Singapore tops FDI list
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Foreign investment exceeded US$2 billion in the first five months of the year, with funds from Singapore accounting for $1.9 billion of the total, the Directorate of Investment and Companies Administration said.
Investment from Thailand ranked the second, at $114 million. Investment from mainland China was $51 million, while Hong Kong investment totalled $42 million. Japan, Malaysia and South Korea followed, with $26 million, $24 million and $22 million respectively. Investment from the United Kingdom was $14 million, while investment from Sweden was $14 million. Investment from Brunei and Samoa was $3 million each, while investment from India was $0.9 million.
The commodity-production sector received the most investment while the tourism and communications sectors came second and third.
Cumulative foreign investment as of the end of last year was $44 billion.
Myanmar has, over the past two years, rewritten its foreign investment laws and regulations in order to attract more investment. It has offered tax holidays and other incentives. This has prompted a flood of investment into several sectors, including the garment sector, which some analysts expect to become a regional leader over the next five years.
The sector has, however, is seeing a large number of strikes and other protests by workers who say conditions in factories are poor and that they cannot survive on their basic wages and are, as a result, forced to work overtime in order to pay for basic necessities such as food and rent.
Singaporean companies have been involved in several investment projects in the country.
Announced this week was the appointment of Singapore’s consortium led by CPG Consultants to develop the master plan that will guide the development of Myanmar’s Kyauk Phyu Special Economic Zone (SEZ).
The CPG Consortium, comprising CPG Consultants, DTZ Debenham Tie Leung, Ernst & Young Solutions, Global Maritime and Port Services and PM Link, will oversee master planning of the site.
In June, Singapore-based Puma Energy Irrawaddy Pte Ltd and Asia Sun Energy from Myanmar won the government’s approval to build a jetty and petrol storage tanks at Thilawa Port.
The joint venture called Puma Energy Asia Sun will build a jetty and storage tanks for handling petrol, oil and tar at the Thilawa port area in Thanhlyn Township under a build, operate and transfer agreement with the government.
