• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business

Myanmar investors on tenterhooks

4 years ago
in Business, highlights, Home, home-news, latest News
2 min read
0 0
0
33
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

Businesses and investors in Myanmar are looking on with trepidation amid concerns over the nation’s political stability, internet connectivity and overseas sanctions.

Widespread protests have kept the international spotlight firmly on Myanmar since February 1, when the armed forces, the Tatmadaw, staged a coup against the now-deposed state counsellor, Aung San Suu Kyi. The coup comes after a landslide victory for Ms Suu Kyi and her party, the National League for Democracy (NLD), at the ballot box in November 2020, which the military claimed to be fraudulent. 

Due to ongoing nationwide protests and intermittent internet shutdowns, businesses now face operating at reduced capacity while unable to contact their employees, whose safety is potentially at risk. Large-scale infrastructure plans have been halted, and the increased supply chain and reputational risks about working with a military-run government is set to affect current and future foreign direct investment flows into the country.

It is too early to say what the effect on this will be, but as investor sentiment has wobbled in recent years due to the Rohingya crisis and a need for infrastructure reforms, this may simply exacerbate a pre-existing trend.

Companies on the move

Janie Wong, a partner at law firm Addleshaw Goddard, says that while some businesses are pulling out, sources on the ground indicate that “there isn’t a massive exodus just yet”.

Following the coup and first week of protests, Japanese beverage company Kirin decided to sever ties with the Myanmar Economic Holdings Limited (MEHL), a military-backed conglomerate, with whom it set up a joint venture. Investors with direct ties to the Tatmadaw are likely to take a similar course of action. 

RelatedPosts

Multichoice Rebuffs Minister’s Claim On DSTV Price Cuts, Cites Market Conditions

MTN Nigeria Now the Most Capitalized Stock in Nigeria

Nigerian Stock Market Creates Largest Pool of Billion-Dollar Stocks in 2025

Japan’s ministry for energy, trade and industry (METI) is looking into other Japanese companies invested in Myanmar and closely monitoring the situation, a METI spokesperson told fDi Intelligence. 

The US has moved to impose sanctions, while the EU and the UK are considering following suit. Thailand-based Amata Corp has said it will “slow down” its $1bn industrial project in Yangon amid concerns over sanctions, which though currently applied to military leaders, have potential supply chain knock-on effects. 

Oil and gas companies, such as Chevron, Petronas and JX Nippon Oil & Gas Exploration and investors in liquefied natural gas-to-power projects, such as Mitsui, Marubeni and Sumitomo, are among those also exposed to similar reputational risks and the potential effects of international sanctions. 

FDI to lose momentum

Myanmar has made moves to boost FDI in recent years, notably by way of establishing special economic zones (SEZs). One is operational, Thilawa SEZ, and many have been developed as joint ventures between local companies and international partners.  

Greenfield announcement monitor fDi Markets, however, shows that investors have been wary of expanding into Myanmar well before the coup. Following the establishment of a civilian government in 2011, fDi Markets tracked a peak year in 2013 but report waning interest ever since, reflecting the risks and difficulties inherent in doing business in the country. 

Now faced with the implications of US sanctions and the risk of operating under intense political uncertainty, foreign investment is expected to lose momentum.  

Kaho Yu, senior risk analyst at Verisk Maplecroft, says that with increased reputational risk on top of the Rohingya crisis, business behaviour in Myanmar will be “screened under the microscope of non-governmental organisations and international human rights organisations” for the foreseeable future. 

China’s orbit 

Despite these headwinds, some investors might not be scared off just yet. Amid US and EU sanctions, eyes are also on Beijing which has so far taken a ‘wait and see’ approach towards the coup. 

Mr Yu expects China to resume efforts to integrate Myanmar into its economic orbit via the China-Myanmar Economic Corridor (CMEC). 

“The current political uncertainty will certainly lead to business disruption, but we expect Myanmar to remain a long-term destination for Chinese investment, particularly in the energy, mining and infrastructure sectors,” he says.

Source: fdiintelligence
Via: norvanreports
Tags: Businesses and investors in MyanmarChina-Myanmar Economic Corridor (CMEC)current and future foreign direct investment flowsintermittent internet shutdownsinternet connectivityinvestor sentimentLarge-scale infrastructure plansMs Suu KyiMyanmarNational League for Democracy (NLD)overseas sanctionspolitical stability
No Result
View All Result

Highlights

OPEC+ Nears Decision Point on Next Oil Output Hike

Europe’s Energy Future Hinges on Global Powers

US Companies Cut Investments in China to Record Lows, Here’s Why

How AI is Rewriting and Enhancing Water Risk Management

SheFarms Broiler Edition Kicks Off in Greater Accra

PharmAccess Ghana, Healthcare Federation of Ghana sign SafeCare License Agreement; to use Newest ISQua-Certified Version 5

Trending

Business

Multichoice Rebuffs Minister’s Claim On DSTV Price Cuts, Cites Market Conditions

August 3, 2025

Multichoice Rebuffs Minister's Claim On DSTV Price Cuts, Cites Market Conditions MultiChoice Ghana has pushed back against...

MTN Nigeria Now the Most Capitalized Stock in Nigeria

August 3, 2025

Nigerian Stock Market Creates Largest Pool of Billion-Dollar Stocks in 2025

August 3, 2025

OPEC+ Nears Decision Point on Next Oil Output Hike

August 3, 2025

Europe’s Energy Future Hinges on Global Powers

August 3, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.