Central Bank of Myanmar cancels foreign exchange licences to protect struggling Kyat

» Posted on Nov 4, 2015 in Highlights

Central Bank of Myanmar cancels foreign exchange licences to protect struggling Kyat



Central Bank of Myanmar cancels foreign exchange licences to protect struggling Kyat


Central Bank of Myanmar cancels foreign exchange licences to protect struggling Kyat

The Central Bank of Myanmar (CBM) has revoked foreign exchange licenses issued to hundreds of businesses ranging from hotels to hospitals, in a bid to control the “dollarisation” of the Myanmar economy and protect the Myanmar Kyat. The cancellation of licences is intended to promote the use of the Kyat in the payment for goods and services and to encourage the use of domestic debit cards and credit cards, internal payment cards and online payment systems. The CBM has decided to revoke licenses after consulting international experts, including experts from the International Monetary Fund. According to the letter of notification issued by the CBM, all hotels, travel agencies, restaurants, duty free shops, airlines, hospitals, freight forwarders, telecom enterprises, media, apartments, super markets, souvenir shops, gold clubs and the military-owned Union of Myanmar Economic Holdings Ltd are required to revoke their currency exchange licenses. (Source: http://www.irrawaddy.org/business/central-bank-revokes-forex-licenses-to-control-dollarization.html, 18 October 2015)


Bumrungrad and Yangon International Medical Services to establish clinic in Myanmar

Thai private healthcare firm Bumrungrad Hospital Public Company Ltd (Bumrungrad) has announced that it has been granted permission to open a clinic in Myanmar. Bumrungrad will establish a local subsidiary Bumrungrad Myanmar Company Ltd in which local company Yangon International Medical Services Company Ltd will take a 20% share. Bumrungrad proposed to spend about 11.4 billion baht (or approximately US$320 million) on new projects from 2015 to 2018.(Source: http://www.irrawaddy.org/business/the-irrawaddy-business-roundup-oct-17.html, 17 October 2015)


Adidas to source footwear from new Myanmar manufacturing facility

Taiwanese footwear producer Pou Chen Corporation (Pou Chen) has announced it will produce Adidas football boots at its new Yangon manufacturing facility. The new facility which is expected to be operational before the end of 2016 could employ up to 10,000 workers. Pou Chen expects to achieve an initial output of 300,000 pairs of shoes per month increasing to 800,000 pairs by 2019. Adidas currently sources footwear from one other Yangon facility owned by Shyang Jhuo Yue Company Ltd. Adidas currently sources from Pou Chen’s facilities in mainland China and Indonesia. (Source: http://www.irrawaddy.org/business/the-irrawaddy-business-roundup-oct-17.html, 17 October 2015)


Green Power engages Black & Veatch to provide design services on solar power plant project

Kansas-based infrastructure development firm Black & Veatch Holding Co. Ltd (BV) has been engaged by Green Earth Power (Thailand) Ltd (Green Power) to provide design and consultancy services in relation to the development of a 220 MW solar power plant on a 344-hectare site 200 kilometres west of Naypyidaw. Construction of the project – billed as the largest solar power plant in Southeast Asia – is set to commence during the first quarter of 2016. The plant is expected to be built in four phases over 30 months at a total cost of US$350 million. BV, which provides design services to renewable energy, power generation, water and oil and gas projects, has recently established a local office in Yangon to coordinate its activities in Myanmar. (Source: http://www.mmbiztoday.com/articles/american-firm-design-sea-s-largest-solar-plant-magway, 19 October 2015)


Proximity Designs to distribute new affordable solar powered irrigation pump to rural Myanmar

The Myanmar-based not-for-profit social enterprise Proximity Designs (Proximity) has commenced distribution of ‘The Lotus’ “the world’s most affordable” solar powered irrigation pump. The Lotus promotes sustainable agriculture and provides long-term savings for customers who no longer need to buy diesel fuel for engine pumps to irrigate crops. Proximity claims The Lotus pump can save farmers up to US$300 a year. Unlike noisy diesel engines that are inconvenient to operate. The Lotus is silent and easy for women and children to use. Designed specifically for the Myanmar market, it is a submersible pump that fits neatly into the two-inch (50mm) wide tube-wells commonly found in rural Myanmar. At its widest, The Lotus is 49mm in diameter and includes two 260W solar panels. Costing just US$345 The Lotus is the most affordable solar irrigation pumps in the world. (Source: http://www.mmbiztoday.com/articles/local-social-enterprise-designs-affordable-solar-irrigation-pump, 25 October 2015)


London School of Marketing to establish ‘local access point’ in Myanmar

The London School of Marketing (LSM) has announced it plans to open a regional centre or ‘local access point’ (LAP) in Myanmar. The Myanmar LAP will allow attendees obtain a British qualification without having to travel from Myanmar to the UK. The LSM said Myanmar was a natural choice of location for its next LAP as it is such a vibrant country with an emerging group of young professionals who want to further their career with a British qualification. Through the LSM’s online study platform, students will be able to access course information as well as interact with academics and fellow students. The LSM is now looking for “an entrepreneurial partner” to provide the school with space for 10-15 computers, fast, secure internet access and meeting room facilities. (Source: http://www.mmbiztoday.com/articles/london-school-marketing-seeks-local-partner-myanmar-expansion, 28 October 2015)


Atos SE and Myanmar Millennium Group enter into IT service partnership agreement

French IT services company Atos SE (Atos) has entered into a partnership agreement with the Myanmar Millennium Group (MMG). Atos and MMG will cooperate to offer Atos’ financial systems to banks in Myanmar. Atos provides a range of specialist banking services, including programmes to manage current and savings accounts, deposits, loans and collections. Atos will also provide supplementary services including consulting and design services, applications transformation, rationalisation and migration, testing and acceptance management, comprehensive security and access management services, smart mobility and contextual services and IT outsourcing, data management and applications management. (Source: http://www.mmbiztoday.com/articles/french-firm-atos-launches-banking-solution-myanmar, 28 October 2015)

    Myanmar Foreign exchange licenses revoked

    Central Bank of Myanmar

    Solar powered irrigation pump

    Central Bank of Myanmar revokes foreign exchange licenses to protect Myanmar Kyat

    Central Bank of Myanmar bid to control dollarisation of Myanmar economy

    Proximity Designs distribute affordable solar powered irrigation pump, The Lotus

    Bumrungrad Hospital Public Company Ltd to open clinic in Myanmar

    Pou Chen Corporation produces Adidas football boots at new Yangon manufacturing facility

    Myanmar solar power plant

    London School of Marketing establish local access point in Myanmar

    Myanmar Millennium Group and Atos partnership agreement
    Solar Water Pumps
    Solar Irrigation Pumps for Farming
    Solar Powered Watering System

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