Wird diese Nachricht nicht richtig dargestellt, klicken Sie bitte hier.

Newsletter | January 2018

News Inside GMBC | Office ExhibitionUpcoming Events

Myanmar Newsletter

Dear reader,

Welcome to the January edition of our Myanmar Newsletter! 

We again are proud to provide you with a short overview on the major topics and headlines about Myanmar. There are news and regulations which are of significant importance such as the introduction of the new period of financial year in Myanmar and increase of the minimum wage.

We would like to highlight the new section below where we will provide regularly insights into the German Myanmar Business Chamber (GMBC) activities and would like to encourage considering to apply for membership.

If you wish to receive more frequent information, please like us on facebook or visit our website!

Yours truly,


Martin Klose,
Delegate of German Industry and Commerce in Myanmar


News

Political, economic and legal news

  • Separate, short financial year from 1 April to 30 September 2018
    As already mentioned in the November 2017 Newsletter, the Myanmar government will change the fiscal year from currently 1 April to 31 March to 1 October to 30 September, starting from 2018. So far, there was a lack of clarity about the period in between (1 April to 30 September 2018).
    Currently it seems that tax authorities have decided that this period will be a separated, short financial year for which separate tax fillings have to be made (you will find this information at the end of the linked article).
    According to authorities, the change to a new financial year (1 October to 30 September) was made to avoid business operations being haltered in the middle of a financial year due to bad weather conditions in the rainy season.
    Linkicon  More information
  • MIC to promote particular sectors
    The Myanmar Investment Commission (MIC) encourages investments in certain sectors, particularly logistics and businesses which face import competition. The commission will assist investors with obtaining land and getting electricity after they provided an accurate business plan.
    Linkicon  More information
  • Minimum wage likely to increase to 4,800 MMK
    The country's National Committee for the minimum wage has agreed to set the daily wage to 4,800 MMK (3 EUR), which means a 33% increase from the current 3,600 MMK (2.25 EUR) rate.
    There will be a period of 60 days in which the Committee considers suggestions and objections regarding the new wage before the new minimum wage will be implemented. The new wage accounts for businesses having at least 10 employees and will be put into practice in March 2018 if no objection occurs.
    Linkicon  More information
  • Myanmar to build first elevated expressway in Yangon
    There are plans to build a 40 km long elevated expressway connecting the Hanthawady airport project with Yangon-Mandalay highway and Thilawa SEZ. First tenders of the 2 million USD per km project shall be announced this year.
    Linkicon  More information

Investment and business news

  • Pathein parasols exported to Germany
    Handmade high-quality umbrellas and parasols are produced in the capital of Ayeyarwady Region, Pathein, and sold to Europe. 60% of these parasols, which are often used as decoration in hotels or restaurants, are exported to foreign markets like Germany. The Delegation would be glad to connect you to parasol and umbrella manufacturers in Myanmar.
    Linkicon  More information
  • MPE signs 30-year lease for LPG production
    The government-owned Myanmar Petroleum Enterprise (MPE) signed a contract with Yadanar Su, a private Myanmar company, to lease two of its LPG production plants as a joint venture. The company is about to invest 3 billion MMK (2.2 million USD) in LPG production and distribution facilities.
    Currently, state-owned LPG production covers about 19% of the country's demand, giving private investors the chance to tap into the market.
    Linkicon  More information
  • Bago regional government to build commercial complex
    There are plans to build a commercial complex in Taungoo, on the way from Bago to Naypyidaw, in the fiscal year 2018-2019. The building will be constructed on 3.36 acres of land and has 12 floors including a shopping plaza, office space and residential apartments.
    Details on the tender process (until 12 February) available under the link below.
    Linkicon  More information

Since 2015, the German Myanmar Business Chamber (GMBC) is the official membership organization of German businesses in Myanmar. It provides a platform for exchange, dialogue and cooperation for Myanmar and German businesses bringing together corporate activities and strengthening the German business community in Myanmar. The GMBC organizes events on a regular base covering important policy issues as well as interesting business cases. Moreover, these events are made to extend and improve the network of its members. Visit the GMBC website for more information.

