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Monthly Business Brief, January 2026
Myanmar Monthly Business Brief, January 2026
Economy
Phase II and Phase III of General Election conducted across 200 townships
Phase I of the 2025 general election was held on 15 January at designated polling stations in 100 townships and 25 January 2026 December at 100 townships across regions and states. Phase I, was held on 28 December in 102 townships. General elections were held in 302 townships of Myanmar.
Finance
CBM relaxed mandatory FE conversion percentage on export earning
The Central Bank of Myanmar announced on 7 January 2026 that the mandatory foreign currency conversion. Instead of 25 percent of the export earnings received from exports, exporters shall exchange only 15 percent for Myanmar kyats according to the CBM reference rate ( K 2100/USD). The notification shall take effect on 1 January 2026. The remaining 85 percent can be traded with online trading rate (about K 3,650/USD).
FE market rate stabled; Gold Prices Fluctuate
The kyat stabled around K4,036 per US dollar on average at market rate in January. The Central Bank of Myanmar (CBM) intervened throughout the month, selling millions of US dollars, yuan, and baht to stabilize the exchange rate and support imports of essential goods. CBM injected US dollars 95 million and Baht 60 million in January, into the edible oil, fuel, and CMP sectors.
Gold prices were increasing throughout the month from 9.1 million kyats in December, closing at 106 million kyats per tickle for selling at the end of January. Domestic fuel prices showed a stable around K 2300 per litre in January.
Trade
Import licence/permit applications submitted by importers commencing will be granted a period of 180 days
The Department of Trade under the Ministry of Commerce released announcement 4/2025, stating that import licence/permit applications submitted by importers commencing on 1 January 2026 will be granted a period of 180 days. For applying for import licences intended for domestic trading activities, each company is allowed to submit only one application per month for the same type of goods. Upon this, the single application will be approved. The import licence/ permit applications that exceed the 180-day validity period will be automatically cancelled through Myanmar Tradenet 2.0.
Myanmar maize export to commence on 1 Feb under zero duty
MYANMAR’S maize export to Thailand with zero-tariff benefit will restart on 1 February, according to the Myanmar Corn Industrial Association.
Thailand gives green light for maize imports under zero tariff (with Form-D), between 1 February and 31 August, 2026. Myanmar ships maize to Thailand through the Yangon-Bangkok, Kaw¬thoung-Ranong maritime routes and Tachilek-Mesai. The Myawady trade channel that was previously used is currently suspended.
Maize export annually generates over US$500 million. There are over one million acres of maize farms across the country. Domestic consumption accounts for 35 per cent of total production, and the remaining 65 per cent is designated for exports.
Maize exports amounted to over $500 million in the 2023-2024 financial year, over $400 million in the 2024-2025 financial year, and over 400 million so far in the current 2025-2026 financial year.
Fishery exports net Myanmar US$278M in Apr-Dec 2025
Myanmar exported more than 227,000 metric tonnes of fish during the first nine months of the 2025–2026 financial year, which began on 1 April, earning over US$278.9 million, according to the Department of Fisheries. Myanmar exported over 113,500 metric tonnes of fish by sea, with an estimated value of $177.5 million. Over 114,000 metric tonnes of fish worth $101.36 million were exported to neighbouring countries through land borders.
Myanmar’s fish export amounted to $421 million from about 400,000 tonnes in the past FY 2024-2025 (April 2024-March 2025).
Myanmar steadily ships seafood to over 40 countries, including China, Thailand, Bangladesh and Japan through maritime and land border trade channels.
Fishery products like hilsa, rohu, river catfish, seabass, eel, shrimp and crab are exported to foreign markets, according to the Myanmar Fisheries Federation. There are over 140 fishery cold storage facilities, and the department grants annual licence renewals.
Manufacturing
Pangpet Steel Mill eyes 200,000 tonnes of pig iron in 2026–27 FY
The No 2 Steel Mill (Pangpet) in Taunggyi Township, Shan State (South), is making efforts to manufacture 200,000 tonnes of pig iron in the 2026-2027 financial year. Under the Steel Mill (Pangpet) project, 200,000 tonnes of pig iron are expected to be produced within one year. Nineteen out of 22 sub-workshops have operated on a trial run. The mill is currently working with a Russian company to manage the remaining three sub-workshops. Once all the workshops are in full swing, production of 200,000 tonnes of pig iron will be simultaneously underway.
