Myanmar launches first stock market
The Yangon Stock Exchange (YSX), Myanmar’s first-ever stock exchange market was opened on 9 December 2015.The companies first listed at the exchange are: First Myanmar Investment, First Private Bank, Great Horkham, Myanmar Agrilbusiness Public Corporation, Myanmar Citizens Bank, and Myanmar Thilawa SEZ Holdings. It is learned that these companies will start selling shares in late February or early March, 2016. The YSX is capitalized at over US$ 32 million and is a joint venture between the state owned Myanmar Economic Bank, the Daiwa Institute of Research and the Japan Exchange Group. The MEB holds a controlling share of 51 per cent while the Daiwa Institute of Research and the Japan Exchange Group holding 30.35 per cent and 18.75 per cent respectively.
According to Dr. Maung Maung Thein,current Deputy Minister for Finance, who is also the chair of the Myanmar Securities and Exchange Commission, among the 10 securities companies that have been selected as players in the exchange, Kanbawza Bank Ltd has been licensed to provide services. The remaining companies will licensed later.
Special Trade Preference s for Myanmar
Myanmar has been excluded for the last 27 years from the United States Generalised System of Preferences (GSP). The GSP was set up in1974 to strike duties off imports from122 countries. According to a US Embassy spokesperson, the United States has resumed review of Myanmar’s eligibility for GSP benefits. Under the GSP Statute, a country has to meet various requirements to be eligible for GSP which include, among others, the protection of internationally recognized worker rights and the provision of adequate and effective protection of intellectual property rights. These are among the considerations in the review of Myanmar. The spokesperson also said that the US will, beyond GSP, continue to review all their policies towards Myanmar, including economic and commercial engagement in light of the recent elections which represents a significant step forward in the democratic transition.
At present, bilateral trade between Myanmar and the US for the year ending in October was just over $300 million, according to the Ministry of Commerce.
US sanctions relaxed on Yangon Port
A general license has been issued by the US Treasury Department to allow trade to pass freely through Yangon’s blacklisted Asia World Port Terminal and other key infrastructure hubs,including Yangon International |Airport and all other trade links. The move is expected to boost the minimal bilateral trade between Myanmar and the US and constitutes Washington’s first relaxation of sanctions on Myanmar since the elections on 8 November.
11 December 2015