tag:blogger.com,1999:blog-65121218902642586702024-03-08T15:50:16.315+06:30Myanmar Law BlogLincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.comBlogger25125tag:blogger.com,1999:blog-6512121890264258670.post-1065314303168795002016-09-28T14:38:00.000+06:302017-04-15T14:40:52.515+06:30Seminar invitation: Investing in Myanmar's power sector<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; text-align: justify;">
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<b>Date and time<o:p></o:p></b></div>
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Thursday, 27 October 2016, 2:30pm - 4:00pm<o:p></o:p></div>
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<b>Place<o:p></o:p></b></div>
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Sule Shangri-La, 223 Sule Pagoda Road, Yangon<o:p></o:p></div>
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<b>Topics<o:p></o:p></b></div>
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<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -17.1pt;">
- Institutional and legal framework of the power
sector</div>
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<span style="text-indent: -17.1pt;">- Opportunities for foreign investors in power
generation: selling turnkey facilities; construction and operation of
coal-fired, gas-fired and hydro power plants; power generation with renewable
energy</span></div>
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<o:p></o:p></div>
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-Opportunities for foreign investors in supply,
engineering and distribution<o:p></o:p></div>
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- Project documentation: MoA, BOT contract,
power purchase agreement, fuel supply agreement</div>
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<span style="text-indent: -17.1pt;">- Land issues</span></div>
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<span style="text-indent: -17.1pt;">- Project finance</span></div>
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<span style="text-indent: -17.1pt;">- Government guarantees</span></div>
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<o:p></o:p></div>
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<b>Speakers<o:p></o:p></b></div>
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<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l1 level1 lfo2; text-indent: -17.1pt;">
- Sebastian Pawlita</div>
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<span style="text-indent: -17.1pt;">- U Nyein Chan Zaw</span></div>
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<o:p></o:p></div>
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<b>Language<o:p></o:p></b></div>
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English<o:p></o:p></div>
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<b>Fee<o:p></o:p></b></div>
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The event is free of charge.<o:p></o:p></div>
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<b>Registration<o:p></o:p></b></div>
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Please register by sending an e-mail to sebastian@lincolnmyanmar.com
or nyeinchanzaw@lincolnmyanmar.com, stating the name of your company and the
names of the participants.<o:p></o:p></div>
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<div style="text-align: justify;">
<br /></div>
<div style="text-align: justify;">
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com3tag:blogger.com,1999:blog-6512121890264258670.post-79190560146865401392016-08-07T14:36:00.000+06:302017-04-15T14:37:00.661+06:30National economic policy<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">Much
has been made of the government’s perceived “vague and thin” national economic
policy announced on 29 July 2016 (<a href="http://tinyurl.com/jtzqs2p">http://tinyurl.com/jtzqs2p</a>),
but this criticism fails to take into account that there exists a detailed
industrial policy (<a href="http://tinyurl.com/zbz54j8">http://tinyurl.com/zbz54j8</a>);
Frontier Myanmar provides a good summary (<a href="http://tinyurl.com/jauqk28">http://tinyurl.com/jauqk28</a>).</span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: Calibri, sans-serif;"><span style="font-size: 14.6667px;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com1tag:blogger.com,1999:blog-6512121890264258670.post-2777860286313615452016-08-07T14:19:00.000+06:302017-04-15T14:35:20.686+06:30How foreigners can engage in trade<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;">A few
days ago, Aeon, a Japanese supermarket chain, announced (</span><a href="http://tinyurl.com/zt9yask" style="font-family: Calibri, sans-serif; font-size: 11pt;">http://tinyurl.com/zt9yask</a><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">) that its
Myanmar joint venture is to acquire 14 supermarkets from the local joint
venture partner and start “supermarket business” on 1 August. Does this mean
that the government has changed its policy and now allows foreigners to trade? Japanese
press reports that Aeon acquired government approval because of past merits (</span><a href="http://tinyurl.com/zgmbvyg" style="font-family: Calibri, sans-serif; font-size: 11pt;">http://tinyurl.com/zgmbvyg</a><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">).</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">In
reality, however, nothing has changed. A company search on DICA’s homepage
reveals that the joint venture company, Aeon Orange Co., Ltd., is set up as a
simple services company (</span><a href="http://tinyurl.com/hwsrmxl" style="font-family: Calibri, sans-serif; font-size: 11pt;">http://tinyurl.com/hwsrmxl</a><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">).
Being foreign-invested, it is impossible for it to import goods. It appears
that the importing is done by the local joint venture partner; the goods then
seem to be sold by the joint venture company.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">As the
joint venture company would have signed, when applying for company
registration, an undertaking not to engage in trade, this is a “gray zone”
set-up, and theoretically competitors could try to lobby DICA to deregister the
joint venture company. Against this background, it is a bit surprising that
Aeon should have chosen to announce its entry into the Myanmar supermarket
business with so much fanfare.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;">We
have taken this story as an opportunity to summarize how foreigners can engage in wholesale and retail activities in Myanmar.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">(The
following text first appeared as two articles in the Myanmar Times on 14 and 21
July 2014. We have updated it and included information from a previous newsletter
on trading in the Thilawa SEZ).</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>1. How
foreigners are barred from trading</b></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b><br /></b></span></div>
<div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"></span><br />
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">With few exceptions, foreigners are barred from engaging in
trading activities: They are not allowed to buy or import goods in order to
resell or export them.</span></div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">
</span>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
The definition of “foreigner” includes companies incorporated
in Myanmar where as little as one share is held by a foreigner. It is not
possible for a foreigner to set up a company whose business scope includes
trading activities, and it is likewise not possible to register as an importer
or exporter with the Ministry of Commerce with the objective of engaging in
trade.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
It does not matter whether it is wholesale or retail - the
sector is, as a general rule, off limits to foreigners. It is also not possible
for, say, a foreign producer of machines to set up a distribution company in
Myanmar in order to import and sell machines of its own brand.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
There is no explicit legal basis for this prohibition. Rather,
it is administrative practice that appears to have set in rather suddenly in
2002. Until then, it seems to have been possible for foreigners to establish
trading companies in Myanmar and import goods for trading purposes.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
However, these business permits have long expired.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
Foreigners may set up factories in Myanmar, import machines
and raw materials, produce goods and sell and/or export these goods. However,
they cannot - officially - outsource production to a local manufacturer
(so-called contract manufacturing), pay him a fee and sell the goods thus
produced. This is rather surprising as the creation of value through production
takes place in the country in both cases.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
This means most foreign goods on the market locally are traded
through domestic importers and distributors. This is often not a bad thing as
it can be difficult to penetrate the market without some local help.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<span style="font-size: 11pt; line-height: 115%;"><div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;">Leaving
everything to the local distributor is not always the preferred option, though,
and there are several other alternatives.</span></div>
</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-size: 11pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-size: 11pt; line-height: 115%;"><b>2. Joint
ventures in certain sectors</b></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-size: 11pt; line-height: 115%;"><b><br /></b></span></span></div>
<div>
<span style="line-height: 115%;"><span style="line-height: 115%;"></span></span><br />
<div class="MsoListParagraph" style="font-family: Calibri, sans-serif; font-size: 11pt; margin-left: 0in; text-align: justify;">
<span style="line-height: 115%;"><span style="line-height: 115%;">The Ministry of Commerce has in the meantime relaxed the trading ban a little: In certain
sectors, it is possible for foreigners to set up joint ventures with locals in
order to import and sell goods. These goods are:</span></span></div>
<span style="line-height: 115%;"><span style="line-height: 115%;">
</span></span>
<div class="MsoListParagraph" style="font-family: Calibri, sans-serif; font-size: 11pt; margin-left: 0in; text-align: justify;">
