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Companies registered on MyCO exceed 2,000 in four months: DICA

The number of companies registered on the online registry system, MyCO, topped 2,000 in the first four months of this year, the statistics released by the Directorate of Investment and Company Administration (DICA) indicated. The registration and re-registration of companies on the MyCO website commenced on 1 August 2018, in keeping with the Myanmar Companies Law 2017. During Q1 of 2021, the number of registered companies on MyCO was 1,373 in January, 188 in February, 163 in March and 254 in April, the DICA’s statistics showed. At present, 100 per cent of the applicants are using the online registration platform, the DICA stated.

Last year, the figures of registered companies stood at 1,415 in January, 1,298 in February and 1,015 in March, only 348 companies in April, 798 in May, 1,314 in June, 1,650 in July, 1,551 in August, 1,378 in September, 1,693 in October, 1,099 in November and 1,521 in December, as per statistics of the DICA. The figure stood at 1,733 in January 2019, 1,419 in February, 1,108 in March, and over 1,045 in April, 1,411 in May, 1,307 in June, 1,428 in July, 1,302 in August and 1,181 in September. The figures reached a fresh new peak of 2,059 in October 2019. Then, 1,615 new companies in November and 1,772 in December were recorded, data of the DICA showed. When the online registry was launched in August 2018, 1,816 new companies registered on MyCO.

The figure stood at 2,218 in September 2018, 1,671 in October, 1,431 in November and 1,364 in December 2018. In addition, all registered companies need to file annual returns (AR) on the MyCO registry system within two months of incorporation, and at least once every year (not later than one month after the anniversary of the incorporation), according to Section 97 of Myanmar Companies Law 2017. According to Section 266 (A) of the Myanmar Companies Law 2017, public companies shall simultaneously submit annual returns and financial statements (G-5). All overseas corporations must submit ARs in the prescribed format on MyCO within 28 days of the financial year ending, as per Section 53 (A-1) of the Myanmar Companies Law 2017.

As per DICA’s report, more than 16,000 companies were suspended as of September-end for failure to submit AR forms within the due date. Newly established companies are required to submit ARs within two months of incorporation or face a fine of K100,000 for filing late returns. The DICA has notified that any company that fails to submit its AR within 13 months will be notified of its suspension (I-9A). If it fails to submit the AR within 28 days of receiving the notice, the system will show the company’s status as suspended. Companies can restore their status only after shelling out a fine of K50,000 for the AR fee, K100,000 to restore the company on the Register, and K100,000 for late filing of documents. If a company fails to restore its status within six months of suspension, the registrar will strike its name off the Register, according to the DICA notice. 

Source: The Global New Light of Myanmar

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Central Bank of Myanmar Press Release

30 April 2021

  1. Efforts were made to regularly apply the monetary systems and applications that bank and mobile monetary service providers operate through the Internet during the period of temporarily interrupting the mobile Internet. The Central Bank of Myanmar has announced some banks that can provide services to customers on 29 April.
  2. Currently, UAB Bank, Myanmar Apex Bank, Nay Pyi Taw Development Bank, Asian Green Development Bank and Shwe Rural and Urban Development Bank can give the following services — account to account transfer, wallet to wallet, bank to bank and CCT functions of CMB Net of the Central Bank of Myanmar to the public with the use of mobile banking, Internet banking, mobile top-up, other cards top-up, bill payments, Visa/Master credit card payment, MPU cards, all ATMs and Bank Pay.
  3. Mobile monetary service providers, namely Wave Money, OK$, M-Pitesan, MyTel Pay and MPT Money, are giving their services as usual for a mobile top-up, wallet to wallet, bank to the wallet, wallet to the bank, air time top-up, and merchant cash in/cash out.

Source: The Global New Light of Myanmar

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The Central Bank of Myanmar released banks will be allowed to open new accounts from May 3,2021 with no restrictions on cash withdrawals

Banks will be allowed to open new accounts and deposit cash from May 3, and the central bank announced on April 27 that it would allow unrestricted cash withdrawals from those accounts, according to a broadcast on Myanmar Radio and Television. 