The capacity is 200,000 tonnes per year as per the original design. The two types of iron ore can be sourced near the mill, with reserves of 70 million tonnes. Limestone is also available in the village near the mill. Dolomite can also be sourced from a place in Hopong Township about six miles away from the mill. The mill will call for tender to procure sand from the Pyinnyaung area and coal from the Kehsi area. The No 1 Mining Enterprise under the Ministry of Natural Resources and Environmental Conservation have sought a permit to explore raw material sites. That pig iron can be used in iron smelting operations in the No 1 Steel Mill in Myingyan.
Energy
MoE, Chinese State-owned energy firms cooperate on Thanbayakan Refinery Project
The Ministry of Energy is collaborating with State-owned energy institutions from the People’s Republic of China in implementing the Thanbayakan Refinery Project, which has a production capacity of two million tonnes of crude oil per year. The project will utilize crude oil from the Myanmar-China crude oil pipeline. It is expected to meet domestic fuel demand upon completion. Similarly, once the ongoing Thanlyin Oil Refinery project is complete, Project Phase II will be developed into a crude oil plant with an annual capacity of three million tonnes in 2028. Furthermore, a plan to capture carbon dioxide produced as a by-product of the oil refining process to manufacture dry ice is underway to reduce foreign currency outflow. Equipment to produce dry ice will be installed as soon as possible.
Transportation
Dawei Airport upgrade to support deep-seaport development
Upgrading Dawei Airport is underway and that will support the Dawei deep-seaport project. As part of the upgrade of Dawei Airport, work is ongoing to enable the airport to accommodate large cargo and passenger aircraft such as the Airbus A320. In addition to upgrading Dawei Airport, there are plans to expand circular-route flights serving Dawei, Bokpyin, and Kawthoung. The current Dawei Airport has a runway that is 12,000 feet long and 100 feet wide, and the total area of the airport is approximately 365 acres. In addition, there are two parking aprons, each 200 feet wide, and one parking apron measuring 600 by 300 feet, which together can accommodate up to five domestically operated aircraft at the same time. The upgrade of Dawei Airport is expected to contribute to improving aviation services and an increase in tourism to the Dawei region.
Monthly Business Brief, December 2025
Myanmar Monthly Business Brief, December 2025
Economy
Phase I of 2025 General Election conducted across 102 townships
Phase I of the 2025 general election was held yesterday, on 28 December at designated polling stations in 102 townships across regions and states. Under Phase I, Union-level dignitaries and eligible voters cast their ballots in eight townships of the Nay Pyi Taw Council Area.
Voting also took place in six townships in Kachin State, two in Kayah State, three in Kayin State, two in Chin State, 12 in Sagaing Region, four in Taninthayi Region, eight in Bago Region, nine in Magway Region, eight in Mandalay Region, five in Mon State, three in Rakhine State, 12 in Yangon Region, 12 in Shan State and eight in Ayeyawady Region, totalling 102.
At designated polling stations in these townships, local ethnic residents cast their votes in an orderly manner using the Myanmar Electronic Voting Machine (MEVM). Senior Tatmadaw officers, Tatmadaw members and their families from military commands also went to their respective polling stations to vote systematically. To ensure that voters could cast their ballots freely, peacefully and smoothly, necessary arrangements were made in advance at polling stations, including the provision of vehicles, medical teams and security measures.
After the voting concluded, polling station heads and members, in the presence of representatives of political parties and election observers, retrieved the results from the control units of the voting machines and carried out vote counting in a systematic manner, together with the counting of advance votes. Local and foreign media organizations, as well as international election observers, also visited polling stations to observe the voting process and gather news.
Phase-2 election will be held on 11 January and Phase-2 election will be held on 25 January 2026.
Finance
Kyat Shows V CBM Interventions; Gold and Fuel Prices Fluctuate
The kyat stabled around K4,000 per US dollar at the end of December, reflecting continued depreciation pressure. The Central Bank of Myanmar (CBM) intervened throughout the month, selling millions of US dollars, yuan, and baht to stabilize the exchange rate and support imports of essential goods. CBM injected US dollars 113 million in December, into the edible oil, fuel, and CMP sectors.
Gold prices were increasing throughout the month, closing at 9.1 million kyats per tickle for selling at the end of December. Domestic fuel prices showed a decrease in December.