</div>
<span style="line-height: 115%;"><span style="line-height: 115%;">
<ul>
<li style="text-align: justify;">Brand-new cars (MoC Notification 20/2015)</li>
</ul>
<ul>
<li style="text-align: justify;">Fertilizer, seeds, pesticides, hospital
equipment (MoC Notification 96/2015)</li>
</ul>
<ul>
<li style="text-align: justify;">Construction materials (MoC Notification 56/2016)</li>
</ul>
<div style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
The
Mitsubishi car showroom in Yangon was set up under this policy.</div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
<br /></div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
<b>3. Trading in
the Thilawa SEZ</b></div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
<b><br /></b></div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
On 27 May 2015, the
Thilawa SEZ Management Committee published details of the scope of trading
activities that foreign investors can engage in if they invest in the Thilawa
SEZ (<a href="http://tinyurl.com/zwh3b5t">http://tinyurl.com/zwh3b5t</a>). Wholesale
trade outside the SEZ of goods stored in warehouses located in the SEZ is
permitted if a large-scale investment is made. </div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
<br /></div>
<div class="MsoNormal" style="font-family: Calibri, sans-serif; font-size: 11pt; text-align: justify;">
Foreign
investors in the Thilawa SEZ can operate a trading business on the following
conditions:</div>
<div class="MsoNormal" style="text-align: justify;">
</div>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">Foreign investors can register their business as
a “free zone business” or a “promotion zone business”. Free zone businesses
have to export at least 75% of their goods (by value), but enjoy more tax
incentives than promotion zone businesses. Trading is allowed for both types of
businesses, but the conditions are different.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">Irrespective of the type of business, the
trading of 4-wheel vehicles, motorcycles, goods of which trading is restricted
by other laws (presumably, these are products such as alcoholic beverages whose
import is restricted, and products such as arms or drugs of which the trade and
often possession are banned) and goods specified by the Thilawa SEZ Management
Committee from time to time is prohibited. </li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">“Wholesale” means the sale of products to other
businesses for resale or for use in the manufacture of goods or supply of
services. Additionally, the direct sale to end-users is included if (i)
industrial materials are sold in bulk or (ii) industrial machinery and
equipment with a sales price of USD 500,000 or more per transaction are sold.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="font-family: calibri, sans-serif; font-size: 11pt; text-align: justify;">A free zone business may sell products
manufactured by itself or obtained from a group company or a third party to
promotion zone businesses and outside the SEZ if (i) it has a factory or
warehouse in the SEZ and (ii) its annual turnover from such sales does not
exceed 25% of its total annual turnover from sales. There are no limits on the
export of products manufactured by a free zone business or purchased from other
free zone businesses. The Instruction is silent on whether a free zone business
may purchase products from promotion zone businesses or outside the SEZ in
order to export them.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="font-family: calibri, sans-serif; font-size: 11pt; text-align: justify;">A promotion zone business may sell products manufactured
by itself without restrictions (note: this is not stated in the Instruction,
but it is clear that an investor setting up a factory can sell the goods
produced in this factory; restrictions only apply to free zone businesses as
they are obliged to produce predominantly for export purposes).</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">A promotion zone business may sell products
imported from a group company within the SEZ and, provided that it restricts
itself to wholesale trade, outside the SEZ if it (i) has a warehouse in the
SEZ, (ii) adds value (e.g. through repacking, labelling, other forms of
processing, quality control, testing, laboratory services, maintenance or other
technical services) and (iii) the investor has invested at least USD 2 million
(excluding the rent for the land) for providing the value-adding services.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">A promotion zone business may sell products
imported from a third party within the SEZ and, provided that it restricts
itself to wholesale trade, outside the SEZ if (i) the investor is certified as
an “official agent” or “official distributor” of the manufacturer, (ii) the
investor or a group company has been active in international trade for at least
10 years with an annual turnover of at least USD 500 million for a minimum of 3
years and an established place of business in at least 5 countries, (iii) the
paid-up capital of the investor or a group company amounts to at least USD 25
million, (iv) the business has a warehouse in the SEZ, (v) the business adds
value (e.g. through repacking, labelling, other forms of processing, quality
control, testing, laboratory services, maintenance or other technical services)
and (vi) the investor has invested at least USD 3 million (excluding the rent
for the land) for providing the value-adding services.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">A promotion zone business may sell locally
sourced products within the SEZ and, provided that it restricts itself to
wholesale trade and does not sell agricultural, fishery or mineral products or
precious stones, outside the SEZ.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">A promotion zone business may export goods
manufactured by itself or other promotion zone businesses.</li>
</ul>
<ul style="font-family: Calibri, sans-serif; font-size: 11pt;">
<li style="text-align: justify;">Investors may set up sales offices outside the
SEZ with the proviso that the lease term must not exceed one year.</li>
</ul>
<div style="text-align: justify;">
<div class="MsoListParagraph" style="margin-left: 0in; text-indent: 0in;">
<b>4. An
aggressive approach: Ignoring the ban<o:p></o:p></b></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
When foreign-invested companies are being registered with the
Directorate of Investment and Company Administration (DICA), the applicant has
to sign an undertaking not to engage in trading activities. Nevertheless,
trading joint ventures exist where (i) the local partner imports the goods (as
it is impossible for a foreign-invested company to register as importer) and
(ii) the foreign-invested joint venture company then sells the goods locally.</div>
<div class="MsoListParagraph" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
This is of course a “gray zone” approach, and investors theoretically
risk that competitors try to lobby DICA to deregister the joint venture
company.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-indent: 0in;">
<b><br /></b></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-indent: 0in;">
<b>5. </b><b>Franchising<o:p></o:p></b></div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
Retail is also possible
through a franchising structure. The foreign partner (franchisor) and the local
partner (franchisee) conclude a franchise agreement by which the franchisee
pays a franchise fee to the franchisor; the franchisor allows the franchisee to
use the franchisor’s trademark; and the franchisor provides the franchisee with
a business concept (e.g. design of the shops, assistance with sourcing goods at
a low price, marketing services, training of employees, etc.).</div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
Franchising, although not
specifically regulated,is more and more common in Myanmar. It is a legal
business model and foreigners are not prohibited from entering into franchise
agreements with locals. Internationally, franchise models are tried and tested
models in the retail sector; for example convenience stores in Japan are often
operated as a franchise. The idea of a franchise is appealing as there is a
wealth of experience with franchise models internationally from which the
parties can draw.</div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
The services provided by the franchisor usually justify a
substantial remuneration, meaning that the franchisor is entitled to a
substantial portion of the profits of the retail business. The local partner,
in return, may, amongst others, acquire access to cheap financing (if the
franchisor extends a loan at advantageous conditions), profit from low purchase
prices when acquiring stock (as the franchisor is usually able to buy in bulk),
profit from the franchisor’s reputation with producers (if, for example, the
franchisor is already their distributor in other countries) and use the
franchisor’s experience in setting up and managing a chain of retail stores.</div>
<div class="MsoListParagraph" style="margin-left: 0in;">
<b><br /></b></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
<b>6. Other methods<o:p></o:p></b></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in;">
It is possible to set up joint ventures outside of Myanmar to
participate in the Myanmar retail market. Sojitz, for example, announced in
2013 that it had set up a joint venture company in Singapore together with the
City Mart group to purchase consumer goods in bulk in order to distribute them
through the City Mart network.</div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
<br /></div>
<div class="MsoListParagraphCxSpMiddle" style="margin-left: 0in;">
Foreign manufacturers cannot
set up a distribution company in Myanmar in order to sell their goods if these
goods are manufactured abroad. However, a manufacturer of machines could set up
a services company in order to install the machines and provide customer
support. The machines would have to be imported by a local importer or the
customer.</div>
<div class="MsoListParagraphCxSpLast" style="margin-left: 0in;">
<br /></div>
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">Foreign
sellers wishing to support their local distributor so as to increase sales can
provide marketing and management assistance.</span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;"><br /></span></div>