From May 3, the public will be allowed to open new bank accounts and deposit cash if they wish to deposit their cash in banks for security purposes.

In addition, those who have opened bank accounts before May 3 will continue to be allowed to withdraw cash in accordance with the Central Bank of Myanmar’s original withdrawal restrictions. According to the press release, arrangements are being made to ease these withdrawal restrictions.

Source: Daily Eleven


Four local banks, eight foreign bank branches, six foreign bank representative offices are allowed to open during the current government’s five-year term

During the current government’s five-year term, four local banks, eight foreign bank branches, and six foreign bank representative offices have been allowed to open, according to figures released by the Central Bank of Myanmar. The local banks that were allowed to open under the current government are Glory Farmer Development Bank; Metal Development Bank; Myanmar Tourism Bank Farmers Development Bank – Mandalay. The foreign banks that were allowed to open under the current government are BIDV Bank (Vietnam); Shinhan Bank (South Korea), E. Sun Commercial Bank Limited (Taiwan), State Bank of India (India), Mega International Commercial Bank (Taiwan), The Korea Development Bank (South Korea); Cathy United Bank (Taiwan), Bank of China (Hong Kong) (Hong Kong).

In March 2020, the number of branches opened by 27 private banks was 1,940, and the number increased to 634 in 45 months, according to the Quarterly Financial Statistics Bulletin (2019 Volume IV) issued by the Central Bank of Myanmar. As of June 2016, there are 515 branches in four state-owned banks in Myanmar, 62 ATMs, 1306 branches from 24 private banks; 1586 ATMs, 10 foreign bank branches, 15 foreign financial companies. There are 45 foreign bank representative offices. As of March 2020, there are 517 branches in four state-owned banks in Myanmar, 93 ATMs, 1940 branches from 27 private banks, 2894 ATM, 13 foreign bank branches, 29 foreign financial companies, 45 foreign bank representative offices. There are six representative offices of foreign financial companies.

In 45 months, the state-owned bank will have two branches; 31 ATMs; Three private banks; 634 branches; 1588 ATMs; Three foreign banks; 14 foreign financial companies; Six foreign finance company representative offices were expanded, and the foreign bank representative office remained unchanged at 45 as of June 2016. In December 2019, deposits in state-owned banks and private banks exceeded 49350 billion kyats, compared to 631 billion kyats in the previous three months. Deposits in private banks increased by more than 854 billion kyats. As of December 2019, the amount of loans disbursed by local banks was over 29695 billion kyats, while state-owned banks provided over 5270 billion kyats. Private banks have lent more than 24,424 billion kyats.

In December 2019, deposits at foreign bank branches totaled more than 4,022 billion kyats, and more than 2,036 billion kyats were disbursed. In order to ensure the security of the entire banking system, banks have to submit reports to the Central Banking Regulatory Commission. Daily reports include capital expenditures. Deposit Loans Money transfer, Income and expenses, Ownership of government securities, Income / Expenditure Account, Test status and daily foreign exchange status. The weekly report to be submitted is the cash flow ratio. Monthly reports include income and expenditure status; Balance Sheet List of capital adequacy ratios and entitlements. Quarterly reports include a list of large debts. Loans by sector and type of insurance to be sent annually. In 2014, nine foreign banks were allowed to open branches in Myanmar. In 2016, there were four branches; Now, in 2020, there will be four branches. Three banks under foreign banks. A total of 17 foreign bank branches; Three foreign-affiliated banks have been licensed.

Source: Daily Eleven


KB Bank Myanmar kicks off its financial services in Yangon

THE KB Bank Myanmar launched its financial services as the first subsidy of the foreign bank yesterday. The opening ceremony of the bank was held at the Lotte Hotel in Yangon and was attended by Yangon Region Chief Minister U Phyo Min Thein, Korean Ambassador to Myanmar Mr Lee Sang hwa, Chairman of Korean Association in Myanmar, President of KOCHAM Mr Park JeongHwan, President of UMFCCI U Zaw Min Win and other officials.