CBM urges public vigilance against counterfeit banknotes
The Central Bank of Myanmar (CBM) encourages the public to remain vigilant of counterfeit notes, according to the CBM’s notification dated 17 December 2025. CBM stated that authorities arrest counterfeiters for forging banknotes on the public tip-off via social media. The CBM described the security features of banknotes to identify fake notes and respond to public concerns.
The recently seized fake notes can be detected easily as they were just copies made of the use of high-quality and durable A4 paper. Nonetheless, the CBM’s banknotes have high security features.
CBM warned that those who knowingly use counterfeit banknotes will face imprisonment for up to three years or fines or both under Section 105 of the Central Bank of Myanmar Law. Those who manufacture counterfeit banknotes or import/export them will get a 10 to 20-year sentence under Section 106 of the Law. The forging equipment and the counterfeits will be seized as well. The Central Bank of Myanmar urges the public to comply with the law regarding counterfeit notes. Authorities concerned are also joining hands with the law enforcement organizations to combat the counterfeit notes.
Trade
Myanmar’s rice export exceeds 1.7M tonnes in Apr-Nov
Myanmar’s rice export in the past eight months of the current financial year 2025-2026, beginning 1 April, reached over 1.78 million tonnes worth US$575 million, according to the Myanmar Rice Federation (MRF). The federation aims to achieve three million tonnes of rice exports in the current FY. Ministry of Commerce is working together with the Union of Myanmar Federation of Chambers of Commerce and Industry, Myanmar Rice Federation and other related association to meet monthly export targets and facilitate exports.
Myanmar expands food exports to Japan, South Korea and ASEAN
Myanmar primarily exports value-added food products, including noodles, to the Republic of Korea, Japan and ASEAN countries, according to the Myanmar Food Processors and Exporters Association. Myanmar’s food products were primarily shipped to markets of Japan, South Korea and ASEAN. If we manage to reduce production costs, it will increase market competition between the neighbouring countries, boost exports and create opportunities to embrace challenges. Myanmar’s food processing industry practices good food packaging, yet some packaging materials are still required to be imported. Myanmar’s noodles are exported to regional markets, while dried vegetables, roasted sesame powder, honey and other value-added food products are shipped to Japan and South Korea. Moreover, efforts are being exerted to export value-added food products made from mango, durian, coffee, avocado and other fruits to Belarus and other foreign countries.
Investment
Swiss-based Chubb life insurance firm to exit Myanmar
Some reports from December 2025 indicate that Chubb Life Insurance plans to exit the Myanmar market, suspending business after operating for about six years, a move surprising policyholders and prompting concerns about protection and refunds amidst inflation, with official communication reportedly lacking from the global insurer.
News outlets in Myanmar reported in mid-December 2025 that Chubb, a major foreign insurer, is ceasing its life insurance operations in the country. Chubb launched its wholly-owned life insurance business in Myanmar in 2019, becoming one of several foreign companies operating there.
Manufacturing
Myanmar garment sector needs raw materials processing factories
Myanmar’s garment sector can generate foreign revenue of over five billion US dollar yet it lacks raw material processing factories to cut high import and production costs, according to Chinese Textile and Garment Association in Myanmar. Myanmar’s garment industry needs local raw material factories to substitute import and reduce reliance on foreign manufactured goods and stabilize foreign exchange rate and conserve foreign reserve as the country has to import inputs like zippers, buttons, fabrics and others as per the order of the buyers, causing a significant dollar outflow. Therefore, Myanmar’s garment industry is endeavouring to transform the Free on Board system from Cutting-Making and Packaging basis by inviting Chinese investors to invest in raw material manufacturing. Myanmar’s manufacturing sector is largely concentrated in garment and textiles produced on the CMP basis and only five per cent are running with locally produced raw materials. There are 523 member factories of Myanmar Garment Manufacturers Association across the country. Sixty per cent of Myanmar’s garment exports go to Europe while 20 per cent are exported to Japan and other markets account for 20 per cent. Myanmar garment industry aims to contribute to employment of up to 1.2 to 1.6 million workers in a decade and Myanmar’s apparel market is projected to reach US$15 billion, MGMA stated.
