Singapore remains top source of FDI in Myanmar in 2019-2020 FY

SINGAPORE is likely to remain the top source of foreign direct investments into Myanmar in the current financial year 2019-2020, according to the data released by the Directorate of Investment and Company Administration (DICA). The 18 Singapore-listed enterprises brought in US$1.6 billion into Myanmar in the past ten months (October-July). Singapore companies put investments into urban development, real estate, power and manufacturing sectors.Hong Kong stood as the second- largest investors this FY with an estimated capital of $1.37 billion from 46 enterprises, followed by Japan investing $710 million in Myanmar.

Myanmar attracted foreign direct investment of more than $5 billion between 1 October and July-end in the 2019- 2020 financial year, including the expansion of capital by existing enterprises and assets of $116.557 million in the special economic zones, according to the Directorate of Investment and Company Administration (DICA). Myanmar set an FDI target of $5.8 billion in the current financial year. The FDIs flow into oil and gas, power, transport and communications, real estate, hotels and tourism, mining, livestock and fisheries, industrial estate, agriculture, construction, manufacturing, trading, logistics and other service sectors. Both the foreign and domestic investment sectors are not affected by the COVID-19 negative  impacts, said DICA Director-General U Thant Sin Lwin.

Infrastructure projects such as industrial parks and urban development projects are bringing large investments into the country. Myanmar is trying to attract foreign investment by providing tax relief, tax incentives, investment opportunities, and fast processing of proposals. However, the Ministry of Investment and Foreign Economic Relations is inviting only responsible businesses to the country. Singapore stood as the largest foreign investor in Myanmar since 2012, pulling in the FDI of $2.4 billion in the last financial year 2018-2019, $724.4 million in the mini-budget period (April-September, 2018), $2.16 billion in the 2017-2018FY, $3.8 billion in the 2016-2017FY, $4.25 billion in the2015-2016FY, $4.29 billion in the 2014-2015FY, $2.3 billion in the 2013-2014FY and $418 million in the 2012-2013FY respectively. Additionally, Singapore emerged as the second-largest foreign investor in the Thilawa Special Economic Zone, after top investor Japan.

Source: The Global New Light of Myanmar

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