Invest in Myanmar Ms. Ei Ei Khine Economic counsellor Embassy of the Republic of the Union of Myanmar

Transcription

1 Invest in Myanmar Ms. Ei Ei Khine Economic counsellor Embassy of the Republic of the Union of Myanmar Myanmar Embassy, Tokyo 1

2 Myanmar Embassy, Tokyo

3 Myanmar s Economic Indicators GDP Growth Rate GDP (in US$ Billion) GDP by Sector 27% 38% 35% Agriculture Industry Services GDP per Capita (in US$) Source: Ministry of Planning and Finance Myanmar Embassy, Tokyo 3

4 Potential Market Bangladesh Mil 51.4 Mil Laos 6.7 Mil Bangladesh $ 221 Bil $ 67 Bil Laos $ 16 Bil Total People 2,994 Million 40% Worlds Population Total GDP (Current Price) US$ 14,174 Billion Myanmar Embassy, Tokyo 4 Source : The World Bank Database World 2016 Factbook

5 Human Resource Endowment Population : 51.4 Million (2014) Age between year old : 65.6% Wages ( 8 hours ) 3600 Kyat = 300 Yen Adult Literacy rate: 89.6% Source: Ministry of Planning and Finance Myanmar Embassy, Tokyo 5

6 Rich Natural Resources Gold Pearl Jade Myanmar Embassy, Tokyo 6

7 Export by Types of Commodity (FY ) Source: Ministry of Commerce Myanmar Embassy, Tokyo 7

8 Positioning ASEAN and Myanmar in the Regionalism Myanmar Embassy, Tokyo 8

9 Myanmar Embassy, Tokyo

10 Legal Framework Special Economic Zone Law (2014) Myanmar Investment Law (2016) Myanmar Embassy, Tokyo 10

11 Corporate tax Import tax exemption Subject Free Zone Investment in SEZ Promotion Zone Tax exemption 7 years 5 years 50% tax relief 5 years 5 years 50% tax relief for reinvestment Import of construction materials, machinery, equipment 5 years 5 years Exempted 5 years exempted + 5 years (50% relief) Import of raw material Exempted Export portion is refundable Myanmar Embassy, Tokyo

12 Land Use in SEZ Initial Year 50 + Extension Year 25 Total Year 75 Source: Myanmar SEZ Law Myanmar Embassy, Tokyo 12

13 Pioneer SEZs: Special Economic Zones in Myanmar 3 Pioneer SEZs namely; - Dawei SEZ - Kyauk Phyu SEZ -Thilawa SEZ Myanmar Embassy, Tokyo 13

14 Transborder Cooridor Link between Dawei SEZ and Bangkok Myanmar Embassy, Tokyo 14

15 Kyauk Phyu SEZ Myanmar Embassy, Tokyo 15

16 Thilawa SEZ 16 Myanmar Embassy, Tokyo

17 Investment in Thilawa SEZ ( As of 31 st August 2017) Investment by top 6 countries Trading 11% Services 5% Investment By Sector Real Estate 2% Hotel 1% US$ in million Logistics 7% Manufacturing 74% Japan Thailand Republic of Korea Malaysia Taiwan USA Source: Thilawa SEZ Management Committee Myanmar Embassy, Tokyo 17

18 New Myanmar Investment Law Myanmar Embassy, Tokyo 18

19 National Treatment and Most Favored Nation Treatment Fair & Equitable Treatment Rights to Use Land Right to Employ Expatriates Investment Guarantee Transfer of Funds Myanmar Embassy, Tokyo 19

20 Agriculture and its related services (except cultivation and production of tobacco and Virginia) Plantation and conservation of forest, and other businesses with forest Livestock production, breeding and production of fishery products, and its related services Manufacturing (Except manufacturing of cigarette, liqueur, beer, and other harmful products to health) Establishment of Industrial Zones Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 20

21 Establishment of New Urban Areas City Development Activities Construction of Road, Bridge and Railway Line Construction of Seaport, River Port and Dry Port Management, Operation and Maintenance of Airport Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 21

22 Maintenance of Aircrafts Supply and Transport Services Power Generation, Transmission and Distribution Production of Renewable Energy Telecommunic ation Businesses Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 22

23 Education Services Health Services Information Technology Services Hotel and Tourism Science Research Development Business Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 23

24 Zone 1: Less Developed Zone Total: 166 Townships in 13 States and Regions except Yangon and Nay Pyi Taw Union Terriority States (98 Townships) Kachin (14), Kayah (7), Kayin (7), Chin (9), Mon (2), Rakhine (17), Shan (42) Regions (68 Townships) Sagaing (34), Tanintharyi (4), Bago (5), Magwe (13), Mandalay (2), Ayeyarwady (10) Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 24

25 Zone 2: Moderate Developed Zone Total: 122 Townships in 3 States, 7 Regions and Nay Pyi Taw Union Terriority States (26 Townships) Kachin (4), Mon (8) and Shan (14) Regions (88 Townships) Sagaing (3), Tanintharyi (7), Bago (23), Magwe (12), Mandalay (13), Yangon (13), Ayeyarwady (17) Nay Pyi Taw Union Terriority (8 Townships) Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 25

26 Zone 3: Developed Regions Total: 46 Townships in 2 Regions 14 townships in Mandalay Region 32 townships in Yangon Region Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo 26

27 Exemptions or reliefs Customs Duty or other internal taxes or both Income tax Subject Import of construction materials, machineries, equipments, instruments, machinery components, spare parts, materials used for business Import of raw materials and partially manufactured goods for export oriented business Import of raw materials for export products Reinvestment Right to deduct the depreciation Right to deduct the expense for research and development Investors have Right to pay the income tax rate same as the citizens Myanmar Embassy, Tokyo

28 For Issuance of Endorsement Order MIC Investment Capital Amount up to USD 5 Million or MMK 6 Billion State and Regional Investment Committees Myanmar Embassy, Tokyo 28

29 Legal Framework Special Economic Zone Law (2014) Myanmar Investment Law (2016) Myanmar Embassy, Tokyo 29

30 Foreign Direct Investment in Myanmar US$ in Million China Singapore Thailand Hong Kong U.K * Republic of Korea Viet Nam Malaysia The Netherlands Source: Directorate of Investment and Company Administration India Japan France U.S.A US$ in Million Indonesia Canada Myanmar Embassy, Tokyo Total Investment End of August

31 Japanese Investment in Myanmar ( to ) Total Japanese Investment US $ in million to (end of August) Real Estate 5% Hotels and Tourism Sector 11% Oil and Gas Sector 6% Japanese Investment by Sector Others Services 15% Fisheries Sector 2% Manufacturing 58% Source: Directorate of Investment and Company Administration Agriculture Sector 3% Myanmar Embassy, Tokyo 31

32 Hotel & Tourism Sector Investment US$ in Million End of August 2017 Source: Directorate of Investment and Company Administration Myanmar Embassy, Tokyo

33 Myanmar Embassy, Tokyo