No 1 Heavy Industries Enterprise calls tenders for vehicle scrapping and transport
The No 1 Heavy Industries Enterprise of the Ministry of Industry called for companies and organizations for scrapping, transporting and delivering over 1,100 vehicles to the No 1 Steel Mill (Myingyan). The companies and organizations that can scrap, transport and deliver those 1,129 vehicles, motorcycles and machinery seized by Union-level institutions and ministries from various townships in Mandalay Region to the No 1 Steel Mill (Myingyan) are invited to participate in bidding. Tender documents became available at the No 1 Heavy Industries Enterprise starting from 24 December 2025. And the tender submission deadline is 7 January 2026. Business entities can enquire about tender details through the administration department of the No 1 Heavy Industries Enterprise (Office 30) in Nay Pyi Taw.
MoI to enhance iron mills in Sagaing, Mandalay with smelting, wire-drawing technology
The Ministry of Industry will provide Iron Smelting and Wire Drawing Technology to operating iron mills in Sagaing and Mandalay regions. The Directorate of Industrial Supervision and Inspection carried out on-site inspections at the iron smelting and wire drawing mills operating in Mandalay Region to provide technical and necessary assistance and meet manufacturing standards. There are 220 iron smelting and wire drawing mills in the Sagaing and Mandalay regions. Some are operating in the post-earthquake. The DISI is leading the inspection team to define the needs that we can support rather than checking compliance with standards. DISI also shares knowledge related to earthquake-resistant construction steel in post-disaster reconstruction to improve structural resilience. The industrial zone also distributes ASTM A615 guides that cover deformed and plain carbon steel bars for concrete reinforcement.
Energy
Yangon boosts electricity from Thanlyin, Thakayta plants
Thanlyin and Thakayta Power Plant projects are aiming for increased power output of 500 megawatts to meet the Yangon Region. The Floating Storage Unit (FSU) for liquefied natural gas (LNG) docked at Thilawa Port, the regasification unit, and Thanlyin 200-MW power plant are initially producing 150 MW to meet growing demand in the region, and efforts are being exerted to generate more power output up to 500 MW. Moreover, efforts are being made to minimize wastage as LNG is a high-cost energy resource, ensure the continuous operation of power generators and maintain the efficiency of the machine. Thanlyin 200-MW power plant is generating an initial output of 150 MW. FSU, an LNG carrier vessel, has docked for LNG supply, and the re¬gasification unit has completed trial operation and started generating the trial output of 40 MW. Power generation has increased to 150 MW starting from 17 December. Those projects will generate increased power output to meet the electricity needs of the public and industrial zones.
Monthly Business Brief, November 2025
Myanmar Monthly Business Brief, November 2025
Economy
Union Government Meeting 5/2025 held
The Prime Minister made the call at the Union Government Meeting 5/2025 of the Republic of the Union of Myanmar, held on 19 November at the Union Government Office. The Prime Minister emphasized that illegal trade harms the country’s economic, social, and security sectors, noting that enforcement efforts across regions and states have already reduced such activities, highlighted newly opened trade routes and ongoing strict border inspections, urged authorities to take legal action, under the Anti-Money Laundering Law, against seized illegal goods, and stressed the need to work towards eliminating illegal trade. The Prime Minister highlighted the need to facilitate the flow of goods, stabilize commodity prices, efficiently manage the rice and other seasonal crop supply chains, and enforce market regulations.
Finance
Kyat Shows V CBM Interventions; Gold and Fuel Prices Fluctuate
The kyat stabled around K4,090 per US dollar at the end of November, reflecting continued depreciation pressure. The Central Bank of Myanmar (CBM) intervened throughout the month, selling millions of US dollars, yuan, and baht to stabilize the exchange rate and support imports of essential goods. CBM injected US dollars 112 million in November, into the edible oil, fuel, and CMP sectors.
Gold prices were increasing throughout the month, closing at 8.7 million kyats per tickle for selling. Domestic fuel prices showed a decrease in November.
14 private banks join oil mill development loan scheme as PFIs
Fourteen private banks have agreed Participating Financial Institutions (PFIs) to operate the oil mills development loan programme, implemented under the State Economic Promotion Fund, in collaboration with the Myanmar Edible Oil Millers Association. Involvement of private banks such as KBZ, AYA, MAB, MCB, UAB, Nay Pyi Taw Development Bank, Ayeyawady Farmers Development Bank, Shwe (Rural and Urban) Development Bank, Myanmar Tourism Bank, Myanmar Metro Bank and Mineral Development Bank. The plan will help oil millers across the country get easy access to loans, upgrade oil mills, distribute high-quality edible oil and reduce palm oil imports.
