Majority of foreign enterprises primarily pumped into the electricity sector in the past eight months of the current financial year, according to the statistics provided by the Directorate of Investment and Company Administration (DICA). The quantum of investment in power is higher than in any other sectors this year. Last month, Myanmar Investment Commission (MIC) permitted one large project from the UK with capitals of US$2.5 billion for the construction of a liquefied natural gas (LNG) power plant. The electricity generated by this project will be sold domestically and is expected to support the goal of cent per cent nationwide electricity from the national grid by 2030.
During the October-May period, FDI of over $3.758 billion, including expansion of capital and investments in the Special Economic Zones, has flowed into the country. MIC and the investment committees of states and regions gave green lights to 44 enterprises to invest in the country. Of 44 foreign enterprises permitted and endorsed by MIC and the respective investment committees between 1 October and 31 May of the current FY, 23 enterprises pumped FDI into the manufacturing sector with estimated capital of $254 million. Power sector received the largest FDI of $3.12 billion from six projects and livestock and fisheries sector attracted six projects worth $19.2 million.
Other service sector drew five projects (worth $103 million) while agriculture sector pulled two projects (worth $9 million) and one foreign enterprise each entered industrial estate with capital of $81 million and the hotel and tourism sectors bringing in capital of $28 million. Additionally, the existing enterprises raised capitals of $133.5 million in transport and communications sector and $8 million in real estate sector in May. MIC ensures to approve the responsible businesses by assessing environmental and social impacts. The commission is working together with the relevant departments to screen the projects. The Ministry of Investment and Foreign Economic Relations has been inviting responsible businesses to benefit the country.
Source: The Global New Light of Myanmar