<span style="font-family: "calibri" , sans-serif;"><div style="text-align: justify;">
<span style="font-size: 14.6667px;">To contact the author or subscribe to our newsletter, please visit us on our homepage: </span><a href="http://www.lincolnmyanmar.com/" style="font-size: 14.6667px;">www.lincolnmyanmar.com</a></div>
</span></span></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-90811961234840130842016-08-07T14:15:00.000+06:302017-04-15T14:33:15.744+06:30Our latest newsletter...... is available on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a>Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-51872813486958581152016-07-23T14:17:00.000+06:302017-04-15T14:17:54.399+06:30Tender for temporary power plant<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">We
(somewhat belatedly) wish to draw your attention to this <b>tender </b>opened by Electric Power Generation Enterprise for a <b>temporary power plant with a capacity of
300 MW</b>: <a href="http://tinyurl.com/hje5f94">http://tinyurl.com/hje5f94</a>.</span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-85252116336084365592016-07-23T14:15:00.000+06:302017-04-15T14:16:50.423+06:30Deadline to submit quarterly performance report to the MIC<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">The
MIC wishes to make investors aware that businesses with an <b>MIC permit have to submit quarterly performance reports</b>; the
deadline for the submission of the performance report for the first quarter of
the 2016/17 financial year has been set for 27 July (<a href="http://tinyurl.com/gl4chjq">http://tinyurl.com/gl4chjq</a>). Section 42
Foreign Investment Law and section 32 Citizens Investment Law specify penalties
for non-compliance.</span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-15463536553718065502016-07-23T14:14:00.000+06:302017-04-15T14:15:03.371+06:30Will foreigners soon need work permits?<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Myanmar Times reports (<a href="http://tinyurl.com/htbueom">http://tinyurl.com/htbueom</a>)
that the Ministry of Labour is about to submit the <b>draft of a work permit law to</b> the Union Attorney General’s Office
for review. This law, if enacted, will require foreigners working in Myanmar to
obtain work permits - a development which is maybe not so welcome and which
requires monitoring.</span></div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<br />
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-39246149349362358662016-07-23T13:54:00.000+06:302017-04-15T14:12:36.591+06:30Review of Yangon’s high-rise building projects: Legal implications included in our land law seminar on 4 August<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The <b>review of Yangon’s high-rise building
projects</b> has caused <b>quite a stir</b>:
Developers have been told to significantly alter the designs of projects and
dismantle floors already built. For some developers, these requirements seem to
be life-threatening. Against this background, we will <b>change the topics of our land law seminar on 4th August a bit</b> and
include a section on (i) <b>zoning in
Yangon</b>, (ii) <b>obtaining building
permits</b> and (iii) <b>legal protection
against unilateral measures by the government</b>. </span><br />
<br /></div>
<div style="text-align: justify;">
<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; mso-border-alt: solid windowtext .5pt; mso-padding-alt: 0in 5.4pt 0in 5.4pt; mso-yfti-tbllook: 1184;">
<tbody>
<tr>
<td style="border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Date and time<o:p></o:p></div>
</td>
<td style="border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Thursday, 4 August 2016, 2:30pm - 4:00pm<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Place<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Sule Shangri-La, 223 Sule Pagoda Road, Yangon<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Topics</div>
</td><td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- The different types of land and their uses</span></div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">How to register lease agreements</span></div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- How to use farmland for other purposes</span></div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">Frequent issues in land due diligences</span></div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- The Yangon high-rise building projects review:
(i) zoning in Yangon, (ii) obtaining building permits and (iii) legal
protection against unilateral measures by the government</span></div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- Stamp duty</span></div>
<div class="MsoListParagraphCxSpLast" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Speakers<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
- Sebastian Pawlita</div>
<div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<span style="text-indent: -17.1pt;">- U Nyein Chan Zaw</span></div>
<div class="MsoListParagraphCxSpLast" style="line-height: normal; margin: 0in 0in 0.0001pt 17.1pt; text-align: justify; text-indent: -17.1pt;">
<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Language<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
English<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Fee<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
The event is free of charge.<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Registration<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0.0001pt; text-align: justify;">
Please register by sending an e-mail to sebastian@lincolnmyanmar.com
or nyeinchanzaw@lincolnmyanmar.com, stating the name of your company and the
names of the participants.<o:p></o:p></div>
</td>
</tr>
</tbody></table>
</div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-75652884380807068922016-07-23T13:46:00.000+06:302017-04-15T13:54:24.027+06:30Latest version of the draft of a new Myanmar Investment Law<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">On 12
July 2016, DICA published the <b>latest
version of the draft of the new Myanmar Investment Law</b>. The new law will,
if enacted, <b>merge the present Foreign
Investment Law and the Citizens Investment Law</b>. Foreign investors in <b>non-MIC businesses</b> may, according to
the draft, be eligible to <b>lease land
long-term and obtain tax exemptions</b>. Furthermore, they benefit from other
advantages under the draft law (e.g. guarantee against confiscation, explicit
right to repatriate profits) that are presently only available to MIC
companies.</span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "Calibri","sans-serif"; font-size: 11.0pt; line-height: 115%; mso-ansi-language: EN-US; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-language: AR-SA; mso-bidi-theme-font: minor-bidi; mso-fareast-font-family: "MS Mincho"; mso-fareast-language: JA; mso-fareast-theme-font: minor-fareast; mso-hansi-theme-font: minor-latin;">Please find an analysis of the draft below. We have prepared an English translation of the draft which is available on our homepage.</span></div>
<div style="text-align: justify;">
<b style="text-indent: -0.5in;"><br /></b></div>
<div style="text-align: justify; text-indent: 0px;">
<span style="font-size: 14.6667px; text-indent: -0.5in;"><span style="font-family: Calibri, sans-serif;"><b>1. </b></span></span><b style="text-indent: -0.5in;">Domestic
investor and foreign investor</b></div>
<div style="text-align: justify; text-indent: 0px;">
<b style="text-indent: -0.5in;"><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
A
domestic investor is defined as a citizen investing in the country. The term
“citizen” includes business entities established only by citizens. This is at
odds with the draft of the new Companies Law (the latest version can be found
here: <a href="http://tinyurl.com/jm4vu9x">http://tinyurl.com/jm4vu9x</a>) according
to which companies with a foreign shareholding not exceeding a “prescribed
ownership amount”are treated as a local company.</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
A
foreign investor is a person who is not a citizen. </div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b>2. </b><b style="text-indent: -0.5in;">Two routes
to invest</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b style="text-indent: -0.5in;"><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
As
is also the case now, the draft law provides for two routes to invest in the
country: (i) with permission from the Myanmar Investment Commission (“<b>MIC permission</b>”) and (ii) without it.</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
MIC
permission is required for businesses that (i)are important for the State’s
strategy, (ii) require a high amount of capital, (iii) have a high impact on
the natural environment and residents, or (iv) are classified by the Government
as requiring MIC permission. Further details will be provided in implementing
rules. It should be noted that the requirement to obtain MIC permission applies
to both foreign and domestic investors. </div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
Other
businesses do not require MIC permission. Differently from now, however, the
draft provides that foreign investors in non-MIC businesses may be eligible to
lease land long-term and obtain tax exemptions. Furthermore, they benefit from
other advantages under the draft law (e.g. guarantee against confiscation,
explicit right to repatriate profits) that are presently only available to MIC
companies.</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b>3. </b><b style="text-indent: -0.5in;">Approval
application</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
Foreigners
wishing to invest in businesses for which no MIC is required may file an
application to obtain MIC approval for the long-term lease of land (50+10+10
years) and/or obtaining tax exemptions. </div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b>4. </b><b style="text-indent: -0.5in;">Market
access restrictions</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
The
draft provides for the following market access restrictions:</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
(a) <span style="text-indent: -0.5in;">Certain businesses which are deemed to be
harmful are prohibited to domestic and foreign investors alike.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(b) Co</span><span style="text-indent: -0.5in;">ncerning state monopolies, the draft only
states that access is “restricted” without differentiating between domestic and
foreign investors. One would expect, however, that - as is the case already now
