Bangkok--3 Jun--KPMG
KPMG launches comprehensive report of infrastructure in Myanmar with an overview of the opportunities available for the private sector.
Prospective investors in Myanmar’s rapidly expanding Infrastructure sector now have a new guide to turn to. Titled Infrastructure in Myanmar, it was launched today by KPMG in Myanmar ahead of the World Economic Forum on East Asia.
An underlying theme of this report is that Myanmar has a massive economic potential, said Mr Satya Ramamurthy (Satya R), Head of Government & Infrastructure, KPMG in the Asia Pacific. In addition to KPMG International Global Chairman Michael Andrew, Satya and other senior leaders at KPMG member firms will be attending the World Economic Forum on East Asia, which will be held in Nay Pyi Taw during June 5-7.“Myanmar is a country hurtling towards a market economy over a period of months,” said Mr. Satya R, “For foreign investors, upcoming opportunities for joint ventures and investments would be in the under-provided power, transport and telecommunication infrastructure. The Myanmar government has already announced a roadmap to develop these sectors, with procurement tenders out for development of airports and granting of telecom licenses.”
KPMG’s Infrastructure in Myanmar report is a must-have guide for infrastructure companies planning to enter the Myanmar market. The report is available on www.kpmg.com/mm or click here.
Opportunities in the Myanmar Infrastructure sector
There are significant gaps in Myanmar’s infrastructure development. According to the Logistics Performance Index (LPI) published by the World Bank, Myanmar was ranked 133 out of 155 in 2012. This presents opportunities for private sector investment across several sectors.
KPMG’s new report brings together key information in areas of physical and social infrastructure into one guide. It identifies opportunities in areas such as:
Roads: Under the Framework for Economic and Social Reforms, immediate priority will be given to infrastructure projects improving land connectivity and transportation links with regional economies to boost economic integration.
Railways: Under the same framework, the Government has also committed to improving the quality of railroad sections connecting important economic centres in the country to promote regional equity and as part of the Singapore-Kunming Rail Link project.
Ports: These have the potential to become regional transportation hubs serving markets in China, India and the Indo-China region. Deep water ports are currently being jointly developed at Dawei and Kyaukphyu and there is interest in developing ports in Thilawa, Sittwe, Kalegauk and Bokpyin.
Airports: Plans have been announced by the Government to add two international airports in central Bago and in the Dawei special economic zone. Plans have also been released to redevelop Yangon and Mandalay airports.
Energy & Power: Myanmar’s power sector is underserved and investments in energy generation, alternative energy and pipelines are coming in rapidly. Opportunities exist for investments in the generation, transmission and distribution of power.
Telecommunications: To increase mobile phone density and internet penetration, a Information and Communications Technologies (ICT) Master Plan has been announced along with plans for new telecommunication and Cyber laws and the privatization of state-owned Myanmar Post and Telecommunication.
Special Economic Zones (SEZ): Three key SEZ projects have been announced — the Dawei Special Economic Zone, Kyaukphyu Economic and Technology Zone and the Thilawa Special Economic Zone near Yangon. Seven new local industrial zones will also be added.
Social infrastructure: The Government has committed to undertaking education sector as well as healthcare sector reforms.
“There are more roads to be built. More railways are needed. More ports and airports are in the pipeline to support the expected heavier traffic. Growing consumption will need more energy and power. More Special Economic/Industrial Zones are needed to drive the economic growth,” said Satya.
“Given the government’s strong interest in rural development and improvements to social infrastructure, we can expect that new projects will be launched and we are excited about what business opportunities these infrastructure gaps represent,” concluded Mr Satya R.