The domestic consumption of palm oil is estimated at one million tonnes per year, and palm oil worth about US$800 million is imported. There are over 4,250 oil mills running across the country, with over 230 large mills, over 920 medium-scale mills and over 3,100 small-scale mills. The State Economic Promotion Fund allocated K50 billion loans for oil mill businesses in order to reduce edible oil imports, buy raw materials, achieve self-sufficiency, expand, upgrade mills, and develop necessary equipment and new mills. The State Economic Promotion Fund allocated K50 billion loans for oil mill development, with five per cent interest per annum.
Trade
Myanmar earns US$200M from 160,000MT of fish exports in Apr-Oct
Myanmar exported more than 165,000 metric tonnes of fish in the past seven months of the current financial year 2025-2026, beginning 1 April, bagging over US$200 million, according to the Department of Fisheries. Myanmar sent over 85,750 metric tonnes of fish by sea, with an estimated value of $131.846 million. Over 79,350 metric tonnes of fish worth $69.25 million were exported to neighbouring countries via the border channel. Myanmar’s fish export amounted to US$421 million from about 400,000 tonnes in the past FY 2024-2025 (April-March). Myanmar continues to steadily expand its seafood exports, delivering a wide range of marine products to 40 countries, including China, Thailand, Bangladesh and Japan, via both maritime and land routes. Seafood, including hilsa, rohu, catfish, seabass, eel, shrimp and crab, is shipped to foreign markets. There are over 140 fishery cold storage facilities in Myanmar.
Ayeyawady Region plans to set 100,000-acre rice export zone under contract farming system
According to the Ayeyawady Region Government, plans are underway to implement a 100,000-acre rice export zone in the Ayeyawady Region under a contract farming system. The project aims to produce quality rice, those participating in the export zone will work on the basis of four key elements: seed, land, water and technique. The Ayeyawady Region is a region that has been successfully implementing agricultural, livestock and related industries.
Myanmar footwear to penetrate Bangladesh market
Myanmar MSME Cluster Footwear Manufacturers Federation (Central) stated that negotiations are underway to export Myanmar’s footwear to the Bangladesh market by sea trade. Myanmar used to deliver 100,000 pairs of slippers made in Myanmar per day in 2010 through border points. The footwear export halted in late 2015.
Footwear for both male and female is exported to Bangladesh. They prefer durable Myanmar slippers made from tyres. The daily purchase order is estimated at 100,000 pairs.
The federation aims to go to Bangladesh for ocean freight export negotiations next year. Myanmar can supply about 200,000 pairs per day, as Bangladesh has a strong demand. If the negotiation goes well, we will build an industrial ward to supply a million pairs of footwear per month. Made in Myanmar footwear has already gained market shares in Bangladesh. The slipper price is around K5,000 per pair for males and K3,500-K4,000 per pair for females. We could supply the slippers according to that price.
Investment
Direct yuan investment plan in Myanmar set in motion
Myanmar has been implementing to permit investments made in Yuan Renminbi to spur investments in the country, according to a meeting held between the Ministry of Investment and Foreign Economic Relations and Myanmar-China Business Association on 8 November at the Yangon Region Investment Committee’s office. As the Chinese yuan surges in global trade finance, Myanmar is also preparing to accept direct investment in yuan, said Dr Wah Wah Maung, Union Minister for Investment and Foreign Economic Relations.
The US dollar is the sole foreign currency allowed for foreign direct investment. At present, Myanmar is endeavouring to settle the yuan for direct investment by Chinese investors. Furthermore, yuan payment in domestic investment businesses, permit for carrying yuan, making payment directly in yuan to China’s banks and cooperation with the Central Bank of Myanmar to facilitate the yuan-kyat exchange and to open yuan bank accounts were also discussed. The ministry asked Chinese business entities to submit possible difficulties in direct yuan investment.
Myanmar and China, as members of the Regional Comprehensive Economic Partnership (RCEP), have also signed a Myanmar-China investment promotion and protection agreement to safeguard bilateral investments and ensure smooth business operations. The ministry has allowed the formation of Myanmar-China Business as-sociations in regions and states, and reached 25 associations so far. China is the second largest investor in Myanmar, primarily in power, transport and communication, manufacturing, natural gas and agricultural businesses.