- access may be possible on a case-by-case basis.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(c) B</span><span style="text-indent: -0.5in;">usinesses which a foreign investor is not
allowed to engage in, or only allowed to engage in if he forms a joint venture
with a citizen.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(d) B</span><span style="text-indent: -0.5in;">usinesses which require approval of the
relevant ministries. The draft does not distinguish between local and foreign
investors in this regard.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">T</span>he MIC shall, with the approval of the Cabinet, issue a
notification which shows the restricted businesses (b)-(d).</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b>5. </b><b style="text-indent: -0.5in;">Tax
incentives</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
The
draft provides for the following tax incentives:</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
(a) F<span style="text-indent: -0.5in;">or investments in sectors listed in a
notification issued by the MIC in order to promote investment: Exemption from
corporate income tax for seven, five or three years depending on whether the
investment takes place in an underdeveloped, reasonably developed or
well-developed region or state.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(b) E</span><span style="text-indent: -0.5in;">xemption from customs duties and other domestic
taxes on the import of machines, equipment and other specified items required
during the construction period of a new business, or during the expansion
period of an existing business that obtained permission from the MIC to
increase the investment amount.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(c) E</span><span style="text-indent: -0.5in;">xemption from customs duties and other domestic
taxes on the import of raw materials and partially manufactured goods by an
export-oriented business if these items are used in the production of goods for
export.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(d) E</span><span style="text-indent: -0.5in;">xemption from corporate income tax on profits
reinvested within one year.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(e) A</span><span style="text-indent: -0.5in;">ccelerated depreciation (although this would
often not work as an incentive).</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(f) R</span><span style="text-indent: -0.5in;">ight to deduct R&D expenses from the
corporate income tax base if R&D is done in the interest of the State
(although these expenses would be deductible under the ordinary tax laws
anyway).</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><br /></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;">(g) B</span><span style="text-indent: -0.5in;">etter incentives may be granted to
citizen-owned businesses.</span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><b><br /></b></span></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<span style="text-indent: -0.5in;"><b>6. L</b></span><b style="text-indent: -0.5in;">abour
matters</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
Unlike
the present Foreign Investment Law, the draft contains no requirement as to the
hiring of a specified percentage of skilled employees. However, investors (both
domestic and foreign) are obliged to implement skill development programmes.</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<b>7. D</b><b style="text-indent: -0.5in;">ispute
resolution</b></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
The
draft obliges the MIC to implement a mechanism by which disputes can be
resolved before reaching the official dispute resolution stage. </div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
Investors
are free to agree on a dispute resolution method of their choice.</div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-40968912487394890622016-07-23T13:44:00.000+06:302017-04-15T13:45:05.956+06:30Our latest newsletter......can be found on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a>Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-51169226219586330202016-07-11T13:40:00.000+06:302017-04-15T14:03:19.732+06:30Seminar invitation: Land law (as an aside: stamp duty)<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; text-align: justify;">
<tbody>
<tr>
<td style="border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Date and time<o:p></o:p></div>
</div>
</td>
<td style="border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Thursday, 4 August 2016, 2:30pm - 4:00pm<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Place<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Sule Shangri-La, 223 Sule Pagoda Road, Yangon<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Topics<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -17.1pt;">
<div style="text-align: justify;">
- The different types of land and their uses</div>
<div style="text-align: justify;">
- <span style="text-indent: -17.1pt;">How to register lease agreements</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">How to use farmland for other purposes</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">Frequent issues in land due diligences</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">Complicated stuff: Leasing land from the
government</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">Complicated stuff (II): Splitting the floor
space between the owner and the construction company</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- </span><span style="text-indent: -17.1pt;">Stamp duty</span></div>
</div>
<div class="MsoListParagraphCxSpLast" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -17.1pt;">
<div style="text-align: justify;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Speakers<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l1 level1 lfo2; text-indent: -17.1pt;">
<div style="text-align: justify;">
- Sebastian Pawlita</div>
<div style="text-align: justify;">
- <span style="text-indent: -17.1pt;">U Nyein Chan Zaw</span></div>
</div>
<div class="MsoListParagraphCxSpLast" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l1 level1 lfo2; text-indent: -17.1pt;">
<div style="text-align: justify;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Language<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
English<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Fee<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
The event is free of charge.<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Registration<o:p></o:p></div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Please register by sending an e-mail to sebastian@lincolnmyanmar.com
or nyeinchanzaw@lincolnmyanmar.com, stating the name of your company and the
names of the participants.<o:p></o:p></div>
</div>
</td>
</tr>
</tbody></table>
<div>
<div style="text-align: justify;">
<br /></div>
</div>
<div style="text-align: justify;">
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-52932076225233886492016-07-11T13:37:00.000+06:302017-04-15T14:03:40.114+06:30Our latest newsletter<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
The
Ministry of Commerce issued a notification on 7 July 2016 <b>allowing Myanmar/foreign joint ventures to import and sell
“construction materials”</b>. Although there may presently not be so much demand
- given that the Yangon Region government has shut down the construction of
high-rise buildings -, the notification marks a welcome liberalization of the Ministry’s
otherwise restrictive policy of disallowing foreign-invested companies to
trade. We will, however, have to wait and see how the notification will work
out in practice as it is quite vague - it implies, for instance, that there
should be a minimum local shareholding, but does not specify the percentage.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
Please
find a translation of the notification inside the newsletter.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
The <b>MIC is operational again</b> and so far has
given out 19 investment permits.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
More
than 80 participants attended our debt collection seminar last Thursday. <b>Our next seminar is on land law
and stamp duty. It will take place on 4 August; please find the invitation
inside the newsletter.<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<b><br /></b></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
Please
welcome <b>U Lynn Shein</b>, a Higher Grade
Pleader who joined our firm on 1 July 2016.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">We are
<b>looking to expand our office</b> and are
in search of an <b>enterprising foreign
lawyer wishing to join as a partner</b>. The ideal candidate has a bit of a
business case of his own in Myanmar and either (i) speaks Korean or Chinese or
(ii) has a track record of advising companies in the oil and gas sector and the
electricity sector.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
</div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com1tag:blogger.com,1999:blog-6512121890264258670.post-64715776470461113102016-06-27T13:28:00.000+06:302017-04-15T14:03:56.110+06:30Registering long-term lease agreements<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
Foreign investors <b>report that they cannot register lease agreements</b>. According
to section 17(d) Registration Act 1908, leases of immovable property for any
term exceeding one year have to be registered. <b>Failure to register such a lease agreement results in it being void</b>.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
This is a cause of concern especially for telecom tower
companies: They have a massive number of long-term lease agreements which are
the basis of their business, and if they don’t manage to register them,
potential investors may not be willing to pay as much as they would otherwise.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
It has been reported that land record departments have refused
to register lease agreements if one party was a foreign-invested company on the
grounds that “foreigners cannot lease land long-term”. This is of course wrong
- foreign-invested companies operating under an investment permit from the
Myanmar Investment Commission can lease land for up to 50 years and may prolong
this period to 70 years in total.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
Although a hassle, it is <b>certainly possible to register long-term
lease agreements, even if the tenant is a foreign-invested company</b>.