The KB Bank Myanmar is the first subsidy of the foreign bank of Korean KB Kookmin Bank and awarded a banking licence by the Central Bank of Myanmar on 23 December 2020. The bank is opened at 104 University Avenue Road in No (9) Ward o Kamayut Township of Yangon and will serve banking services with new technologies like other local banks.

The CEO of KB Bank Myanmar said,” The bank will offer all banking services like other local banks. It started opening the saving accounts on 11 January. We will keep offering mobile banking services and foreign remittance services in the coming weeks.” The KB Bank Myanmar Ltd will operate 10 branches in Myanmar- 5 in Yangon Region and another 5 in other regions and states during five years.

Source: The Global New Light of Myanmar


Siam Commercial Bank opens in Myanmar

Siam Commercial Bank, the only Thai bank allowed to operate a wholly-owned subsidiary bank in Myanmar, is opening “Siam Commercial Bank Myanmar” in Yangon, according to a press release. SCB Myanmar will leverage its digital banking expertise and strength to elevate financial products, services, and payment systems in Myanmar to fulfil the business requirements of the ASEAN group. The move will open up new capabilities and allow SCB Myanmar to meet the needs of every customer group in Myanmar to the fullest extent possible, whether large corporations, SMEs, or retail customers. SCB Myanmar will also capitalize on SCB’s branch network by bridging regional trade and investment relations among the CLMV+2 countries.

Siam Commercial Bank President SarutRuttanaporn said that the Bank will support the development of financial infrastructure and payment systems even further by offering solutions critical for Myanmar’s businesses and digital finance, in line with the increasing popularity of Myanmar’s digital banking trend. The Bank is now studying the market so as to create satisfactory financial experiences for the people of Myanmar. Their tasks will start from the development of digital payment systems, both a corporate portal for businesses and mobile banking for retail customers. Services expected to be available in 2022, which will help support business payments and reduce cash usage and management costs in the country.

SCB was granted a banking licence to operate Siam Commercial Bank Myanmar by the Central Bank of Myanmar. This development is an important jigsaw piece in SCB, accomplishing the strategic expansion of its overseas network in the CLMV+2 countries over the past several years. With its increasing importance as a regionally strategic country, Myanmar has become one of the top destinations attracting investors from around the world. The country’s strategic location links Asia’s two regional powers, China and India. According to a World Bank forecast, Myanmar’s GDP will resume its former 6 per cent level in 2021, up from the 1.5 per cent level predicted for 2020 due to impacts of the COVID-19 pandemic. 

Source: The Global New Light of Myanmar


Application of import/export permits more secure with Trade Net 2.0

The application of export and import permits online via Myanmar Trade Net 2.0 is secure and can help curb corruption , said the director general at the Ministry of Commerce can be applied online and security systems are in place to protect the user and applicants mentioned during a press conference on Trade Net 2.0. Trade Net 2.0 assists paperless trade – the digital trade.

It partly assists in implementing our e-government system. Data can be securely shared between government agencies and information leakage will not occur. Moreover, it is also mentioned that import and export permits can be applied anywhere at anytime, as long as internet service can be accessed. There is no contact between businesspeople and departments at all. They have also planned to improve security of the the system.

In the banking sector, even if the end user’s account is breached, the culprit will not be able to carry our (transactions) without a One Time Passcode according to the deputy director. The system however does not allow for the application of special permits. These will still have to be applied for in person. There are currently 3,430 people registered with Myanmar Trade Net 2.0. A total of 756 cards related to export and import and 1,617 import permits have been processed with the online system.

Source: Myanmar Times


Myanmar to launch digital land database

Myanmar will launch an online land database soon said Minister of Investment and Foreign Economic Relations. The online land database will be introduced to provide transparency regarding land ownership said by the Minister during a webinar on a ‘New Way of Working with Government’ organised by Myanmar’s British Chamber of Commerce.

