The Myanmar Investment Commission (MIC) approved $1.48bn in foreign investment proposals in the first 10 months of FY2022/23 (April to January), according to data from the Department of Investment and Company Administration (DICA).
In January, $10.7m in FDI proposals were approved in the manufacturing sector, $3.3m in the power sector and $300,000 investment in agriculture, livestock and fisheries.
Total foreign investment proposals approved in each sector to date in FY2022/23 are as follows:
- $820.3m in the power sector
- $413m in services
- $201.1m in manufacturing
- $29m in real estate
- $7m in mining
- $5.3m in agriculture, livestock and fisheries
- $0.8m in hotels and tourism
The power sector accounts for 56% of FDI approved so far this year, with the 11 projects having been given the green light. While the MIC no longer publishes details on specific projects approved, five of these are PowerChina’s solar plants. These projects were approved in July and are under development.
It is also believed that Green Power Energy received approval for the recently completed 20MW Taungtawkwin solar plant in April 2022.
Meanwhile, manufacturing accounts for 13% of approved FDI across 52 projects and real estate 2% for one project.
Manufacturing firms reported to have received investment approvals this financial year include China-based garment makers Weartec Seam Manufacturing Co.,Ltd and Best Garment Myanmar and Japan-based Bago Sports Gloves Co.,Ltd.
Singapore has been by far the largest source of proposed foreign investment at more than $1.16bn followed by Hong Kong ($163m), China ($105.55m) and Japan ($21.4m).
While investment this financial year is now more than double the $647.1m recorded in the preceding six-month FY2021/22 mini financial period, it is a fraction of pre-pandemic and pre-military takeover levels.
It also should be noted that realised foreign investment is typically far lower than the approved figures.
Furthermore, the military-controlled MIC has approved a number of projects for which permit requests were submitted prior to the February 2021 takeover, with the likelihood of these projects moving forward in the current climate fairly low.