However, registration poses logistical challenges if a lot of agreements have
to be registered all over the country in a short period of time.</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
Here is what we think is important to obtain registration:</div>
<div class="MsoListParagraph" style="margin-left: 0in; text-align: justify; text-justify: inter-ideograph;">
</div>
<ul>
<li style="text-align: justify;"><span style="font-size: 7pt; font-stretch: normal; font-variant-numeric: normal; line-height: normal;"> </span><b style="text-indent: -0.5in;">Registration
can only be obtained within four months after the date of signing</b><span style="text-indent: -0.5in;"> of the
agreement (section 23 Registration Act). This is something the officer checks,
so you don’t have too much time to obtain registration. This provision is -
together with stamp duty - a reason for leaving dates blank.</span></li>
</ul>
<ul>
<li style="text-align: justify;"><span style="text-indent: -0.5in;">The person obtaining registration on behalf of
the company must have a </span><b style="text-indent: -0.5in;">notarized power
of attorney</b><span style="text-indent: -0.5in;">, and he has to take a witness along.</span></li>
</ul>
<ul>
<li style="text-align: justify;"><span style="text-indent: -0.5in;">The </span><b style="text-indent: -0.5in;">landlord
has to appear in front of the registration officer together with a witness</b><span style="text-indent: -0.5in;">
(or, alternatively, has to send someone with a notarized power of attorney). If
many lease agreements have to be registered in different places in a short
period of time, this is difficult to organize, as someone basically has to pick
up the landlord from his home and make sure that he doesn’t complain to the
registration officer all the way through registration about having so many
better things to do than being here…</span></li>
</ul>
<ul>
<li style="text-align: justify;"><span style="text-indent: -0.5in;">The </span><b style="text-indent: -0.5in;">lease
agreement has to be properly revenue-stamped</b><span style="text-indent: -0.5in;">. Without paying a fine of 10 times the applicable stamp duty, this is only possible if the agreement is presented for stamping within one month after signing.</span><span style="text-indent: -0.5in;"> A lot of trouble
can be saved in practice if the contract does not contain a date.</span></li>
</ul>
<ul>
<li style="text-align: justify;"><span style="text-indent: -0.25in;">It is difficult to obtain registration when
you’re unfortunate enough to crash into the middle of an inspection of the land
record department or the registration of deeds office by a higher-ranking
office.</span></li>
</ul>
<ul>
<li style="text-align: justify;"><span style="text-indent: -0.25in;">Amazingly, proper title documentation or the existence
of an MIC permit do not seem to be of paramount importance when trying to
secure registration of a lease agreement.</span></li>
</ul>
<div style="text-align: justify;">
To contact the author or subscribe to our newsletter, please visit our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-18462069336753873622016-06-27T13:16:00.000+06:302017-04-15T14:08:30.683+06:30Investment in the power sector - institutional framework<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">1. The
various ministries</span></b></div>
<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></b></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The power
sector is presently overseen by several Union Ministries:</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"></span></div>
<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; margin-left: 41.4pt; text-align: justify;">
<thead>
<tr>
<td style="background: #D9D9D9; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 142.2pt;" valign="top" width="190"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Union Ministry<o:p></o:p></b></div>
</td>
<td style="background: #D9D9D9; border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Minister<o:p></o:p></b></div>
</td>
<td style="background: #D9D9D9; border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Brief description
of the area of competence<o:p></o:p></b></div>
</td>
</tr>
</thead>
<tbody>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 142.2pt;" valign="top" width="190"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Electric Power and Energy</b>
(formerly divided into the Ministry of Electric Power and the Ministry of
Energy)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>U Pe Zin Tun</b> (since 6
April 2016; former permanent secretary of the Ministry of Energy; no party
affiliation)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l0 level1 lfo1; text-indent: -15.3pt;">
<div style="text-align: left;">
- Electric
power: Planning, <span style="text-indent: -15.3pt;">generation (coal, hydro, gas, </span><span style="text-indent: -15.3pt;">oil, solar, wind, geothermal), </span><span style="text-indent: -15.3pt;">transmission, distribution</span></div>
<div style="text-align: left;">
<span style="text-indent: -15.3pt;">- Energy:
Production, import/export, distribution of oil and gas and derived products</span></div>
</div>
<div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l0 level1 lfo1; text-indent: -15.3pt;">
<div style="text-align: left;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 142.2pt;" valign="top" width="190"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Natural Resources and
Environmental Conservation<o:p></o:p></b></div>
<div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
(formerly divided into the Ministry of Mines and the Ministry of
Environmental Conservation and Forestry)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>U Ohn Win</b> (since 30 March
2016; former professor of forestry at Yezin University; no party affiliation)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l2 level1 lfo2; text-indent: -15.3pt;">
<div style="text-align: left;">
- Production,
import/export and distribution of coal</div>
<div style="text-align: left;">
<span style="text-indent: -15.3pt;">- Biomass
and firewood</span></div>
<div style="text-align: left;">
<span style="text-indent: -15.3pt;">- Environmental
impact assessment</span></div>
</div>
<div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l2 level1 lfo2; text-indent: -15.3pt;">
<div style="text-align: left;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 142.2pt;" valign="top" width="190"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Agriculture, Livestock and Irrigation
</b>(formerly divided into Ministry of Agriculture and Irrigation and
Ministry of Livestock, Fisheries and Rural Development)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>U Aung Thu</b> (since 30 March
2016; former rector of Yangon University, NLD)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l1 level1 lfo3; text-indent: -15.3pt;">
<div style="text-align: left;">
- Rural
electrification (off-grid), e.g. mini-hydro </div>
<div style="text-align: left;">
- <span style="text-indent: -15.3pt;">Hydropower
facilities connected to irrigation</span></div>
</div>
<div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 15.3pt; margin-right: 0in; margin-top: 0in; mso-list: l1 level1 lfo3; text-indent: -15.3pt;">
<div style="text-align: left;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 142.2pt;" valign="top" width="190"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Ministry of Industry<o:p></o:p></b></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>U Khin Maung Cho</b> (since 30
March 2016; engineer; no party affiliation)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 2.05in;" valign="top" width="197"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<div style="text-align: left;">
Energy efficiency and conservation, (theoretically:) nuclear power,
formerly: off-grid rural electrification (was transferred to Ministry of
Livestock, Fisheries and Rural Development)<o:p></o:p></div>
</div>
</td>
</tr>
</tbody></table>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">It is
not as apparent now that a number of ministries were merged in the wake of the
handover of power to the new NLD led government (in particular the Ministry of
Energy and the Ministry of Electric Power), but energy and electricity policy
was rather fragmentized due to the high number of ministries under the previous
government whose areas of competence were sometimes not clearly demarcated. In
order to create a framework for the establishment of a coherent policy, the
previous government instituted a “<b>National
Energy Management Committee</b>” on 9 January 2013 which comprised at the time
members of the following Union Ministries and other organizations:</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"></span></div>
<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; margin-left: 41.4pt; text-align: justify;">
<tbody>
<tr>
<td colspan="2" style="background: #D9D9D9; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 437.4pt;" valign="top" width="583"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; text-align: center;">
<b>Composition
of the National Energy Management Committee under the old government<o:p></o:p></b></div>
</td>
</tr>
<tr>
<td style="background: #D9D9D9; border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; text-align: center;">
<b>Old
Ministry name/name of the organization<o:p></o:p></b></div>
</td>
<td style="background: #D9D9D9; border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; text-align: center;">
<b>Fate
of the old Ministry/organization after the change of government<o:p></o:p></b></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Energy<o:p></o:p></div>
</td>
<td rowspan="2" style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Merged to Ministry of Electric Power and Energy<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Agriculture and Irrigation<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Merged with the Ministry of Livestock, Fisheries and Rural
