3,032 foreign-based companies and 73 joint ventures formed with foreign companies. 

For permission and privileges from Myanmar Investment Commission, local investors are obligated to apply at MIC office in Nay Pyi Taw or at its sub-unit in Yangon. The MIC’s Proposal Assessment Team would conduct a weekly meeting to review and approve investment projects. The respective local governments would be asked to submit their views and recommendations before the MIC’s final conclusion on each project. – MYANMAR ELEVEN

 

No nationwide ceasefire deal by August, ethnic groups say

Leaders of armed ethnic groups will meet in the middle of July in northern Myanmar to discuss a nationwide ceasefire before they meet with representatives of the government’s Union Peace Working Committee, the leader of the Nationwide Ceasefire Coordinating Team said.

At this pace, a nationwide ceasefire deal between the government and armed ethnic groups will not be reached before August. “It is impossible to sign a ceasefire deal by August 1,” NCCT leader Naing Han Tha said. The Union government’s peace negotiators had agreed to meet with the NCCT this month to begin drafting the nationwide ceasefire, but the latter postponed the meeting saying it was not ready. 

“We aim to hold a conference in the third week of July,” said Naing Han Tha. The NCCT comprises representatives of 17 armed ethnic groups. It was set up after leaders of the groups met in Laiza, Kachin State late last year so that they could jointly negotiate with the Union government. A meeting with the government's peace negotiators may follow in August, Naing Han Tha said.

He said the major differences between the two sides remain much the same as they did during previous meetings, in April and May. Moreover, the NCCT has yet to decide a common front on several issues, he said, adding that the meeting next month would focus on these issues.

It will be held in either Kachin or Shan state, Naing Han Tha said. 

An attempt by the Myanmar Peace Centre to broker talks between the two groups earlier this month failed. Representatives from both sides met near the Thai border but could not agree upon a date for formal talks. 

NCCT members say internal divisions make it impossible for them to discuss a nationwide ceasefire with the government's peace negotiators. They say they must overcome these divisions first. – Myanmar Eleven

 

US reviewing GSP for Myanmar

The United States Trade Representative is conducting a review whether to grant Myanmar trading privileges under the generalised system of preferences, according to the press release from the US Embassy in Myanmar. 

“In the past, the US included Myanmar in its GSP. Later it revoked. This tax advantage is being offered only to developing countries. It is good that the US is reconsidering. Since the US-Myanmar trade has been increasing every year, this is also good for Myanmar,” said economist U Myint.

According to US Census Bureau, Department of Commerce, the US exports to Myanmar reached US$9.8 million in 2010, $48.9 million in 2011, $65.8 million in 2012 and $145.7 million in 2013. Since the US eased import ban on Myanmar at the end of 2012, the US imports from Myanmar were recorded at $30.1 million in 2013.

Last June, the US Department of Commerce opened the first-ever Foreign Commercial Service office in Yangon to help American companies doing business in Myanmar. Starting in 2012, the US eased many of its economic sanctions on Myanmar, with the exception of restrictions on dealings with persons on the Specially Designated Nationals list, restrictions on the importation of Myanmar-origin jadeite and rubies, and limits on dealings with the Myanmar’s Ministry of Defense and state or non-state armed groups. This easing opened the door for US businesses to trade and to invest in Myanmar. – Myanmar Eleven