Myanmar to enjoy investments from Japan, access to trade area under RCEP

Bilateral economic cooperation between Myanmar and Japan will be strengthened during the post COVID-19 period. Stronger ties are needed to ease the impact of the coronavirus on businesses, Japanese officials. Since COVID-19 first struck in Myanmar, Japan has signed three MoUs for infrastructure projects worth of 2199 yen( US$20.5 million) in the country. The first is the Rehabilitation of Vessel Traffic Navigation Aid in the Yangon River.

The Japanese mainly invest in agriculture, livestock and fisheries, production and industry hotels and tourism as well as power.The country has so far invested close to US$2 billion in 120 businesses in Myanmar.Separately, Myanmar is also aimed to cooperate in establishing the world’s largest free trading bloc under the Regional Comprehensive Economic Partnership(RCEP). The RCEP is a proposed free trade agreement(FTA) in the Indo-Pacific region between the ten member states of the Association of Southeast Asian Nation(ASEAN).

Discussions to sign the RCEP commenced in 2012 and is expected to be signed at the ASEAN Summit Meeting in November.Through the RCEP, Myanmar has opportunities to gain access to a large and diversified market, both in terms of revenue and investments. Moreover, Myanmar can cooperate with developed nations and its other emerging peers to improve its own laws for the development of the country’s economy. It can also raise its economic image on the global scale from being a part of the world’s largest trading bloc.

Source: Myanmar Times

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