Development to the Ministry of Agriculture, Livestock and Irrigation<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Mines<o:p></o:p></div>
</td>
<td rowspan="2" style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Merged to Ministry of Natural Resources and Environmental
Conservation<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Environmental Conservation and Forestry<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Industry<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Still exists<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of National Planning and Economic Development<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Merged with the Ministry of Finance to the Ministry of Planning and
Finance<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry of Science and Technology<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Ministry abolished<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Myanmar Engineering Society<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Still exists<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 3.0in;" valign="top" width="288"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Renewable Energy Association Myanmar<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 221.4pt;" valign="top" width="295"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
Still exists<o:p></o:p></div>
</td>
</tr>
</tbody></table>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
National Energy Management Committee made good on its intended role and
published, on 8 January 2016, a “<b>Myanmar
Energy Masterplan</b>” (<a href="http://tinyurl.com/zw93vw6">http://tinyurl.com/zw93vw6</a>),
a 900+ pages document with projections up to the year 2030. </span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">It
remains to be seen how the new government will reshape the National Energy
Committee. Its former members consisted largely of Union ministers who are not
in office any more.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">It
should be noted that, although the </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Ministry
of Electric Power and Energy</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;"> is the lead ministry in almost every power
project, a number of other ministries and government entities will often have
to be consulted. Examples:</span></div>
<div style="text-align: justify;">
</div>
<ul>
<li style="text-align: justify;">The <b>Ministry of Transport and Communications (Department
of Meteorology and Hydrology)</b> is responsible for “measurements, assessment
and monitoring for rivers” in hydropower projects (Myanmar Energy Masterplan
page 193).</li>
</ul>
<ul>
<li style="text-align: justify;">The <b>Chief Minister of the State or Region</b>
in which the project is located has to approve if the project (as will usually
be the case) involves the long-term use of land</li>
</ul>
<div style="text-align: justify;">
<br /></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">It is
furthermore clear that foreign-invested power projects require an investment
permit from the </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Myanmar Investment
Commission</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;"> or, if they are located in a special economic zone, from the
relevant </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Special Economic Zone
Management Committee</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span></div>
<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">2. The
Ministry of Electric Power and Energy</span></b></div>
<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></b></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Ministry of Electric Power and Energy (“<b>MoEPE</b>”)
was merged, on 30 March 2016, from two previously separate ministries, the
Ministry of Electric Power and the Ministry of Energy. The previous Ministry of
Electric Power had been separated from the Ministry of Energy in 1997 and
split, from 2006 to 2012, into No. 1 Ministry of Electric Power and No. 2 Ministry
of Electric Power.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">MoEPE
is central to the production, transmission and distribution of electric power.
Electricity is produced either by </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Myanmar
Electric Power Enterprise</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;"> (which now seems to have morphed into </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Electric Power Generation Enterprise</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">),
a state-owned economic enterprise under MoEPE, local or foreign independent
power producers or joint ventures between MoEPE and local or foreign investors.
The electricity is then purchased by MoEPE (previously, through Myanmar
Electric Power Enterprise, now - presumably - through Electric Power Generation
Enterprise) and distributed to the consumers (through </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Yangon Electricity Supply Corporation</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">, </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Mandalay Electricity Supply Corporation</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;"> and </span><b style="font-family: Calibri, sans-serif; font-size: 11pt;">Electricity Supply Enterprise</b><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">). MoEPE acts as the single buyer of
electricity, similar to models in Thailand and Indonesia.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">MoEPEis
presently composed of the following departments (<a href="http://tinyurl.com/zoq35ep">http://tinyurl.com/zoq35ep</a>).</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"></span></div>
<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; margin-left: 41.4pt; text-align: justify;">
<thead>
<tr>
<td style="background: #D9D9D9; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in; text-align: justify; text-justify: inter-ideograph;">
<b>Department<o:p></o:p></b></div>
</td>
<td style="background: #D9D9D9; border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Under which
Ministry previously?<o:p></o:p></b></div>
</td>
<td style="background: #D9D9D9; border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-pattern: gray-15 auto; mso-shading: windowtext; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
<b>Functions (to the
extent we can make them out - online resources on MoEPE’s homepage have not
been fully updated yet) <o:p></o:p></b></div>
</td>
</tr>
</thead>
<tbody>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Myanma Oil and Gas Enterprise (MOGE)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Energy<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.8pt; margin-right: 0in; margin-top: 0in; mso-list: l0 level1 lfo1; text-indent: -17.8pt;">
<div style="text-align: left;">
- Owner
and operator of oil and gas exploration and production (in production sharing
contracts with local or foreign companies)</div>
<div style="text-align: left;">
<span style="text-indent: -17.8pt;">- Owner
and operator of onshore gas pipeline grid</span></div>
</div>
<div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.8pt; margin-right: 0in; margin-top: 0in; mso-list: l0 level1 lfo1; text-indent: -17.8pt;">
<div style="text-align: left;">
<o:p></o:p></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Myanma Petrochemical Enterprise (MPE)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Energy<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Operates small refineries and plants to produce petroleum and
petrochemical products (petrol, diesel, jet fuel, urea fertilizers, liquefied
petroleum gas (LPG) and others), sometimes in joint ventures with, or by
leasing out the plants to, local or foreign investors.<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Myanma Petroleum Products Enterprise (MPPE)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Energy<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Wholesale and retail of petroleum products; intends to partly do so
in joint ventures with local or foreign investors<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Department of Electric Power Transmission and System Control (DEPTSC)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Engineering service for power system operation, power system
planning, operation and maintenance of transmission lines and sub-stations,
operation and maintenance of power system telecommunication facilities<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Electricity Supply Enterprise (ESE)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Operation of the national grid and distribution of electricity in all
areas of Myanmar with the exception of Yangon and Mandalay <o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Department of Electric Power Planning (DEPP)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Planning of the production of electric power (coal, hydro, gas, oil,
solar, wind, geothermal)<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Electric Power Generation Enterprise (EPGE)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Production of electric power (coal, hydro, gas, oil, solar, wind,
geothermal)<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Department of Hydropower Implementation (DHPI)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Planning, design, quality control, project appraisal and feasibility
evaluation of hydropower projects<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Yangon Electricity Supply Corporation (YESC)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Operation of the national grid and distribution of electricity in
