YCDC digital construction permit platform receives over 1,000 applications

YANGON City Development Committee (YCDC) has received over 1,000 applications through Yangon Building Permit System (YBPS) during five months since its establishment. The YBPS provides Building Completion Certificate, building permit, a notice of inspection approval, minor building work approval, technical, administrative information and other managerial procedures.The system is designed to boost private investments in the city. It is initiated by International Finance Corporation (IFC), a member of World Bank Group, with the aims to reduce some procedures and paperwork in seeking construction permits, and cut frequent meetings and unnecessary disputes between the staff and applicants.

The registered engineers, architects and landowners can apply for the permit through online platform anytime and anywhere. This is a great reform amid the COVID-19 crisis. It has made us more technologically advanced and helped us become more conscious about environmental sustainability by adopting a paperless process, she continued.Additionally, the initiative, with support from the Foreign, Commonwealth and Development Office of the UK, the Australian Department of Foreign Affairs and Trade (DGAT) has helped modernize the system and provide new software and training for staff. It is a one stop source for those developers to obtain a construction permit.

Myanmar construction sector accounts for five per cent of the labour force (about 1 million workers), it has among the highest earning potential for people.Streamlining the construction permit process is helping to improve transparency, cut red tape and speed up processing for permits which will ultimately improve the overall investment climate in Yangon. This is part of IFC’s larger effort to support the development of the private sector and spur the job creation.

Source: The Global New Light of Myanmar

Domestic investments hit K1,700 bln in 11 months, up over K300 bln against previous FY

INVESTMENTS by Myanmar citizens in the country exceeded K1,700 billion in the past 11 months of the current financial year2019- 2020, an increase of over K300 billion compared to the corresponding period of the previous FY, according to data released by the Directorate of Investment and Company Administration (DICA). Between 1 October and 28 August in the current FY, 118 local enterprises were allowed to invest in the country by the Myanmar Investment Commission and the state and region investment committees.

Domestic investments have reached K1,710 billion so far, including the expansion of capital by existing enterprises, as per the DICA’s data.Domestic investors pumped K1,368 billion into 151 projects in the corresponding period of the 2018- 2019 financial year. This FY, the number of enterprises permitted was 33 less than the previous year. However, the quantum of investment was more extensive compared with the yearago period as the business with large capital flowed into the country, the DICA stated.

During the 11 months, the real estate development sector pulled the most massive domestic investments, followed by manufacturing and other service sectors. The domestic investments also flow into hotels and tourism, agriculture, oil and gas, transportation and communication, construction, livestock and fisheries, mining, and power sectors. In contrast, industrial estate out of 12 domestic investment sectors attract zero investment in the current FY, the DICA stated.

Source: The Global New Light of Myanmar

Future of workplace

Tile: Future of workplace

Date: 11 Sep 2020, 8:00 P.M

Speaker:

  • Dr. Tun Thura Thet (Chairman, Myanmar Information Technology Pre Ltd)
  • Daw Khine Khine Nwe (Secretary General, Myanmar Manufacturers’ Association)
  • U Mike Than Tun Win (Founder, BOT Tech Ventures) 

Moderator: U Tin Zan Kyaw (President & Founder, Device Consulting Group)

Contact Address:  https://www.facebook.com/events/780819646083934/

Organizer: Myanmar B2B TV

Emerging Asia E-Commerce Summit

Title: 3rd Emerging Asia E-Commerce & Last Mile Logistics Summit 2020

Date: 09 – 10 Sep 2020, 9:00 A.M – 6 P.M (General)

Contact Address: http://www.magenta-global.com.sg/index.php

Organizer: Magenta Global Pte Ltd

Jade prices in Myanmar halve as demand dwindles amid COVID-19

Jade sales have taken a hit as a result of poor demand from China in the wake of COVID-19 and prices of the green mineral have halved in recent month. Demand from China has fallen. The Chinese government does not encourage investments or trade in this area. Meanwhile, production of high-quality jade in Hpakant, Kachin State, has also declined amid the pandemic.

There are just a few active jade miners currently, even through small-scale jade mining blocks have been granted. As a result, commercial-quality jade has become more affordable in the market.The other reason for the lower demand is the cancelling of gems emporiums, where jade is legally auctioned to foreign buyers. Before COVID-19 , Myanmar typically held large-scale emporiums twice a year in Nay Pyi Taw. Other jade and gems fairs in Yangon, Mandalay and Myitkyina have also been called off, although there have been enquiries on when these will resume.

The majority of Myanmar jade is exported to China. As a result, the Myanmar government has potentially lost billions in revenue from having to suspend this year’s gems emporiums due to the outbreak of COVID-19. Each fair typically draws revenues of €500 million each. As the state receives a 40 percent share of capital emporium sales in the form of taxes, its revenue has declined about €400 million this year.

Source: Myanmar Times

Construction sector in Myanmar worried over work-from-home order

Construction companies are worried over the impact of a national work-from-home (WFH) order as a result of COVID-19 on their businesses. The Central Committee for Prevention, Control and Treatment of COVID-19 on September 7 issued an announcement that only half of the civil workforce should report physically for work, while the other half should work from their homes or residences.

The 50 percent WFH scheme for employees was adopted in April and May during the first outbreak of COVID-19, but was discarded in June when the number of cases dwindled. The scheme has now been reinstated with cases on the rise. Although WFH arrangements can be adopted in sectors that do not require their employees to come to the office, it is much harder for the construction sector to reduce the number of workers on-site. Others are trying their best to comply with latest instructions to avoid further consequences.

