Myanmar Monthly Business Brief, August 2026

Economy

Myanmar and Russia discuss exploring business opportunities

The Myanmar-Russia Business Forum 2026 convened on 20th at the GV Plekhanov Russian University of Economics in Moscow. Speaking at the forum, Chief Minister of Taninthayi Region U Zaw Naing Oo emphasized that the Dawei Deep Sea Port project, being developed in cooperation with Russia, offers a strategic alternative for global maritime commerce.  Highlighting its geographical advantages, he noted that direct access to the Andaman Sea allows cargo vessels to bypass the Strait of Malacca, reducing transit times by four to six days.

The chief minister added that the port is directly connected to Thailand and Vietnam via the Southern Economic Corridor, enabling 24-hour transit between the Indian and Pacific oceans.

He also highlighted the port’s proximity to Myanmar’s major offshore natural gas fields, located about 45 kilometres away. He assured investors that investments are protected under the country’s investment laws and Special Economic Zone (SEZ) frameworks.

Deputy Minister for National Planning, Investment and Foreign Economic Relations U Thant Sin Lwin presented investment opportunities in Myanmar, while Director of the Roscongress Investment Fund Mr Shatirov Sergey Vladimirovich discussed matters of investment.  Deputy Minister for Commerce U Min Min outlined Myanmar’s trade opportunities, focusing on priority initiatives within SEZs.

21 rice export zones established across over 10,000 acres

There are five zones in Nay Pyi Taw Council Area, nine zones in Ayeyawady Region, and seven zones in Yangon Region, totalling 21 zones on 10,504 acres under cultivation for export-oriented paddy production. On 15 August, MAPCO officially designated five zones in Nay Pyi Taw and hosted a ceremony at its Nay Pyi Taw rice mill and bran oil factory, providing K200,000 per acre to 549 farmers in those zones. Each farmer also received one seeder per 100 acres. The ceremony was attended by the Union Minister for Cooperatives and Rural Development, the Union Minister for Industry and MSME Development, the Chairman of the Nay Pyi Taw Council, deputy ministers from the Ministry of Commerce and the Ministry of Agriculture, Livestock and Irrigation, council members, departmental officials, representatives from the Myanmar Rice Federation, MAPCO Group officials, and farmers.

Finance

FE market rate stabled; Gold Prices Fluctuate

The kyat value was K4,327 per US dollar on average at market selling rate in July. Online trading through the Central Bank of Myanmar (CBM) throughout the month, trading millions of US dollars, yuan, and baht to stabilize the exchange rate and support imports of essential goods. According to CBM, online trading amount of US dollars 141 million, Thai baht 1.3 billion and Chinese Yun 402 million was recorded in August.

16 Peye Gold price was increased as 10.2 million kyat in August from 9.6 million kyats at end of July.  Domestic fuel prices were at K 3,710-3,815 per litre in Octane and K 4,240-5,140 in diesel at the end of August which were increased than July prices.

KBZ denies system breach

KBZ Bank has announced that its banking security systems have not been breached or hacked, following its latest investigation.  In its statement, KBZ said it has always focused on security measures to protect its customers’ privacy.

It has also urged customers and the public to follow the following security tips to protect their bank accounts and personal information.

“They are: don’t click suspicious links or unexpected links, protect your account with advanced security measures such as 2FA verification or biometric systems, use antivirus software on your laptop or computer, don’t share secret information, and never type your login password and OTP in unknown links delivered via email, SMS or social media.

When you feel uncertain whether you might be prompted to enter your bank account data via a phishing link, you can contact the KBZ hotline at 09 951018555 or customer-service@kbzbank.com.”

Trade

Auto parts sector tops FX buying on online trading platform

The automobile and motorcycle spare parts sector accounted for the largest share of foreign currency purchases on the Central Bank’s FX Online Trading Platform on 26 August, The sector’s share stood at 47 per cent of total foreign exchange buying, followed by other goods and nontrade transactions at 29 per cent, medicines and pharmaceutical raw materials at nine per cent, industrial raw materials, fertilizers and electronic goods at three per cent each, fuel oil at two per cent, consumer goods, construction materials, agricultural inputs, and animal feed and supplies at one per cent each.

