Acumen Business Magazine

17/10/2015

Timeline Photos

21/03/2015

The rise of online usage in times when print media is having to struggle to survive is causing a transformation in the media world.

STRUGGLING TO SURVIVE :The future of print media in Myanmar
By Hein Zaw
ACUMEN Magazine
Vol 2,No-11
Coming soon...

10/12/2014

Strengthen Candia CSR: Canadian Way
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Minister of International Trade, Ed Fast, announced to globally enhance corporate social responsibility (CSR) with the stretegy of _Doing Business the Canadian Way: A Strategy to Advance CSR in Canada’s Extractive Sector Abroad.
For the sake of strengthens Canada’s leadership and earned reputation for excellence in CSR, the minister urged to Canadian investors around the world to follow the CSR strategy. "Our Canadian companies are already world leaders, and the enhanced CSR strategy will ensure Canada’s leadership and reputation of excellence continues in the future," said Ed Fast.









https://www.facebook.com/CanadainBurma/photos/a.1518451125051752.1073741843.1421359581427574/1585810068315857/?type=1&relevant_count=1

Read More Canadian CSR Stretegy
http://www.international.gc.ca/media/aff/news-communiques/2014/11/14a.aspx?lang=eng

11/08/2014

Myanmar needs more infrastructures to attract foreign direct investment. The more Myanmar is attractive, the more foreign investment will come. It is out of question that investment is one of pillars to promote economic development. Marge Landmark has entered into Myanmar with the vision “Make more beautiful Myanmar”. A project of the landmark is to construct a Dagon City 1 in the downtown of Yangon. So, for this month exclusive interview, I hope that the idea of Dr. Stephen Suen, chairman of Marga Group, would be helpful to develop Myanmar real estate market, sharing his valuable knowledge and experience.

Wait and Read "Make more beautiful Myanmar: Interview with Dr. Stephen Suen"

By Khaing Minn Nyo
ACUMEN Magazine,Vol-2,No.4
Coming soon...

16/07/2014

Yangon Stock Exchange
Is Myanmar ready to launch it?
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There may be some excitements that the Yangon Stock Exchange (YSE) will be a treasure trove for local investors. There may also be expectation that a high market for active investment will appear in Myanmar's economic sector. But also with those expectations there appear to be much anxiety over the challenges concerning YSE.
By Hein Zaw
ACUMEN Magazine,Vol-2,No.3
Coming soon...

08/07/2014

Hi Uncle Sam,
welcome to Myanmar.

16/06/2014

Acumen Business Magazine

Acumen Business Magazine

B2B Connecting Myanmar's Businesses to the World

14/06/2014

What is the most import to grass root of food ,
clothing and shelter?

By Myitmakha

Ko Kyaw Zan Soe was thinking uneasily about when he would be able to own a house for his family.As the rental fees in the neighborhood of Thingangyun Township where they lives gradually increased since mid of 2013, he had to look for another place.