This section introduces new members and covers recent activities of GMBC members in Myanmar. If you are a GMBC member and are keen to see your company featured in this section, please contact GMBC.


Welcome
new GMBC members!

  • Kanaung Legacy Group Co., Ltd. recently joined GMBC. The company is specialized in representing and supporting partners/suppliers in the Myanmar market with a focus on sales of technical equipment, engineering and installations.
GMBC member activities
  • Asia World Foundation contributes to not-for-profit road in Rakhine state.
    More information
  • Rose Garden Hotel Yangon introduces handicap friendly rooms.
    More information

Office exhibition

Bart Was Not Here
Linkicon  Current exhibition: Bart Was Not Here


General Information

Energy Solutions
The World Bank will support Myanmar's electricity sector by offering an interest-free loan. 310 million USD will be invested in expanding the national grid and 90 million USD will be allocated to rural electrification projects like off-grid solar and mini-grids.
More information

Internship at AHK Myanmar (March/April - September/October 2018)
We are looking for a German intern from March to September 2018. Kindly click on the link below for detailed information. Applications are accepted until 2 February 2018.
More information

AHK job vacancy service
Starting next month, we will offer a new service for you. We will publish your job vacancies on our website, Facebook, LinkedIn and in our newsletter, helping you to find the right employee by reaching out to 2,000+ local and international experts. Advertisements can be booked on a monthly base. GMBC members get a discount. For further information, please check the full service description on our website and feel free to contact us.

AHK tender information service
Also starting next month, we will offer a new tender information service for you. We create a special tender-newsletter which will inform you in a timely manner about tenders opened by the government or international organizations in Myanmar - including information only available via hard copy and Myanmar language. This is particularly ideal for companies not yet represented on the ground but eager to set foot in Myanmar. Please find more information on our website or contact us by e-mail.


Key figures for Myanmar
 GDP growth (est. 2017) 6.4%, GDP: 72 billion USD
 Population (2017) 53 million
 Export goods (2016) 11 billion USD; China, Thailand, India
 Import goods (2016) 16 billion USD; China, Singapore, Thailand
 Export services (2015) 3.86 billion USD
 Import services (2015) 2.44 billion USD
 Current account balance,
 % of GDP (2016)1
 -5.8%
 Exports to Germany goods (2016)2 172.4 million USD; apparel, footwear
 Imports from Germany goods (2016)2 76.8 million USD; machinery, vehicles
 Inflation rate 6.9%
 Unemployment rate3 0.8% (2015, ILO), 4% (2014, Myanmar Census)
 Aggregate measure of labor underutilization 6.9% (2015, ILO)
 Central Bank interest rate
 10%
 Lending/deposit rate 13% lending, 8% deposit
 Exchange rate January (2018) 1 EUR ≈ 1,640 MMK

1
According to the IMF, the actual deficit may be significantly lower as exports are not always recorded.

2 Using mirror trade data gives significantly higher imports (155.8 million USD) and exports (358.8 million USD).
3 While the census asks 3 questions about the labor force, and only one specifically about unemployment, the ILO survey asks stepwise several questions about employment, which leads, eventually, to a much lower number of unemployed. There is no significant difference in the workforce.
Sources: Trade data: UN Comtrade and UNCTAD (FDI), Economic data: WB and IMF, CBM for interest rates

German-ASEAN Business Council
Project Calendar for the ASEAN region 2017/18   
(in German language)

Linkicon  Project Calendar ASEAN 2017/18

Upcoming Events

February 2018 | Yangon, Myanmar
Excursion to Thilawa SEZ and visit to PEB steel
15. February 2018 | Yangon, Myanmar
Joint networking event with EuroCham
March 2018 | Yangon, Myanmar
Seminar on product regulations and requirements with TÜV Rheinland

Europcar Logo
Luther
Roedl&Partner Logo
Steinert Logo
Be our Partner

Follow us on social media and visit our website!
Website Icon
Icon Facebook
If you do no longer wish to receive this newsletter, you may unsubscribe here.
AHK Myanmar
Martin Klose
Uniteam Building, 6 floor, 84 Pan Hlaing Street Sanchaung TS
11111 Yangon
Myanmar

+95 9 4506 293 64
martin.klose@myanmar.ahk.de