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Thilawa SEZ attracts over US$2.188 bln as of Nov 2022

Foreign investments of over US$2.188 billion have been pumped into Thilawa Special Economic Zone under the Special Economic Zone Law as of November 2022, the statistics released by the Directorate of Investment and Company Administration (DICA) indicated.

Myanmar Investment Commission will prioritize the manufacturing of fertilizer, cement, iron and steel, value-added foodstuff, electric vehicle and pharmaceutical and medical supplies, agriculture and livestock farming and related industries and public transportation services for investments.

At present, approximately 102 factories are running at Zone A and B of the Thilawa SEZ. The power sector topped the investment line-ups with more than $3.121 billion of investment, as per the DICA. The commission welcomes both foreign direct investment and domestic investments made by Myanmar citizens in those sectors. MIC and the related ministries will also ensure investment facilitation. 

Source: The Global New Light of Myanmar

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Mang Wein, Nantaw, Sinphyu borders to resume on 8 Jan 2023

Trade activities on some Sino-Myanmar borders including Nantaw, Sinphyu and Mang Wein, which performed the majority of trade, are slated to restart on 8 January, said U Min Thein, vice-chair of Muse Rice Wholesale Centre. China has shut down all crossings linking to the Muse border amidst the COVID-19 pandemic, imposing travel bans at Nantaw and Sinphyu borders from 1 April 2020 and Mang Wein from 30 March 2021. Only Kyinsankyawt resumed trading activities on 26 November 2022 after the closure on 8 July 2021. “Mang Wein border saw a bustling trade with 400 and 500 trucks.

The other two crossings – Nantaw and Sinphyu – have been closed down for three years. Now, those will be reopened on 8 January. They will be accessible by road vehicles (trucks, vans, motorcycles) again,” U Min Thein said. Additionally, the driver-substitution system will be abolished along with the reopening of the border crossings. There is no responsibility and accountability if goods are damaged under the driver-substitution system. Therefore, Myanmar exporters choose short-haul driver service at the Kyinsankyawt border and bear high freight costs.

If this system is cancelled, we can directly go on the China side, tackle delay problems, facilitate trade in the Muse border, save high short-haul driver costs and help cut unemployment, U Min Thein added. Myanmar daily delivers rice, broken rice, pulses, rubber, watermelon, fishery products, chilli pepper and other food commodities to China through Kyinsankyawt with about 100 trucks and building materials, electrical appliances, pharmaceuticals, fertilizer, household goods and industrial raw materials are imported into the country with 40 trucks. Myanmar has opened five border trade posts with China – Muse, Lweje, Kampaiti, Chinshwehaw and Kengtung. The majority of the trade is carried out through Muse, Ministry of Commerce’s data indicated. 

Source: The Global New Light of Myanmar

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Pure gold price rallies to K2.733 mln per tical in domestic market

The prices of pure gold hovered in the bear market with over K2.733 million per tical (0.578 ounces, or 0.016 kilogram) in the domestic market. The price has risen tracking the increase in global gold spot price, which stands at US$1,845 per ounce. Therefore, Yangon Region Gold Entrepreneurs Association (YGEA) raised the reference price to K2,173,500 per tical. There is a price difference of over K550,000 per tical between the YGEA’s reference price and the market price.

YGEA calculated the price depending on the Central Bank of Myanmar’s reference exchange rate of K2,100, with some addition, said U Myo Myint, chair of YGEA. The US dollar is exchanged at K2,850 in the unofficial forex market. Meanwhile, YGEA called for the gold shops in Yangon Region to sell pure gold at K2,530,000 per tical, according to its notification released on 30 October 2022. The soaring dollar exchanging at over K4,500 pushed up the pure gold price to a record-high of K3.7 million per tical in late August.

For the gold price to decline, the Ministry of Natural Resources and Environmental Conservation has been selling gold ingots in Yangon, Mandalay and Nay Pyi Taw under the auction system. With an aim at reducing gold prices, the YGEA and Mandalay Region Gold Entrepreneurs Association sold gold bullion supplied by the executive members and the members as well. Under the guidance of the Central Committee on Ensuring Smooth Flow of Trade and Goods, the Monitoring and Steering Committee on Gold and Currency Market was formed on 21 January 2022 as gold and currency market stability play a crucial role in the trade facilitation.

Source: The Global New Light of Myanmar