August was a busy month at the National Assembly with most attention going to amendment of the Telecom Law. Central to the amendment are the harsh sanctions on defamation and misinformation using telecommunication means, presently a non-bailable offence. Legislators in both chambers are seeking to recalibrate the provision. Waterways were also discussed through the draft […]

The insurance sector in Myanmar is still in its infancy and dominated by the state owned enterprise, Myanma Insurance (“MI”). Through the Myanmar Insurance Law 1993, MI was empowered to engage in all insurance business activities, permit other insurance companies to issue the type of policies as MI authorizes, and monopolize third-party liability and re-insurance. […]

1. INTRODUCTION After more than 100 years, Myanmar will soon enact a new Companies Act. The current one, Companies Act, 1914 (“1914 Act”), is a product of British colonization. In many regards it falls short of the requirements of companies, shares, stakeholders, and authorities in the economy of the 21st century. A draft for a new […]

The New Companies Act in Practice (1): Foreign and Single Shareholders, Resident Directors andCompanies Exempt from Auditors The Myanmar government has finally proposed to change the Companies Act after more than 100 years. The Draft Myanmar Companies Bill 2017 (“Draft”) was tabled at the Union Parliament, Amyothar Hluttaw for discussions on 21 July, 2017 by […]

The Myanmar Investment Commission (MIC) has announced ten priority areas, according to a statement on the Directorate of Investment and Company Administration’s website. Investors submitting proposals in the area will be given priority, with foreign and local investors welcome to invest in the areas, the statement said.. It is not clear from the statement how […]

The Myanmar regime of investment-related tax incentives has been updated by the new “Investment Rules”, officially known as Notification 35/2017 (“Rules 2017”). One of the key issues for investors is the tax exemption for expansion of projects that already received an MIC permit under the Foreign Investment Law 2012 (FIL). 

The Myanmar government has reconvened the National Minimum Wage Committee with new members in the interest of reevaluating the minimum wage rate. The committee is comprised of economic advisors, representatives of government ministries, labor and employer organizations and is chaired by Minister of Labor, Immigration and Population, Than Swe. The committee aims to establish a […]

Chief negotiators of the EU-Myanmar Investment Protection Agreement met on April 26th and 27th to discuss unresolved issues from the 4th round of negotiations held in December 2016. The discussions focused on the most recent aspects of the EU’s reformed approach to investor protection and investment dispute resolution. Among the key developments, a new code of conduct for […]

In an investment dispute between a foreign investor and the Government of the Union of Myanmar, there are several institutions and rules which can be used.  Highlights of this note What Are the Pros and Cons of ICSID Arbitration for Myanmar Compared to Non-ICSID Arbitration Myanmar’s Dispute Settlement Mechanisms in Existing Investment Treaties Will Myanmar […]

In a move to expand the potential opportunities for foreign investors, the list of activities a foreign investor is allowed to carry out in Myanmar only under a joint venture (“JV”) with a Myanmar citizen or company, has been cut significantly. Highlights of this note Big Winners are Retail, Petroleum Products, Real Estate, Media and […]

On Friday March 31st 2017 the VDB Loi and Latham & Watkins hosted an event entitled “Government Guarantees for Public Private Projects in Myanmar” in Nay Pyi Taw, Myanmar. In attendance were H.E. Kyaw Win, Union Minister of Planning and Finance, U Aung Nai Oo, Director General DICA, U Win Khant, Permanent Secretary Ministry of Planning […]

Myanmar’s Directorate of Investment and Company Administration (“DICA”) has for the first time implemented a transfer of shares in a company wholly owned by Myanmar citizens and registered as a Myanmar company to a foreigner. This is a promising news for a wide-range of business owners and foreign investors in Myanmar, given that attracting a […]

JOI and JBIC Supported VDB Loi Workshop in Tokyo Discusses Upcoming Energy and Infrastructure Deal Pipeline On 15 March, VDB Loi’s Edwin Vanderbruggen and Satoshi Mitsukuri presented a uniquely practical update on Myanmar energy and infrastructure projects. The briefing was sponsored by the Japan Institute for Overseas Investment (“JOI”) and supported by the Japan Bank […]

1. The legal system As the legal system of Myanmar has its roots in the English common law system, laws in Myanmar are similar to English law. 2. Are there restrictions on foreign investment ownership? The Myanmar Investment Commission (MIC) from time to time issues notifications and regulation covering investment by foreign investors in various […]

Myanmar currently has a number of coastline ports, with Yangon being the main port city in the country, handling about 85% of Myanmar’s import and export volume. Ports also see the development of major processing and manufacturing projects around them and the Government is setting Special Economic Zones (SEZ) along some of them (namely Thilawa, […]

In a game-changing move, the Directorate of Investment and Company Administration (“DICA”) has for the first time implemented a transfer of shares in a company wholly owned by Myanmar citizens and registered as a Myanmar Company (“MC”) to a foreigner, without incorporating a new legal entity. To date, it was administratively impossible for foreigners to […]

Slowly but surely, experience is building up with respect to project finance and international corporate finance for companies and projects in Myanmar. With the many different deals that we have completed, we prepared a quick overview of the key things to know. We also touch upon some of the remaining hot issues. Highlights of this […]

“Oh, what a tangled web we weave, when first we practice to deceive”. Dealing with issues arising from the Indonesian tax amnesty has led to some questions on the veracity of the concept underlying this quote: dishonesty leads to more and more complexity as one covers tracks and actions and eventually the ‘perpetrator’ is caught […]