Myanmar has the potential to be one of the most promising destinations for investment opportunities in Asia

Myanmar, a fast-growing economy in Southeast Asia, is receiving greater attention due to favorable demographics, a formidable resource endowment and a location at the apex of China, India and Thailand. The last fifty years have seen Myanmar struggle to overcome prolonged economic stagnation under the previous government. Yet substantial reforms to both the country’s political system and its economy have created huge opportunities. Investment has increased markedly with FDI growing from USD1.9 billion to USD9.4 billion in the last five years. This sizable FDI growth has the potential to translate directly into rapid and sustainable GDP growth over the coming years. For these reasons, Myanmar has the potential to be one of the most promising destinations for investment opportunities in Asia.


Risk Mitigation As Myanmar emerges from more than fifty years of authoritarian rule, internal forces, supported by external actors, are making tentative steps towards opening up the country’s economy to international investors. The Asian Development Bank predicts GDP growth to accelerate over the coming year, with predicted GDP growth rates of 7.7 percent in 2017 and 8.0 percent in 2018.President Htin Kyaw came to power in 2016 and is looking to reduce corruption and initiate a series of important infrastructure projects. Increasingly, Asian investors and those from further afield are recognising the potential of this truly frontier economy.
Legal Following market reforms, demand for real estate across sectors increased significantly, particularly in residential. Driven by the movement of expatriates into the principal commercial center, Yangon, prices exceeded some areas of Manhattan. At this stage, foreigners were legally prohibited from purchasing condominiums or apartments. On January 22, 2016, however, the Condominium Law was passed by parliament which will enable investors to gain exposure to this dynamic market. There are a series of provisions and the legislation is yet untested, however, it offers hope to those interested by Myanmar's growth story.
Regions In Propeterra's Myanmar report, we focus on Yangon (formerly Rangoon), Mandalay and Bagan. Most activity is concentrated in Yangon, however, interest is also growing in Mandalay, partly due to direct air travel from India and China. Bagan, meanwhile, is a popular tourist destination with potential for UNESCO designation, and the hotel sector merits analysis. Our 2017 report will also include analysis of the country's capital, Naypyidaw.

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