They have now rented a house in Dagon Myothit Township (North).
‘‘Of all the food, clothing and shelter needs in life, shelter is the most important. You can resist the hunger by drinking water to a certain extent if you have no food. But you can't stay by the roadside if you have no place to live. I wish to own a house for my family. Maybe I would one day."
Ko Kyaw Zan Soe, father of two children works in a pharmaceutical industry in Yangon.
‘‘My salary is K200,000 and my wife who works at a mobile phone sales center earns K150,000. We have to struggle to make ends meet by dividing the right amounts of our income for food, shelter and education for my children. We are anxious about rental fees which keep changing. The time passes very fast even without notice but we have not owned a place," he said.
There are a large number of people all over the country who have been living under constant worries about their apartment because they cannot afford to own one.
Of the population of nearly six million in Yangon, only less than one million own a place for their living, U Phyo, manager of Lin Aryon Construction Company in Yangon said quoting a comprehensive survey his company conducted last year.
It is obvious the property ownership is beyond the reach of ordinary people. The price keeps going up, he added.
For the poor and the company employees with the income level of Ko Kyaw Zan Soe's family, talking about the ownership just for a land plot with a small house is like building castles in the air let alone expensive flats, condominiums, detached houses, all of which are worth hundreds of thousands of kyats.
While the government has called low cost flats for the one with K15 million, it is a matter of affordability and the majority cannot afford to buy these flats.
People hope to own an affordably priced flats or houses for which they can pay in reasonable installments.
Some construction companies say that they have been implementing Yadana housing project and Ayeyarwun housing project for low incomers in Dagon Myothit Seikkan Township and a population of 80,000 can live in more than 20,000 flats of the eighteen-storey 48 buildings after completion of the projects.
‘‘Grass roots like us can't afford such flat worth more than K10 million as we have to struggle to make ends meet. I want the government to create the housing projects cheaper than those so called affordably priced flats," said Ko Kyaw Zan Soe.
It is necessary to have a link among construction companies and the government and banks so that anyone who has a job can apply for a mortgage to own a flat.
Construction and Housing Development Bank will give thirty-year home loans to low income people who have not owned houses with 4 per cent annual interest rate and the bank will provide such loans only to those with basic income who can pay regular mortgage, according to the Myanmar Times.
It should be noted that only more than four per cent of Myanmar's population can open bank accounts provided that installment plan is practiced, Dr. Lin Aung, Deputy Minister for Finance & Revenue said in a session at Pyithu Hluttaw.
At present, the price of a typical six-storey flat in downtown Yangn is more than K30 million and rental rates for such a space is between K100,000 and K150,000 a month, Yangon's real estate agents say.
The property rental market is on the upswing and sales have been slow for the property in early 2014, according to industry sources in Yangon.
Housing trade was doing well in 2012 but it was not the case in 2013 due to the soaring prices following more foreign investments and rental charges have risen by an average of K100,000, realty agents say.
‘‘In 2012 property sales were up. But the sales went down in 2013. Since the start of this year it is the rental market that is doing better than sales," said a responsible person from the Real Estate Agency.
The rental fees of a condo flat in six most popular downtown areas is averaged around K3 million per month which is about 1 million higher than the price last year and a tenant is required to make a contract for at least one year.
‘‘Property is slightly active despite some people's comments that it has depressed. Rental market is growing because there are more people outside of Yangon come here to work. We've found that businessmen from China and Japan mostly rent flats for opening shops," said Ma Tin Tin Khine of a real estate agency in Yangon.
The property market was flat while there are shortage of flats to let in downtown townships owing to the influx of demand from SME businessmen from China, Japan and South Korea.
Rental charges for a 12'x50' flat have surged from around K300,000 per month the previous year to around K600,000 this year, according to major real estate agents.
Unless Yangon Region Government's fixed rate of revenue is reduced, only rental market may be on the upswing and property prices may be higher than ever, according to real estate agents.
House rental market will hold up well as there are 20,000 annual housing needs by the growing population in Yangon, according to a survey of the Myanmar Engineering Association.
‘‘Most of the tenants are young people who have come from other townships to Yangon to work. The second groups are families. As each of the young people can earn only around K80,000 - K100,000 a month, they have to spend half of their income on rental fees. That's why their living conditions may be low," said U Lin Phyo, property agent in Bahan Township in Yangon.
Now more and more people who are facing high rental fees choose to share a flat or a house with other families or individuals in Yangon.
‘‘My younger brother and his wife rent a narrow room of a hostel paying K40,000 a month. They have not difficulty in living there as they have no children. But as my family has a couple of children, we can't live in a narrow room like them. If we have no child, my wife and I would have lived in such a room like them," said Ko Kyaw Zan Soe.
Although some Hluttaw representatives promised to fill the housing need, they are not yet in a position to fulfill their promise at the moment, he said.
‘‘The actual need for low income people in Myanmar is housing. Of food, clothing and shelter that human beings need, shelter is the most important. We distributed pamphlets with objectives that we will implement housing projects so that everyone can have own house paying for it in installment during the election campaign. Although we have often tried to submit this matter to Hluttaw, we have failed to propose it because we have been dealing with other issues that are more important in the sessions of Hluttaw," U Khine Maung Yi, Amyotha Hluttaw representative of Ahlone Township was quoted as saying in the Weekly Eleven Journal.
Population in Myanmar has grown from 39.3 million in 1988 and 57.37 million in 2008 to 59.12 million in 2009, according to figures released by the Ministry of Immigration & Population.
With an increase in population, shortage of housing has escalated and there are many land disputes and many protests against land confiscation.
Ko Kyaw Zan Soe's family is still worried about how to solve the house problem if rental would be raised by landlord after six months although it is still convenient for his family to stay in the house recently rented.

14/06/2014

An urgent issue in the soft drink industry
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By Myitmakha

A lottery ticket seller stopped by a grocery store to order a can of Max soft drink one hot summer day last month in Yangon.

