Evaluation of the new foreign investment law in myanmar. Specific legal advice should be sought in relation to investment in myanmar. Investor means a myanmar citizen investor or foreign investor who invests within the union in accordance. Salient details of myanmars new foreign investment law loi. Union government means the union government of the. Attorneygeneral lawauditorgeneral lawlaw amending the myanmar red cross society act, 1959adaptation of expressions lawunion of myanmar foreign investment law. We would like to show you a description here but the site wont allow us. Although the foreign investment law is repealed, the myanmar investment commission formedby that law shall have the power to perform its duties until the date that. Investment law update myanmar garment manufacturers. Commission means the myanmar investment commission formed under this law c. There will be a new type of myanmar investment commission mic approval process, referred to as the mic endorsement.
Myanmar companies act and enterprises formed in accordance with the laws of any other country are also included. Section 57 of the new law repeals the foreign investment law of the union of myanmar 1988 1988 fil. Exceeding the 35% ownership threshold would render the company a foreign company, and therefore subject to restrictions under the myanmar investment law. In 2018, myanmar enforced a new companies law to ease local investment opportunities. Myanmar state media details new foreign investment law. Analyzing myanmars new foreign investment law asean. Ministry of investment and foreign economic relations. Pdf the role of foreign direct investment fdi in myanmar. The following expressions contained in this law shall have the meaning given hereunder. However, bylaws implementing the new mil have not been issued yet and as such the rules issued under the old myanmar. Download alert legal alert 19 january 2017 update on foreign investment in the last week, two important matters have occurred which are relevant to foreign investment in myanmar. On 2 november 2012, president thein sein signed into law myanmars new foreign investment law the new fil, replacing the previous union of myanmar foreign investment law of 1988. As of november 2015, 1024 enterprises have been permitted to conduct business under the myanmar foreign investment law. The foreign investment law the pyidaungsu hluttaw law no.
Unofficial translation october 10, 2016 chapter 1 title and definition 1. The president of the union of myanmar signed the myanmar companies law the new law on 6 december 2017. Myanmar foreign investment law implementing rules table of contents prohibited activities joint ventures restricted activities procedural information on 31 january, 20 the ministry of national planning and economic development of myanmar released new detailed regulations to augment the 2012 myanmar foreign investment law fil. Now available for download, the vdb loi translation of the 2012 myanmar foreign investment law law nr. Through these laws, foreign investors may choose to establish a foreign branch office in myanmar.
Aung hla tun, myanmar parliament passes investment law. Charltons does not currently advise on the law of myanmar. A new foreign investment law fil has passed the union parliament of myanmar the parliament, an important step in myanmars economic liberalization. Myanmar has finalised a new foreign investment law as it seeks to exploit what the international monetary fund has described as an historic opportunity for it. The following expressions contained in this law shall have the. Guide to the myanmar investment law berwin leighton. Foreign direct investment in myanmar increased by 734. This means that nobody can deny the importance of myanmars new foreign investment law. This law shall be called the foreign investment law. The investment law, which passed the lower house of myanmar s legislature on september 28 th and the upper house on october 5 th, was signed by president htin kyaw on october 18 th and represents further liberalization of the southeast asian nations foreign investment laws and rapidly changing economic environment. The directorate of investment and company administration dica has issued a consultation draft of the rules under the myanmar investment law 2016 mil. On 30th march 2017, the ministry of planning and finance, therefore, published the myanmar investment rules mir under the myanmar investment law 2016 mil as notification no. Foreign investors may also wish to locate in an sez and for this they will need to apply for an sez permit. Ministry of investment and foreign economic relations mifer.
Naypyitaw the myanmar government submitted a draft of the new myanmar companies law to the upper house on thursday. Foreign investors can now hold up to 35 percent of shares in a local company. Does your company have investments or operations in myanmar or is it seriously considering investing or operating there. Myanmar investment opportunities what you need to know. The mil, the investment rules and the myanmar companies law 2017 are the key pieces of legislation underpinning the governments efforts to attract foreign investment to myanmar.
Yangon region investment committee yric is the investment approval agency for investment enterprise according to the myanmar investment law in yangon region. The new law provides corporate tax reductions for foreign businesses investing in myanmar and eases conditions for longterm real estate leases. Here is the collection of books shared by many vistors by online and by post. In response to growing investors interest in myanmars finance sector amid ongoing market liberalisation, key players in the microfinance industry gathered on tuesday at an event in yangon, the nations hub of commerce. The myanmar investment law 2016 mil was enacted to replace the foreign investment law 2012 and the myanmar citizens investment law 20 on 18th october 2016.
