Myanmar’s New Construction Sector Development Law

On 4 February, 2026, the National Defence and Security Council enacted the Construction Sector Development Law 2026 (the “Law”) to regulate as well as facilitate the development of the construction sector in Myanmar. It will enter into force on the day the president declares its enforcement by a notification.

Objectives

The Law’s five main objectives are to:

1. Establish policies and standards for the development of the construction sector, and to ensure consistent implementation and effective management.
2. Enable to develop better construction tech­nology that is suitable for the country’s geographical conditions.
3. Ensure that basic infrastructure is of high quality, safe from hazards, disaster-resilient, and environmentally friendly.
4. Enable systematic construction processes and ensure that construction materials are standardized.
5. Ensure the durability of completed infrastructure through regular maintenance, emergency repairs, and operational management according to the intended lifespan.

Who and what are subject to the Law?

The Law applies to construction activities in Myanmar, such as new construction, expansion, renovation, maintenance, and demolition of basic structures and buildings, except buildings made of wood and bamboo, and to individuals and companies providing construction-related services.

Registration requirements

The Law requires that individuals and companies providing construction-related services (“Service Providers”) register with the competent authority and that their services comply with the relevant building laws. In particular, companies and individuals carrying out any of the following need to register:

• Builders (contractors, subcontractors)
• Construction consulting services
• Project management
• Quality control
• Architectural and engineering services
• Third-party organizational review of construction work

Who is the competent authority for overseeing the registration?

The responsible ministry and department for the Law’s implementation have not yet been designated; we expect that this as well as detailed guidance, regulations, and procedures will be provided once the law enters into force.

Penalty for failure to register

Individuals or companies providing services without registering are subject to imprisonment for up to three years, a fine of up to MMK5 million, or both.

Requirement for quality assurance certificate

A quality assurance certificate (“QAC”) is a mandatory requirement for construction materials that will be imported, manufactured, or distributed within the Union. A committee that will be formed will determine the standards for the quality of materials, and QACs will be issued by the designated department if the materials meet the standard based on accredited lab results.

Anyone who imports, manufactures, distributes, or sells construction materials without a QAC will be punished with five years of imprisonment and a fine of up to MMK50 million. In addition, the materials in question will be confiscated.

Prohibitions and punishments

The following are prohibited under the Law:

• Providing incorrect information regarding the project or deviating from the proposed design
• Providing services that do not meet the proper standard building rules and regulations
• Recommending a project without conducting a proper quality assessment or a project that does not meet the proper standards
• Handing over to the project owner a project that does not meet the proper standards without fixing it to meet the standards
• Providing project designs that do not meet the standards in respect of the project or using materials without a QAC

Anyone who violates these prohibitions are subject to imprisonment for a term ranging from three to five years or with a monetary fine ranging from MMK5 million to MMK50 million, or both. Additionally, service providers may be liable for fixing/rebuilding the building to meet the quality standards or paying compensation in the amount needed to do such work, which may be up to 200% of the project’s value. The part of the building that deviates from the design or the permitted number of stories may also be torn down.

Enforcement of the Law will bring significant changes to the construction sector in Myanmar, not only for service providers but also for project owners and suppliers of construction materials.

We will keep you updated on developments about this law—when it becomes effective, the formation of respective committees, the designation of the responsible ministry and departments, as well as the opening of registration for service providers and the certification of materials.