The 30-year old man gulped down the soft drink right after he opened up it and wiped out his lips and chin with his hand.
He put on his small dull cap and went out of the store feeling refreshed again to continue selling lottery tickets around the ward. It is a common lifestyle of people in Yangon.
U Khin Maung Win, owner of the grocery store ‘Lapyae Win Store' said some street vendors and push-cart sellers like the lottery ticket seller wandering in the sun normally stop by his store and buy chilled soft drinks to relieve their thirst.
‘‘The higher the temperature, the stronger the sales of soft drinks are. We have to keep enough soft drinks," the grocery owner said.
There are a number of brands of which most are local-made but some imports are available at his store. He said that the number of those who buy soft drink in can is greater than those who buy drinking water because one local soft drink is available at K100 while one bottle of drinking water is priced at K300.
During the hot season his store sells about 200 cans of soft drinks while the sales drop to 80 cans during the rainy season and cold season, he said.
Although sales are peak during summer, they are also moderate during other seasons, he added.
‘‘I sell both cans and bottles of soft drinks delivered by to our shop by companies. One thing is I have not seen the dates of manufacture and expiry on them. I don't know if those soft drinks are wholesome or not. The companies deliver many brands such as Cola, Crusher, cold milk and soya bean milk. I think many can afford to have it because prices are between K350 and K400. Taste is normally sweet which is Myanmar's favourite," said an owner of a tea shop in Hledan of Kamaryut township in Yangon.
Some street vendors say that demand for soft drink cans on ice rises together with the temperature and many pedestrians prefer soft drinks to drinking water.
‘‘I sell soft drinks on ice in the small box. In my betel quid shop, I have the brands most customers ask for. There are many brands with prices ranging from K200 to K400 for a can or bottle here. Demand drops if they are expensive," said Ma Tin Tin U, owner of a small betel quid shop near the pavement of Theingyi Market.
Many people buy soft drinks in can to quench their thirst and soft drink sellers may not know whether the ones in the market are wholesome or not, she said.
There are more than 100 soft drink brands, most of which lack the recommendations of the Ministry of Health.
With increase in domestic consumption, there is a rise in competition among each other and consumers should choose specific soft drink good for health, some market watchers say.
‘‘I sell about 30 soft drinks, twenty are local products and ten are imported brands. Some are made in Thailand and local brands are in higher demand. Other imported brands are selling slightly lower than the locals. Of course, different people have different tastes," said Ko Tha Htoo Aung of Pwint U Soft Drink Wholesale near Nyaungbinlay Market.
Although there is a portion of market for expensive soft drinks, the majority of the market has been taken up by the cheaper local brands, he said.
As soft drink is much cheaper than drinking water, soft drink companies are pouring into the country and there are both legal and illegal productions here. And there is no guarantee for health, according to Myanmar Consumers Union.
‘‘Myanmar market prefer sweeter brands to normal ones. That's why the rate of patients suffering from diabetes has risen up. Six per cent of people suffer from diabetes in the whole country while 12 per cent of Yangon's dwellers suffer from it, said Dr Tint Swe Lett, rector of No. 2 Institute of Medicine in Yangon.
As diabetes is dangerous, people should choose water if they are thirsty and they should quench their thirst with soft drink with less sweetness, he said adding that all should look before they leap.
‘‘There is no date of manufacture and expire on soft drink cans and no list of soft drink produced locally. Customers are not aware that they should not have such soft drink without expire date," said U Maung Maung, secretary of Myanmar Consumers Union.
He continued that detail information and list cannot be available as some businessmen illegally produce the drinks at home and some smuggle them into the country although some people register their businesses under Food and Drug Administration (FDA) and small industry businesses.
‘‘I was shocked to hear the discovery of some fungi in the Deedo soft drink made in Thailand. But demand has not decreased. That is still in demand. People here keep drinking such kind of soft drink even though they have heard the news. Most of the people in our country have little knowledge on health. Now I have read the news in some weeklies that Deedo soft drink is wholesome according to FDA," Dr Than Sein of People Health Foundation said adding that consumers should choose just the wholesome soft drink among various brands.
Health awareness campaigns need to be promoted because there are reports some people suffered from diarrhoea although the soft drink they had had not expired. People should not trust and rely only on its expire date alone. The choice should also depend on how it has been stored, say the sources of Myanmar Consumers Union.
‘‘As we are living from hand to mouth, just health alone can't be given priority. Since we have to make a living from dawn till dusk, we have not enough time to read what health is. That's why we are not aware of which kind of soft drink is good for our health. We buy soft drink calculating how much money we should use for it depending on our income if we want to," said Ko Myint Kyaw, a trishaw driver in Pabedan Township.
He added that as a trishaw driver it is impossible for him to avoid going out in the sun and he wants to quench his thirst with soft drink in spite of having drinking water and he can't help having soft drink as refreshment even though sometimes he can't stop coughing with too much drink.
Although the soft drink market has been booming in Myanmar since 2000, the quality on various soft drinks in the market has been overlooked, say the market watchers.
Who is responsible for the health of the people? The government needs to address this issue urgently if it really cares about the health of its people.