Myanmars new foreign investment law allows overseas firms to fully own ventures and offers tax breaks and lengthy land leases, state media said on saturday, releasing details of legislation. If you have any questions on this notification for the myanmar investment commission, the regulations of the foreign investment law, or on other myanmar legal or tax matters, feel free to contact me. The foreign investment law the pyidaungsu hluttaw law no 212012 the 3rd waning of thadingyut, 74 me 2nd november, 2012 the pyidaungsu hluttaw hereby enacts this law. Myanmar investments international limited mil or the company was the first myanmarfocused investment company admitted to trading on the aim market of the london stock exchange. In this newsletter, we have outlined certain key developments in this new law. An opinion piece by daniel aguirre, icj international legal adviser based in yangon, myanmar. A foreign investor may apply for and obtain a permit under the foreign investment law for an economic activity. Myanmar update on foreign investment baker mckenzie. As a foreign investor it is important that you understand the objectives of the foreign investment law as we want to invest responsibly, by focusing our investment into areas that are profitable for us and at the same time is beneficial to the myanmar people. Myanmar myanmar investment law investment laws navigator. Myanmar companies law english and burmese version from dica pdf 1.
Myanmar invites foreign investment in microfinance. By the way, our team in yangon has expanded with a number of lawyers and tax advisors. However, bylaws implementing the new mil have not been issued yet and as such the rules issued under the old myanmar foreign investment law continue to be in effect to the extent that they are not contrary to the new mil. This law shall be called the myanmar investment law. Myanmar foreign investment tracking project the unofficial myanmar language translation of this response is available here 1. The myanmar law information system is a website providing service of the myanmar law information. Phyu yamin myat, general secretary of myanmar microfinance association, told the firstever microfinance success asia event in the country that foreign businesses are. Combines the foreign investment law 2012 and the citizens investment law 20 proposals under the new law submitted since april 2017 distinguishes between citizen investor and foreign investor. Charltons accepts no responsibility for its completeness andor accuracy.
Myanmar foreign direct investment 20122019 data 2020. Take note that this video on investment opportunities in myanmar is now obsolete with the introduction of the new myanmar investment law. Foreign investors who wish to undertake specific business activities in myanmar may rely on the foreign investment framework available under the myanmar companies act, the 2012 myanmar foreign investment law and the 2014 sez law. T he new myanmar investment law mil was enacted on october 18 2016, replacing the previous foreign investment law 2012 fil 2012 and citizens investment law 20 myanmar investment commission application process. Myanmar investment law draft 2016, pyidaungsuhluttaw law no. From 1 august 2018, foreigners are able to own up to 35% of a myanmar company, without changing the characterisation of the local company. Myanmars investment outlook for 2019 asean business news. The dica regularly provides information on investment permit applications that have been granted by the mic. Rachel saw, myanmar foreign investment law passed, news ibfd nov.
While the exact contents of the new law have yet to be finalized, many of its key features have already come to the surface. Liberalization of the education sector, and wholesale and retail trade for foreign companies and joint venture companies have been implemented with the new legislation. The fil clears up many mysteries related to myanmars investment environment. The details of implementation will be further announced under new notifications, and expected to be in force in mid2018. A newly drafted investment law much awaited by investors eager to access myanmars market has been completed and will be submitted to the hluttaw photo at its next session. New myanmar foreign investment law enacted charltons.
Foreign investment by country directorate of investment. This page provides the latest reported value for myanmar foreign direct investment plus. Myanmar, no matter how large or small, or whether being made by local or foreign investors, it is important to have an. The role of foreign direct investment fdi in myanmar. Myanmar finalises new investment law financial times.
Whilst the investment policy is not sector specific, in assessing which sectors the company may invest in, the following themes are considered. The myanmar citizen investment law and myanmar foreign investment law have been repealed with effect from 18 october 2016. Foreign investors are interested in the energy, hotel and marine sectors in rakhine state, said thant zin lwin, acting directorgeneral of the directorate of investment and company administration dica currently, according to the myanmar investment law, the myanmar investment commission mic is largely dealing with the types of investments worth five million us dollars and above, where. Myanmar investment law burmese version18102016 approved 1. New foreign investment rules fi rules are expected to be adopted that will clarify and add details to certain provisions of the law. Foreign investment overview for myanmar myanmar 2016. The investment law combines the previous myanmar citizens investment law with the foreign investment law, ending myanmars status as the only asean member with separate investment laws for citizens and foreigners.
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