By Nyein Nyein
Foreign direct investments of approximately US$500 million flowed into the country per month over the past four months of the 2019-2020 financial year, said U Thant Sin Lwin, Director-General of the Directorate of Investment and Company Administration (DICA).
The quantum of FDI was higher than domestic investments made by Myanmar citizens, he said.
“A higher quantum of FDI and more foreign investment projects were witnessed in the first four months of the current fiscal. The FDI net inflow was over $1.9 billion (approximately $500 million per month),” said U Thant Sin Lwin.
With steady FDI inflow in the current fiscal, Myanmar is likely to reach its FDI target of $5.8 billion, set under the Myanmar Investment Promotion Plan (MIPP), he said.
The Myanmar Investment Commission held six meetings in the past four months (October-January). The number of those seeking MIC permits was higher than those applying for endorsements, according to the DICA.
“At previous meetings, enterprises seeking MIC permits were more than those applying for an endorsement. All the businesses applying for endorsements received approval. However, 82 per cent of businesses which applied for MIC permits were given the greenlight. Businesses with negative social and health impacts were restricted,” said U Thant Sin Lwin.
“Other types of businesses also need to seek approval from the President’s office through the related department of the region or state. The opinions from the related ministries are also needed. If a business can affect the environment, it will be suspended. Businesses have been asked to comply with the rules and regulations. After a field inspection is conducted, a business can again re-apply for permit. The MIC will issue guidelines for failed proposals. In general, about 10 projects are approved at every meeting,” he added.
In the current financial year, the power sector topped the FDI sector line-up, with investments of $1.02 billion, followed by the real estate sector with investments of $601.9 million, and the transportation and telecommunication sector with $145.4 million. (Translated by Ei Myat Mon)
By Nyein Nyein