Yangon<o:p></o:p></div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 153.65pt;" valign="top" width="205"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Mandalay Electricity Supply Corporation (MESC)<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 116.35pt;" valign="top" width="155"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Ministry of Electric Power<o:p></o:p></div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 167.4pt;" valign="top" width="223"><div class="MsoListParagraph" style="line-height: normal; margin-bottom: .0001pt; margin: 0in;">
Operation of the national grid and distribution of electricity in
Mandalay<o:p></o:p></div>
</td>
</tr>
</tbody></table>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">A note
on the word “enterprise” in the table above: MOGE and the other enterprises are
so-called state-owned economic enterprises (SEEs) which makes them more akin to
a government unit than a corporation. The function of SEEs is two-fold: They
are supposed to generate income through business activities (and nowadays they
even have to pay tax on it) and, at the same time, function as the regulator of
the industry in which they operate. It is clear that this gives rise to
conflicts of interest and is not an ideal situation. It is expected that
medium-term, the SEEs will be transformed into ordinary public companies (in
which the state may still have exclusive or majority ownership) and stripped of
their regulatory functions. YESC and MESC reportedly underwent corporatization
to become public companies in mid-2015 (<a href="http://tinyurl.com/h4dodtf">http://tinyurl.com/h4dodtf</a>).</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-38519098612835731322016-06-27T13:12:00.000+06:302017-04-15T13:13:54.865+06:30Our latest newsletter<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
It
has become better now, but remember the frequent power cuts before the rainy
season? We have taken this occasion to start a long (we hope) <b>series on investing in the power sector</b>,
starting with today’s first part, “the institutional framework”.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
Furthermore,
we have included in this newsletter a brief <b>primer on how to register long-term lease agreements</b>, especially
those of <b>telecom tower companies</b>
with tower sites all over the country.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">We
would furthermore like to repeat our <b>invitation
to join our seminar on debt collection in Myanmar</b> on 7 July (English
language) and 14 July (Japanese language). Please find the invitations inside.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span>Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-71419236082104052092016-06-25T13:13:00.000+06:302017-04-15T14:11:28.288+06:30Seminar invitation: Debt collection in Myanmar<div align="center" class="MsoNormal" style="text-align: center;">
<br /></div>
<table border="1" cellpadding="0" cellspacing="0" class="MsoTableGrid" style="border-collapse: collapse; border: none; mso-border-alt: solid windowtext .5pt; mso-padding-alt: 0in 5.4pt 0in 5.4pt; mso-yfti-tbllook: 1184;">
<tbody>
<tr>
<td style="border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Date and time</div>
</div>
</td>
<td style="border-left: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Thursday, 7 July 2016, 2:30pm - 4:00pm</div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Place</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Sule Shangri-La, 223 Sule Pagoda Road, Yangon</div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Topics</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l0 level1 lfo1; text-indent: -17.1pt;">
<div style="text-align: justify;">
- Amicable collection</div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- Collection with the help of the police</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- Collection with the help of courts</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- Taking and enforcing security</span></div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- Enforcement of foreign judgments and arbitral
awards</span></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Speakers</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoListParagraphCxSpFirst" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in; margin-left: 17.1pt; margin-right: 0in; margin-top: 0in; mso-add-space: auto; mso-list: l1 level1 lfo2; text-indent: -17.1pt;">
<div style="text-align: justify;">
- Sebastian Pawlita</div>
<div style="text-align: justify;">
<span style="text-indent: -17.1pt;">- U Nyein Chan Zaw</span></div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Language</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
English</div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Fee</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
The event is free of charge.</div>
</div>
</td>
</tr>
<tr>
<td style="border-top: none; border: solid windowtext 1.0pt; mso-border-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 113.4pt;" valign="top" width="151"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Registration</div>
</div>
</td>
<td style="border-bottom: solid windowtext 1.0pt; border-left: none; border-right: solid windowtext 1.0pt; border-top: none; mso-border-alt: solid windowtext .5pt; mso-border-left-alt: solid windowtext .5pt; mso-border-top-alt: solid windowtext .5pt; padding: 0in 5.4pt 0in 5.4pt; width: 365.4pt;" valign="top" width="487"><div class="MsoNormal" style="line-height: normal; margin-bottom: .0001pt; margin-bottom: 0in;">
<div style="text-align: justify;">
Please register by sending an e-mail to sebastian@lincolnmyanmar.com
or nyeinchanzaw@lincolnmyanmar.com, stating the name of your company and the
names of the participants.</div>
</div>
</td>
</tr>
</tbody></table>
<br />
<div class="MsoNormal">
<br /></div>
<div class="MsoNormal">
<div style="text-align: justify;">
<o:p>To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www%2Clincolnmyanmar.com/">www,lincolnmyanmar.com</a></o:p></div>
</div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com2tag:blogger.com,1999:blog-6512121890264258670.post-67693683731630383572016-06-09T13:07:00.000+06:302017-04-15T13:08:46.149+06:30New DICA filing fees<div style="text-align: justify;">
From our newsletter: Please find a table with DICA's new filing fees here: <a href="http://tinyurl.com/monza2c">http://tinyurl.com/monza2c</a></div>
<div style="text-align: justify;">
<br /></div>
<div style="text-align: justify;">
To contact the author or subscribe to our newsletter, please visit our homepage here: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-74973818390118382822016-06-09T13:00:00.000+06:302017-04-15T13:10:03.548+06:30New MIC members appointed<div style="text-align: justify;">
From our newsletter: Please find the names and functions of the new MIC members here: <a href="http://tinyurl.com/my7zlxa">http://tinyurl.com/my7zlxa</a></div>
<div style="text-align: justify;">
<br /></div>
<div style="text-align: justify;">
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
<br />Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-40331969386088919472016-06-09T12:58:00.000+06:302017-04-15T13:01:14.751+06:30Our latest newsletter<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
It’s
been a while, but a new edition of our newsletter is available on our homepage.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
The
President’s Office published on its homepage yesterday the <b>names of the new members of the Myanmar Investment Commission</b>
(MIC). The MIC had been disbanded following the establishment of the new
government. Investment proposals could be filed, but no new investments
obtained MIC approval since 25 March 2016. Newspapers report that there is a
backlog of about 100 proposals and it is hoped that this backlog will be worked
off soon.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
Please
find the names of the new MIC members inside this edition of our newsletter.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
With
effect 1st June 2016, <b>DICA altered its
filing fees</b>. The filing fee for registering a private company was reduced
from Ks. 1,000,000 to Ks. 500,000; other filings have become significantly more
expensive.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
We
have, for the benefit of our readers, included an English translation of the
Road Transport Business Law in this newsletter.</div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
<br /></div>
<br />
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-61203720012553968372016-04-12T12:32:00.000+06:302017-04-15T12:56:22.072+06:30Central Bank’s new Regulation on Mobile Financial Services<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">1. Mobile
financial services in Myanmar</span></b></div>
<div>
<div style="text-align: justify;">
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></b></div>
</div>
<div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">It is
estimated that less than 10% of the population in Myanmar have a bank account.
Reasons for this low figure include a lack of trust in the banking system
following the collapse of several banks in 2003, the fact that people feel safe
to carry cash as there is not much robbery and theft, and a lack of bank
outlets in rural areas. For banks, it would simply be too costly to try to
serve customers in the entire country through traditional brick-and-mortar
outlets.</span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Money
transfer services through mobile phones are now a viable alternative as a sizeable
portion of the population now own a mobile phone. The customer deposits money
with a participating shop, thus creating an account, and transfers money by keying
in a PIN on his phone to authorize the service provider to arrange a pay-out.