14/06/2014

The Property Market Dominated by Sino
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By Myitmakha

‘‘You know Mandalay, the capital of the last two Myanmar Kings is the heart of Myanmar people, but many businesses have moved into the hands of the Chinese entrepreneurs," said a property broker in Mandalay.
He said that the Chinese come to control a large share of the economy in Mandalay following an influx of the people into Myanmar over the past 20 years.
As in other business areas, the property market in Mandalay has been dominated by the Chinese.
Although the property trade is slightly booming in Yangon, the commercial city of Myanmar, the property market in Mandalay has been flat for about two years.
Farmers were not allowed to own farmlands apart from taking up farming in Myanmar before and now that they are entitled to farmland ownership, they come to pawn, sell and lease their property.
As a sequence, the prices of farmlands have soared all over the country and sale of farmlands has entered the property market as a rough market.
Real estate agents and other brokers say that farmland market that comes into bloom because of farmland ownership has resulted in depressed property market.
‘‘I have four acres farmlands. I have pawned an acre of farmland for K450,000 and I had to redeem that loan to take my farmland back after a couple of years. I imagined selling off it at that time. I am lucky enough not to sell off it. You know, land prices come to creep up," said U Tin Aung, farmer of Patheingyi Township in Mandalay Region.
Some farmers become interested in selling off their farmlands because they have surged in price from K4 million per acre during 2010 to more than K10 million earlier this year, but some who have pawned or sold theirs because of financial difficulties cannot afford to buy those farmlands again, the prices of which are higher than for those they have sold off them.
Realty agents say that the property market in Mandalay has fallen into the hands of Chinese businessmen speculating on the market with the assistance of local businessmen and some of the jade hunters and the property market in Mandalay depends on their speculation.
The property trade that was booming over 2012 became nearly dead starting from July 2013 and the property market got depressed since Chinese businessmen have been watching the market situation suspending their speculation in property after rise in tax on land, market watchers say.
‘‘The property market was mostly booming during 2012. Property was selling like hot cakes the whole year. After December 2013, the trade has been flat as of today. It is because speculators have been watching the property market stopping their speculation in property in the hope that foreign investors will enter Myanmar after ASEAN members practice free trade zone," said U Tin Maung, owner of Tun Thitsar Real Estate Agency in Mandalay.
Buyers are not interested in purchasing farmlands for the time being although farmland prices have dropped from around K15 million per acre before to only K10 million in consequence that foreign investments have not entered the country as expected after a further devaluation of the dollar, the property agents say.
Unlike the market in Mandalay, the property prices have skyrocketed in real estate market of Yangon where most businessmen have their base making Myanmar among the highest property prices in Southeast Asia.
‘‘There are no longer those who want to keep farmlands in their hand. They may watch the market as farmland prices have fallen. I think other markets may be active providing that the market in urban area has boomed again. At the moment the property market is nearly dead," said U Myint dealing in farmlands and other land plots outside Mandalay.
There are two types of property market in Mandalay; the first is called the soft market in which standalone houses, flats and condominiums are dealt in and the other is known as the rough market where farmlands and other land plots mostly outside of Mandalay are traded.
Local residents prefer affordably priced land plots in the rough market outside Mandalay to those, the prices of which are prohibitive in the soft market downtown and they'd rather build their house according to their will than buy the property at must higher prices in the downtown area.
‘‘Local residents buy land plots outside Mandalay to design and build their own houses to settle there. They want to live in their own houses built by themselves rather than living in the buildings that other people have constructed," said a forty-year-old resident in Mandalay.
Mandalay's residents say that the property prices have been creeping up since the arrival of the Chinese whose families were originally from China and it seems that they have gradually moved from China to Myanmar one group after another although no one can exactly say how and when they have come here.
