Myanmar investment agency’s speed raises eyebrows

The names of these two persons led to criticism as the approvals were announced only five days before the new government led by the National League for Democracy takes office.
The new government’s term starts today.
Given the number of projects approved, it was a speed unseen in past years.
Some companies had up to five projects approved on March 25. The MIC usually approves a maximum of 10 projects at each of |its meetings, and has sometimes only approved one project per meeting.
Among the 48 projects, 27 are local investments, 16 are foreign investments, and five are joint ventures.
A group of companies related to Khin Maung Aye, adviser to the former president and chairman of the Cooperative Bank, had five projects approved by the MIC.
The five projects are the construction of a 440-acre (178 hectares) light-industrial park in Yangon by New City Development Plc; the development of two industrial parks on 1,311 acres and 236 acres, respectively, in Bago by Kaytumadi Development Plc; the development of 2,456 acres of land by Hantharwady Development Plc; and the construction of a 20-acre wharf in Yangon by Kaung Myanmar Aung Shipping.
The MIC also approved a project of New Downtown Co, which is connected to former presidential adviser Ko Ko Gyi.
The former adviser is also related to companies that have already received permissions to build overpass bridges and housing projects in Yangon.
This particular project entails the construction of a commercial building at a central location in the city.
Other well-known companies with connections to the previous governments also received MIC approval for their projects.
Among them are Shwe Taung Cement, a subsidiary of the Shwe Taung Group, which was approved for a cement manufacturing and distribution project; June Cement Industry, which was approved for a cement manufacturing and distribution project in Mon State; KT Development, which was approved for a commercial building project on 11.753 acres of military-owned land; K Future Co, which was approved for a hotel project on 700 acres; and New Strand Development Co, which was approved for a commercial building project within a military-owned port in Yangon.
MIC approval brings many perks, including tax exemptions and reductions, as well as legitimacy and credibility, to companies doing business in Myanmar.