Online investment tools and payment processes are also being implemented to simplify and improve security in the investment process. It is also mentioned that Myanmar is seeing a growth in the usage of digital payment systems during the COVID-19 pandemic. People are using online services more than previous years. Some are adapting to online businesses while others conduct meetings online.

The country is also seeing growth in the infrastructure sector citing the Korea-Myanmar Industrial Zone Project and AMATA Smart and Eco City project with Thailand as examples. The Minister also spoke on e-government, digital payment systems and investment opportunities in the financial sector and renewable energy sector.

Source: Myanmar Times


EventNook offers businesses free online booking platform for a year

Although the spread of COVID-19 has slowed recently in Myanmar nobody knows when the pandemic will end, so people have to adjust to the new normal to ensure their businesses can survive. Some businesses have closed to prevent the spread of COVID-19- for example, gyms, beauty salons and clinics. To improve this situation, EventNook of Singapore will offer all businesses in Myanmar free use of its UserRoll booking platform for one year.

UserRoll was launched in July to help customers host virtual events and accept bookings online via the UserRoll Appoiintment and UserRoll Event platforms. The founder and CEO of EventNook said that UserRoll online booking will help services, shops, and businesses in Myanmar safely reopen and adjust to the ‘new normal’ during this unexpected crisis until vaccines and treatment become widely available.

UserRoll Appointment will enable businesses in Myanmar such as beauty salons, clinics, libraries and government offices to reopen and better manage the number of customers through an appointment system and online booking via Facebook and Chat. UserRoll doesn’t require downloading an app. It can be accessed via browsers such as Chrome, Firefox, Safari, and Microsoft Edge on any laptop, PC, smartphone or tablet.

Looking to the future: Beyond 2021, EvenNook hopes that businesses can get back to normal and services such as online booking and crowd control will no longer be required. Digital solutions such as online appointment booking, contact tracing, contactless payment are essential tools in developed countries that have helped services and businesses continue during the pandemic. People may not used to them yet in Myanmar, but in the new normal, everyone has to adapt to these new practices to ensure safety and business continuity.

The new normal: However, since Asia will be the center of growth in the next few decades, EventNook thinks the regional market and urbanisation will grow. Moreover, since COVID-19 has accelerated digitalisation, online registration and booking will become standard procedure in Myanmar sooner rather than later. So, EventNook plans to expand their team and event technology services in Myanmar in the future.

Source: Myanmar Times


Wave Money has transferred MMK 12 trillion (US $8.7 billion) in 2020

During COVID-19 pandemic, as the use of digital financial services has increased, Wave Money has transferred MMK 12 trillion (US $8.7 billion) in the year 2020. The remittance figures raised doubled concerning the last year’s figures K6.4 trillion (US $4.3 billion) according for 11.5% of the county’s gross domestic product (GDP) US $75.5 billion of 2020. From January to December 2020, the number of users of WavePay application has over 1.5 million and the number of agent users has over 3.9 million.

According to the Chief Executive Officer of Wave Money, despite of the different challenges, Wave Money has provided the essential service which has the strive for innovation to reach the million of users, businesses, governments and humanitarian organizations. According to 2020 statistics, the amount of donations and grants in the first wave of April to June 2020 were K 32 billion (US $24 million). Wave Money is the largest financial service network with 68,000 agents and overwhelmed 91% of the country.

From January to December 2020, K 88 billion (US $ 6.5 million) agent fees was paid which an increase of more than 60% over the previous year. Wave Money is currently providing 37 projects including the social welfare programs under the Ministry of Labour, Immigration, and Population, the agricultural loan plan from Myanmar Agricultural Development Bank, the financial support program for mother and child under the Ministry of Social Welfare and the Support Program for garment workers under the Peace Nexus Response Mechanism (NRM) and UNICEF.

Source: Daily Eleven