‘‘The property was selling like hot items during 2011-2012. Both muddy land and land plot filled with bushes had taken off at that time. Then the property trade has been flat starting from early 2013 until now. Some real estate agents have to stop their business. I can keep operating my business because I am a local resident. At the moment, supply exceeds demand. In dealing in property, those who want to settle here mostly buy the land plots," said broker U Myint of Mandalay.
Real estate agents say that it may take about three years to see the property prices are on the rise because economy has not grown significantly just as the fluctuation of property prices is unstable due to speculation.
‘‘We call speculative investment in property as fake demand. When such businessmen speculate on the property market, the property prices are always subject to variation. A purchase that those who will really live in is called real demand. It takes long time to see the property prices have risen or fallen," said an agent of Hnin Wei Wei Real Estate Agency.
It is said that both the slack domestic trade including jade dealings and lack of foreign investments in the region have also driven the property market to be depressed.
‘‘The variation of the property in Mandalay depends on jade merchants as well. They also participate in speculating on the property market provided that they have made a healthy profit on their business. The bubble finally burst as the Chinese authorities have raised tax on jade import and come to scrutinize jade entry into China. That's why the slack jade dealings affect the property market," said U Tin Maung, owner of Tun Thitsar Real Estate Agency.
However, demand from property rental market has been on the increase since 2012 because some of the Chinese businessmen manipulate the rental market as they are not entitled to land ownership according to Foreign Direct Investment Law although they really want to speculate on the rough market rather than the soft market, say local residents.
However, some of the Chinese plot with Myanmar's local Chinese to purchase land plots on the rough market, a particular favorite of the speculators because they can make a healthy profit on dealing in land plots, the prices of which are raised buying such affordably priced plots.
‘‘The property prices are exorbitantly high in downtown area in comparison with those in the outlying area. Speculators like the land plots and farmlands priced low in the outlying rather than expensive property. They can make a good profit on speculating on such land plots. So they take an interest in the rough market rather than the soft," said a responsible person of Htet Real Estate Agency in Mandalay.
Mandalay based real estate agencies conclude that it is still difficult to judge the conditions of the property market in Mandalay this year because supply outpaces demand at the moment.
It is important to reveal who speculate on the property market to ensure that the real estate market becomes a stable market and may land prices look up again only if there are a lot of businesses based in Mandalay, businessmen say.
Mandalay residents say that it is necessary to examine whether the property speculators are citizens or not because citizens may encounter the event that they will have to purchase land plots priced very high from the businessmen from China speculating on the market in cooperation with local Chinese.
Myanmar people should protect themselves with national spirit from being dominated by foreigners in every work site of both rural and urban areas around the country, urged U Aung Zan, regional minister for economy and planning in Mandalay Region.
‘‘Chinese businessmen lease the farmlands from the local residents or purchase them to have crops grown. Then they will take profits with them when they return to China and they sn**ch at the market," he said.
Some of Mandalay residents suggested that local residents and the authorities concerned should cooperate with each other in protecting themselves from being exploited by foreigners by reporting foreigners' economic activities to the authorities so that they can levy taxes on their business.
Local people want the government to control citizens' land trade with foreigners or locals linking with them to avoid foreigners' exploitation, said U Tin Tun, chair of Gold Dealers Association in Mandalay.
Foreigners, especially Chinese businessmen have their eye on land in the country taking an interest in investing here after many reforms of the civilian government.
Myanmar is well known as the golden land that is rich in natural resources although it stands with just a population of around 60 million between a couple of super power countries, India and China, both of which have more than 1.3 billion people.
‘‘Chinese people dominate 80 percent of the businesses in Mandalay and their domination is rampant everywhere. They do various businesses here," Mandalay resident Ko Min Min said.