Basins, hand sanitizers and masks have been placed at construction sites and dining areas and arrangements have been made for construction workers to work six feet apart from one another. The construction sector is providing the most job opportunities for workers now and they are trying their best to keep their business running. The construction sector is only starting to recover after most work came to halt between March and May. During that period, some small private constructors went out of business due to cash flow problems.

Source: Myanmar Times

Microfinance firms in Myanmar struggle to stay afloat in second wave

Government travel restrictions and orders to defer repayments and lower interest rates on loans due to COVID-19 have reduced the ability of Myanmar’s microfinance companies to help rural people who desperately need capital. The inability to collect repayments from borrowers has hurt the companies’ liquidity and cash flows, limiting their ability to make loans. The Planning, Finance and Industry Ministry’s Microfinance Business Supervisory Committee overseas about 190 companies with 4.6 million members, most of them low-income.

The country hit by a second wave of COVID-19 infections, Daw Phyu Yamin Myat, general secretary of the association, shared her views on the challenges facing microfinance companies. They are following the Health and Sports Ministry’s guidelines and practicing social distancing as much as possible at their offices. Few clients can repay their loans. They cannot recover the money if the clients cannot repay their debts. The amount of money available to us has become less and less as they have loaned money to people who cannot make repayments. They think if people get back to work, the situation will improve and they will not have large losses. They are in semi-lockdown or lockdown, which can interfere with work.

Microfinance companies have not been able to grow during this time. All have been badly hit. If they compare business expansion with population growth, the development ratio is zero. Over 40 of the 200 financial companies are practicing corporate social responsibility under some of the government’s plans. There has been no damage to microfinance firms yet, but it could happen at any time. The lending of money to businesses is essential. Although there is an income stream from repayments, the companies might have other problems. They haven’t fully recovered loans from our clients. A business going belly-up might set off a chain reation, so they should advise their clients to consult with the association if they have problems.

Source: Myanmar Times

Ministry of Construction complete 100 bridges in Myanmar this year

State and regional governments in Myanmar have expected expended around K477 billion building bridges in fiscal 2019-20, according to the Ministry of Construction. A total of 43 bridges spanning over 180 ft and 57 bridges under 180 ft amounting to 100 bridges in total have been completed in fiscal 2019-20. The new infrastructure has helped to enhance connectivity and trade for under-developed communities.

The completed bridges include Kantarwadi Bridge in Kayah State, Naunglon Bridge in Kayin State, Paletwa Bridge, Lalmyo Bridge, Daungvar Bridge in China State, Thamote Lut Bridge, Palone Tone Tone Bridge, Tanintharyi Bridge in Tanintharyi Bridge, Sittaung Bridge (Myo Soe), Shwe Kyin Bridge in Bago Region, Mon Chaung Bridge, Sal Yoe Bridge,Man Chaung Bridge in Magwe Region, Kin Chaung Bridge in Rakhine State and Labutta Bridge (Pin Lal Lay) in Ayeyarwady Region. These were constructed with loans from Austria. The No.3 Bago Bridge, Myanmar- Korea Friendship (Dala) Bridge, Gyine ( Kawkareik) Bridge, Gyine (Zathapyin) Bridge, Attayan Bridge are still being constructed with official development assistance.

There are also plans to bridge new Kunlon Bridge with international aid. They used technology for quality control so the bridge load and lifespan has increase substantially and will also reduce maintenance costs in the long ter. Instead of using steel trusses, the bridge designs were changed to steel arches which represents an advance in bridge engineering. In the case of damage by natural disasters, special bridge teams in each state and region have collected funds for Bailey bridges in advance.

Source: Myanmar Times

JICA gives Myanmar $280M loan for budget support

Japan’s aid agency is to provide US$280 million of concessional loans to the Myanmar government in support of the country’s economic recovery from the downtown brought up by the pandemic. The Myanmar government and the Japan International Cooperation Agency (JICA) signed a concessional loan agreement of ¥30 billion (US$280 million) in Nay Pyi Taw on Tuesday (September 1), called the COVID-19 Crisis Response Emergency Support Loan.

Based on the loan agreement, JICA is providing US$280 million concessional loan to the Myanmar government to support resilient economic recovery through implementation of COVID-19 Economic Relief Plan (CERP) and related policies for investment and trade promotion as well as financial sector strengthening. The CERP was announced in April by Daw Aung San Suu Kyi’s government and is estimated to cost $2 billion in total. The loan proceeds are going to be spent on this. This implementation of the policy reforms is also supported by JICA’s ongoing technical cooperation projects in the field of investment promotion, industrial development, trade facilitation and financial sector reform. JICA highly appreciates Myanmar government’s swift policy response to the economic impact of COVID-19 embodied in CERP.

The emergency support loan not only fills the critical financial gap for the implementation of short-term relief measures but also lays the groundwork for the sustainable long-term recovery through supporting prioritized economic policy reforms, leveraging JICA’s technical cooperation projects.This is the second measure from JICA to support Myanmar’s COVID-19 response. The aid agency in June rolled out a JPY5 billion SME financing programme. Last week, the EU and Myanmar inked a financing agreement support agriculture and nutrition in Myanmar. The EU will invest K180 billion over the next five years to support the Ministry of Agriculture, Livestock and Irrigation.

Source: Myanmar Times