Thilawa SEZ to complete modern warehouse, jetty by end-2025
Myanmar Agro Products and General Development Public Company Limited (MAGDPL) is constructing a multipurpose jetty and a modern warehouse in the Thilawa Special Economic Zone in Thanlyin Township, Yangon Region. The project is being developed under the BOT system on Plot 29 of the Thilawa SEZ to handle beans, pulses and general cargo. The jetty and the modern warehouse connected to it are being built on 13.88 acres, and the warehouse will store various beans, maize, sesame, pulses and imported commodities. The warehouse, currently under construction, is scheduled for completion in late 2025. As the facility is located near the jetties, export companies will be able to transport goods abroad with reduced logistics costs. MAGDPL has reportedly invested nearly K5 billion in Myanmar Thilawa SEZ Holdings, Myanmar National Telecom Holdings, Myanmar Kyauk Phyu SEZ Holdings and Myanmar Agro Alliance Terminal Co Ltd.
Monthly Business Brief, October 2025
Myanmar Monthly Business Brief, October 2025
Economy
Loan applications open for rehabilitation in Mandalay quake-hit areas
The powerful Mandalay earthquake that struck on 28 March 2025 caused damage to the homes, factories, and businesses of citizens, including civil servants, in Nay Pyi Taw Union Territory, Mandalay Region, Sagaing Region, Magway Region, Bago Region, and northeastern Shan State.
Low-interest loans with terms of three to five years will be offered using state funds to help rebuild earthquake-affected areas.
- Home and Building Reconstruction Loans (three per cent interest rate)
- Working Capital, Equipment, Water, Electricity, Solar, and Investment Loans for Micro, Small, and Medium Enterprises (MSMEs) (five per cent interest rate)
- Large Factory Renovation and Operational Loans (seven per cent interest rate)
- Temporary Loans for Construction Firms Building State- Owned Infrastructure (seven per cent interest rate)
The banks and non-bank financial institutions participating in the loan programme are AYA Bank PCL, UAB Bank PCL, CB Bank PCL, Ayeyawady Farmers Development Bank, Yoma Bank, Construction, Housing & Infrastructure Development Bank, Myanmar Citizens Bank, Kanbawza Bank, Myawady Bank, Innwa Bank, Best Merchant Finance Co Ltd, and Zega Finance Co Ltd. CBM announced that businesses and individuals in earthquake-affected areas can now apply for loans through any of the participating banks and non-bank financial institutions.
Worldbox Business Intelligence Risk Rating – October 2025
Worldbox Business Intelligence Risk Rating released in October 2025. The risk assessment of a country is made up of four components. Each component is scored out of 10 with 1 being the highest risk and 10 the lowest. Ratings for Myanmar are;
- Overall Risk Score 12/40 (Negative)
- Political risk: Negative 3/10
- Economic risk: Negative 3/10
- Commercial risk: Negative 3/10
- Technology risk: Negative 3/10
ESG Risk: 3/10 (Negative) Environmental, social and governance (ESG) issues are becoming increasingly important to companies, investors and consumers in Southeast Asia.
Finance
Kyat Shows V CBM Interventions; Gold and Fuel Prices Fluctuate
The kyat hovered around K4,060 per US dollar at the end of October, reflecting continued depreciation pressure. The Central Bank of Myanmar (CBM) intervened throughout the month, selling millions of US dollars, yuan, and baht to stabilize the exchange rate and support imports of essential goods. CBM injected US dollars over 130 million and 100 million baht in October, into the edible oil, fuel, and CMP sectors.
Gold prices were increasing throughout the month, closing at 8.3 million kyats per tickle for buying and 8.4 million kyats for selling. Domestic fuel prices showed a decrease in October.
CBM moves to absorb excess liquidity
The Central Bank of Myanmar (CBM) announced on 3 October 2025 at the monetary policy committee meeting that it would withdraw excess liquidity in an economy by increasing the Interest on Average Excess Reserve (IOER) paid to the banks for deposits in Myanmar Kyat beyond the 28 days minimum reserve requirement and setting the IOER interest rate based on the one-month (average) interest rate in the monetary market. Strong money circulation in the economic system led to higher interest rates in September 2024. Increased digital consumption stimulated rising deposits in banking operations. Consequently, CBM hiked the minimum reserve requirement ratio as well.