14/06/2014

SMEs need more support for economic development
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By Myitmakha

The government's projects for development of small and medium enterprises still need to improve a lot and in many cases they are not conducive at all to the SME and people from grass root level, a woman living in Yangon's Thaketa township commented.

The 28-year old Ma Wai Wai Aung's family has moved from Pazundaung to Thaketa about three months ago due to rising rental fees in the former place that she couldn't afford anymore.
But the problem for the woman at the new place is the drop in income due to less customers for her betel nuts.
In the new place, the house rent is much less than the previous place.
However, the drastic drop in sales of her betel nuts is making her life more difficult for survival.
No one knows exactly how many people like Ma Wai Wai Aung have been suffering silently.
‘‘We are facing really hard times after we have moved here. Sales of betel nut in Pazundaung averaged K30,000 a day as I had many regular customers. Now, sales dropped even to K10,000 a day," she said.
There are many small enterprises like Ma Wei Wei's facing facing the same problem of increase in rental charges for living, according to small and medium enterprise (SME) development committee.
Soaring rental charges for shops and offices since 2011 is a serious challenge to those running small businesses in Myanmar.
Most of the people running small enterprises often have to move to the places that are suitable for their business because they don't have their own apartment a shop.
The exorbitant rental charges of land and shop are undermining the success of small and medium enterprises, according to SME development committee.
Moreover, insufficient investment and inability to take out bank loans at low interest rates are hindering the development of medium enterprises, say the sources of SME development committee.
‘‘Our factory has been closed down for several months because of the suspension of demand from abroad. It is no longer convenient for us to continue operating the factory owing to financial difficulties during the demand stop. When we think of applying for bank loans, there are so many steps to follow. We are required to have many recommendations, approval and signs. It is hard to take out bank loans even though we have had documentation. I hope our factory will reopen one day," said U Khin Maung Win, manager of Shwe Khit Rubber Factory in the industrial zone of Dagon Myothit (East).
Just as a business composed of 10 to 50 workers with a capital less than K1 million using 3 HP to 25 HP of electrical power is categorized as a small enterprise, a business that consists of 51 to 100 workers with a capital between K1 million and K5 million consuming 25 to 50 HP is recognized as a medium enterprise.
Although it is said that the government is encouraging the small and medium enterprises to grow, merely applying for a business registration is still a burden to ordinary people. And if they want some bank loans, can they get it only if they have something to mortgage.
Some business analysts have said that small and medium enterprises have gradually tailed off on account of such constraints.
‘‘Even as a woman running a small betel quid shop, I don't want to borrow some money from my mother. How is it convenient for us to overcome many steps in mortgaging something to have loans? It is inconvenient for us to give K2,000 or K3,000 of bribe to the staff in the process," said Ma Wai Wai Aung.
Some SME owners say that those who are close to the authorities have more opportunity of getting loans from the government in comparison with ordinary people running their business.
SME Development Bank has disbursed from K20 million to K5 billion to the borrowers depending on their mortgage. Giving loans to 62 businessmen for K10 billion with 8.5% interest rate starting from 2012 and giving loans has been suspended due to budget shortage, said U Tin Maung Htay, administrative director of SME development bank.
SME owners say that they have difficulties because they are now allowed to ask loans and open accounts from the SME development bank and four points including SME insurance and transferring money have been banned according to the government's instruction.
‘‘Although six points relating to banking SME have been permitted, the government has instructed the bank authorities to ban four points. The government should allow us to conduct them according to law," said Ko Lin Thu Zaw, manager of Auto Selection Car Showroom.
In addition, as owners of small enterprises do not usually have SME insurance, they are suffering from economic deprivation, say the SME owners.
‘‘As the SME owners are not allowed to have SME insurance, how will they do in case of loss of something? We need to have that insurance because we are doing business without much capital," said Ma Let Let Aung of Bicycle and Spares Shop in Sawbwargyigon of Insein Township.
Of the 126,958 industrial businesses in Myanmar, 126,237 businesses are small and medium enterprises.
‘‘We see both the government and civil society organizations are trying to set up stock market in Myanmar. But it is important to know what the main source of income is in Myanmar. If it is known well and it has been developed, the country's GDP rate will grow," said Mr Daglan Albert, German advisor for Myanmar economy.
Myanmar is now chair of ASEAN and some are concerned that SME might disappear because of lack of technology, skills and quality control when the economic integration called ASEAN Economic Community (AEC) among ASEAN member countries is launched in upcoming years, Myanmar economic analysts point out.
‘‘We've arranged for business registration in the same place so that businessmen can easily do it. Moreover, we have explained to them how to do," said Dr Thein Aung, deputy chairman of SME development committee.
SME is the key to economic development for a developing country and super power countries like the United States hold such key, according to World Trade Organization (WTO).
‘‘For instance, the giant companies like Toyota and Mazda order some parts of vehicles from SME apart from types, engines and important devices, assembly of the vehicle parts and spraying automobiles. That's why SME will never disappear. The government should really encourage SME development," said Ko Lin Thu Zaw, manager of Auto Selection Car Showroom.
Accordingly, the government should provide businessmen in need of help with what they need rather than explaining their policy, rules and regulations to encourage SME in Myanmar, said Mr Daglan Albert.