Myanmar - promising investment spot

By Rachel Lee

Myanmar, a Southeast Asian country that boasts 7 percent annual economic growth, has highlighted its potential as an important destination for Korean investors.

At the “Investment and Business Environment Seminar,” at the Plaza Hotel in Seoul on Dec. 22, officials from Naypyidaw’s Directorate of Investment and Company Administration (DICA) and other ministries presented the latest opportunities, including the recently approved investment law, to their Korean counterparts. The ASEAN-Korea Centre and DICA organized the event.

“Myanmar has shown rapid economic growth, recording 7 percent of average gross domestic product (GDP) growth since 2012, with expected GDP growth of 8.6 percent in 2016,” ASEAN-Korea Centre Secretary General Kim Young-sun said. “Infrastructure projects in energy, communication and construction are main contributors to this development and the new investment law is expected to provide more favorable conditions for foreign investors, which makes it the best time for investments in Myanmar’s infrastructure sectors.”

The officials introduced detailed information on the investment climate in the construction, transportation and energy sectors. Korean business representatives shared their experience of a public-private partnership expressway project in Myanmar. Myanmar’s Ambassador to Korea, Thura U Thet Oo Maung, and DICA Director-General Aung Naing Oo also attended the seminar.

Two days before the event, the group visited the waste energy plant on Nanji Island, which transforms gas from the former landfill site into renewable energy. They also visited Dongtan New City to learn about the state-of-the-art transport network and the residential and cultural complex.

“I hope this Seminar would further facilitate Korean investments in Myanmar, which would also contribute towards the infrastructure development of the nation,” Kim said.

According to the ASEAN-Korea Centre, the new Myanmar Investment Law was enacted in October, 2016, to attract more foreign direct investment by combining foreign investment law and citizen investment law. With government approval, the Myanmar Investment Commission (MIC) may give income tax exemption to foreign investors in underdeveloped regions for seven consecutive years.

The ASEAN-Korea Centre is an intergovernmental organization established in 2009 with an aim to promote exchanges among Korea and the ten ASEAN Member States.