The meeting highlighted monitoring excess liquidity to ease potential inflationary pressure as the money supply is beyond expectations, and high-interest-rate issues arise. Monetary policies related to stabilizing and recovering the economy, supporting the State’s economic growth targets, reviewing macroeconomic conditions and not hiking interest rates, focusing on exchange rate stability and stipulation of minimum reserve requirement were discussed to tackle inflation. CBM’s move will control inflation and currency depreciation, maximize banks’ interest income and bring about banking sector stability and financial stability, as per CBM’s notification.
Manufacturing
Myanmar garment sector sees 9% export growth in H1 2025_2026FY
Myanmar’s garment export rose by nine per cent in the first half of the current financial year 2025-2026, from April to September, compared to that of the corresponding period last FY. Myanmar’s garment enterprises operate under the Cutting, Making, and Packaging model. European Union member countries, Japan, the Republic of Korea, the US and China place garment orders from Myanmar Myanmar’s top-earning sectors include garments and agricultural produce. The garment leads the export sector. Myanmar’s garment sector plays a pivotal role in the economic development of the country, contributing to the country’s GDP to a certain extent. Myanmar’s manufacturing sector is largely concentrated in garments and textiles produced on the CMP basis. In addition to garments, manufacturing of electronic appliances, footwear, bags, wigs, lenses and cameras is also running under a CMP system. Myanmar Garment Manufacturing Association and other related institutions are exerting concerted efforts to transform from the CMP to a full production model in the country.
Energy
Myanmar, Russia to discuss plans to build oil refineries for distribution at home and abroad
According to the Ministry of Energy, Myanmar and Russia have discussed promising prospects for establishing and operating oil refineries in Myanmar, which would enable the distribution and sale of petroleum products not only domestically but also to countries in the region. The discussions were held between the Ministry of Energy of Myanmar and State-owned Gazprom International Limited and Zarubezhneft JSC of the Russian Federation.
A Myanmar delegation from the Ministry of Energy attended the 8th Russia Energy Week International Forum (REW) in Moscow of Russia from 15 to 17 October. Meanwhile, the Myanmar delegation held talks with General Director Mr Sergey Tumanov of Gazprom International Limited of Russia and General Director Mr Sergey Kudryashov of Zarubezhneft JSC Company of Russia separately.
They discussed investment and cooperation in the exploration, drilling, and production sectors of oil and natural gas, the potential opportunities for conducting energy trading using Myanmar’s deep seaports, and the promising prospects of establishing oil refineries in Myanmar to distribute and sell petroleum products not only domestically but also to countries in the region.
PTTEP, MOGE to jointly explore, drill Mottama offshore gas blocks
At the offshore natural gas blocks M 5 and M 6, located off the coast of Mottama, Thailand’s state-owned oil and energy company, PTTEP International, will jointly conduct oil and natural gas exploration and drilling operations in collaboration with the Myanma Oil and Gas Enterprise (MOGE). The drilling operations at the offshore natural gas Blocks M 5 and M 6 are scheduled to take place from 1 November this year until 30 March 2027. Furthermore, PTTEP is set to carry out the installation of four new platforms and underwater pipeline connection works at the offshore block M 9, also located off the Mottama coast. PTTEP International Limited and the Ministry of Energy (MOE) will soon sign the necessary agreements to enable the implementation of new offshore projects. Meanwhile, PTTEP and the MOE will continue joint exploration and drilling operations for new wells within the Yadana and Zawtika project areas, where both parties are already collaborating.
Tourism
Hpa-an City wins ASEAN Environmentally Sustainable Cities Award
Hpa-an City in Kayin State has won the 6th ASEAN Environmentally Sustainable Cities Award for 2025, an award presented every three years since 2008. The ASEAN Environmentally Sustainable Cities Award, selected by the ASEAN Working Group on Environmentally Sustainable Cities (AWGESC), was presented at a ceremony held on 3 October in Langkawi, Malaysia.
The Kayin State government has announced that it will work together with government organizations, departments, and local communities to sustainably develop the environment of Hpa-an, the capital of Kayin State and winner of the ASEAN Environmentally Sustainable Cities Award. The efforts will focus on ensuring clean water, clean air, and clean land, preserving biodiversity, keeping the land green for future generations, and protecting the natural ecosystems in the state’s tourist areas. In addition, the Myanmar Tourism Federation is promoting ecotourism activities in Kayin State, which offers many attractions that appeal to both domestic and international tourists.