 The central bank also noted that proceeds from the CMP sector were channelled back to the CMP sector through the platform. The strong demand for foreign currency in the auto parts sector is linked to the growing popularity of electric vehicles (EVs) such as BYD, Geely, and Toyota bz4X, driving demand for EV spare parts and battery accessories.

Investment

MIC approves 14 new investment projects

The Myanmar Investment Commission (MIC) approved 14 new investment projects that create over 3,300 jobs on 15 August.

The meeting approved two new foreign investment projects from the capital increase of ongoing investments and six new local investment projects in the industry, two new local investment projects in the service, three new local investment projects in the electricity sector and one new local investment project in the housing sector. The investment amount of these businesses is US$140 million and K1,178,731 million, which can create 3,336 job opportunities.

The businesses included fuel retailing, development, construction, sale and rental of affordable housing, construction of solar power plants for electricity generation and sale, assembly, manufacturing and sale of cargo motor vehicles under the SKD system, assembly, manufacturing, distribution and sale of electric two- and three-wheel motorcycles under the SKD system, assembly, manufacturing, distribution and sale of various types of motor vehicles, assembly, manufacturing and sale of various types of tractors for agricultural use, healthcare services, manufacturing and sale of various consumer electrical appliances, manufacturing of various plastic sheets and plastic bottles under the CMP system, manufacturing of various types of footwear, and food production.

As of the end of July 2026, among the 48 foreign countries, Singapore, China, and Hong Kong SAR are taking a leading role with the largest foreign investments in the country. Of the 12 sectors, the electricity sector accounts for 28.06 per cent by drawing the most significant investments, followed by the oil and natural gas sector at 20.41 per cent and the industrial sector at 15.47 per cent.

Manufacturing

Notice of MSME Development Fund Management Body

MSME Development Fund Management Body announced support measures for MSME.In order to promote the development of micro, small and medium-sized enterprises (MSMEs), the MSME Development Fund has been established with capital contributed by the State. Loans from the fund are being provided to MSMEs in the Nay Pyi Taw Union Territory and regions and states at concessional interest rates through Myanma Economic Bank, Myanma Agricultural De­velopment Bank and 16 private banks, either against collateral or under the Credit Guarantee Insurance (CGI) system.

Entrepreneurs wishing to obtain MSME loans must apply for loans at the relevant Township/District MSME Agencies. The terms and conditions for MSME loans are as follows:

(a) Maximum loan amount for an MSME – Micro and small enterprises — up to K50 million , Medium-sized enterprises — up to K100 million , Loans under the CGI system — up to K50 million , (Myanma Insurance, three private joint-venture general insurance com­panies and six domestic private general insurance companies

(b) Loan types and interest rates– Loans for which at least 30 per cent of the funds will be used for fixed capital: maximum loan term of three years; interest rate – 3 per cent. Loans for which 100 per cent of the funds will be used as working capital: maximum loan term of one year and six months; interest rate – 4 per cent. Loans provided under the CGI system: interest rate – 5 per cent. (Borrowers obtaining loans under the CGI system will be required to pay the CGI premium in addition to the 5 per cent interest rate.)

(c) Types of collateral that may be submitted for loans –  Land and buildings , Machinery and equipment , Savings certificates , Government treasury bonds ,  Fixed deposits (term deposits) ,  Pledgeable securities ,  Credit Guarantee

(d) Types of land accepted as collateral – Ancestral land, land grant, Lana (39) Land, (3) (a) Land, Laya (30) (a) (b) Land, Farmland use certificate form (7), industrial/business grant

(e) Types of buildings accepted as collateral- Reinforced concrete (RC) buildings, brick-and-concrete buildings, masonry buildings, brick-enclosed garage buildings, steel structures, condominium units in buildings of six storeys or above

Therefore, MSME entrepreneurs wishing to obtain loans from the MSME Development Fund may apply for loans by submitting eligible collateral. Those unable to provide collateral may apply for loans under the Credit Guarantee Insurance (CGI) system for a maximum amount of K50 million.