Or the participating shop, upon receipt of a deposit, creates a code with which
the recipient can withdraw money from another participating shop.</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Telenor
announced that it intended to offer mobile financial services for “a segment
that will not be served by the banks in general because the cost will be too
high”(<a href="http://tinyurl.com/zvsq589">http://tinyurl.com/zvsq589</a>). The
company has since formed a joint venture with Yoma Bank and started offering its
products to the public under the name Wave Money (<a href="http://tinyurl.com/zs6dhud">http://tinyurl.com/zs6dhud</a>). Other
providers of mobile financial services are myKyat (<a href="http://tinyurl.com/hhu2xut">http://tinyurl.com/hhu2xut</a>) under a
license held by First Private Bank, 663 Mobile Money (<a href="http://tinyurl.com/hxdm7ek">http://tinyurl.com/hxdm7ek</a>) under a
license held by Myanmar Citizens Bank and Myanmar Mobile Money (<a href="http://tinyurl.com/zn5mywo">http://tinyurl.com/zn5mywo</a>) under a
license held by Innwa Bank.</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Analysts
point out that mobile financial service providers have to compete with
established money transfer systems such as post offices and the traditional
hundi system in terms of pricing and customers’perception of their
trustworthiness (<a href="http://tinyurl.com/zj8qqaz">http://tinyurl.com/zj8qqaz</a>).</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Money
transfers through post offices seem to cost 0.05% - 0.5% of the amount remitted,
and a hundi remittance seems to come at 1% - 2% - in contrast, the Telenor/Yoma
Bank joint venture Wave Money charges 1.6% - 9.5%for a money transfer (calculated
according to figures available on Wave Money’s homepage). Yoma Bank, in
contrast, charges only 0.005% plus Ks. 500 for a bank remittance through its
brick-and-mortar outlets (<a href="http://tinyurl.com/jcyuwbk">http://tinyurl.com/jcyuwbk</a>).</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Furthermore,
a quick survey among Myanmar acquaintances (all modern, educated people) revealed
that some had the vague feeling that their money might “disappear in cyber-space”in
a mobile transaction.</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Nevertheless,
it is expected that mobile payments will grow, with Telenor/Yoma Bank having an
edge over their competitors as their brands are known throughout the
population. Growth may very well first occur more in comparatively wealthy,
urban areas rather than the poorer countryside as customers in the former may
be more able and willing to pay for the convenience of mobile payments (no need
to queue in order to pay a bill).</span></span></div>
</div>
<div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></div>
</div>
<div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Further
reading: Supporting Digital Financial Services in Myanmar, a report from
December 2015 compiled by, among others, USAID (<a href="http://tinyurl.com/hp2jnhm">http://tinyurl.com/hp2jnhm</a>).</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>2. The
Regulation on Mobile Financial Services</b></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b><br /></b></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Regulation, issued by the Central Bank on 30 March 2016, allows mobile network
operators and non-bank financial institutions (i.e. entities registered with
the Central Bank under section 20 Financial Institutions Law 2016 such as
finance companies) to apply for a license to provide mobile financial services.
Previously, such services could only be offered by banks and financial
institutions. Analysts predict a beneficial impact from the inclusion of
non-bank players as banks in Myanmar seem to lack the capacity to develop the
digital financial services market to its full potential. However, it remains to
be seen to what extent foreign financial services providers can participate as
no foreign entity is, as of now, licensed as a “non-bank financial
institution.”</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Central Bank has uploaded an English translation of the Regulation on its
homepage (<a href="http://tinyurl.com/h5juoeg">http://tinyurl.com/h5juoeg</a>).</span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span></div>
<div style="text-align: justify;">
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The most
important aspects of the Regulation are as follows:</span></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(a) Kyats only</b></span></span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span>
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;">Mobile
financial services providers may deal only in kyats. The allowed services
are:</span><span style="font-family: "calibri" , sans-serif; font-size: 11pt;"> </span><span style="font-family: "calibri" , sans-serif; font-size: 11pt;">opening and maintaining accounts;
cash-in/cash-out transactions;money transfers between accounts; domestic
payments between individuals, between the government and individuals, between
businesses and individuals and between businesses and businesses; any other
transactions allowed by the Central Bank from time to time.</span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span>
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><b>(b) Licensing requirements for a mobile network operator or non-banking financial institution</b></span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span>
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;">A
mobile network operator or non-bank financial institution desirous of engaging
in mobile financial services must set up a company “solely for the purpose of
carrying out mobile financial services” with a “minimum capital” (presumably,
minimum paid-up capital) of Ks. 3 billion which must then apply to the Central Bank
for a registration certificate to provide mobile financial services.The
application requires a no-objection letter from the Ministry of Communication
and Information Technology (now: Ministry of Transport and Communications) in
case of a mobile network operator and a no-objection letter from the “primary
regulator of that entity” (i.e., the Central Bank itself) in case of a non-bank
financial institution.</span><br />
<span style="font-family: "calibri" , sans-serif; font-size: 11pt;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(c) Licensing requirements for a commercial bank</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">A
commercial bank seeking to conduct mobile financial services must apply to the
Central Bank for product approval. The provisions of the Regulation also apply to
commercial banks in so far as they do not conflict with the Financial
Institutions Law.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">(d) Power of the Central Bank to prescribe the </span><span style="font-family: calibri, sans-serif; font-size: 14.6667px;">“range of the fees and charges”</span></b><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Central Bank has the power to prescribe the “range of the fees and charges”
that may be imposed by a mobile financial service provider.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(e) Appointment of agents</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
mobile financial service provider may appoint agents (individuals or companies)
and must provide comprehensive information with regard to the agents to the
Central Bank, e.g. the due diligence policy and procedures for choosing the
agent and a risk assessment report. Mobile financial service providers are
barred from imposing exclusivity clauses on the agent; they are liable for the
actions of their agents.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<b><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">(f) T</span><span style="font-family: calibri, sans-serif; font-size: 14.6667px;">ransparency </span><i style="font-family: calibri, sans-serif; font-size: 14.6667px;">vis-à-vis </i><span style="font-family: calibri, sans-serif; font-size: 14.6667px;">customers</span></b><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
Regulation requires full transparency <i>vis-à-vis </i>customers
as to fees, services provided, terms and conditions, agents used, etc., and
obliged the mobile financial services provider to enter into a written
agreement (either on paper or in electronic form) with every customer for whom
it opens an account.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(g) Internal controls</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
mobile financial services provider has to implement a minimum system of
internal controls to assure sound management, prevention of money-laundering
and of the financing of terrorist activities, recovery in case of disasters and
an effective audit function.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(h) Record-keeping and regulatory oversight</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Extensive
record-keeping and reporting requirements; tight regulatory oversight by the
Central Bank.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(i) Provider's account</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">The
mobile financial services provider must open a current account with a
commercial bank on which all moneys owed to the customers are kept; the balance
of the account and the monies owed must be reconciled daily until 4pm at the
latest and any deficiencies compensated until noon of the following day.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(j) Know-your-customer and due diligence</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Know-your-customer
and customer due diligence procedures are as follows:</span><br />
<br />
<ul>
<li>For an
individual customer with a “level 1” transaction limit: Submission of the
national registration card, driver’s license or passport “if necessary”</li>
</ul>
<ul>
<li>For an
individual customer with a “level 2” transaction limit: Verifying the SIM
registration against the mobile network operator’s database or submission of
the national registration card, driver’s license or passport</li>
</ul>
<ul>
<li>For a
business customer with a “level 3” transaction limit: Submission of the
business registration certificate and identification requirements for opening
bank accounts</li>
</ul>
<div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(k) Transaction limits</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Depending
on whether the customer is an individual or a business and the documents seen
by the agent during the know-your-customer and customer due diligence
procedure, there are the following transaction limits; these limits do not
apply for payments to merchants and financial institutions, payments for
utility bills, taxes or government fees.</span></div>
<div>
<ul>
<li><span style="font-family: "calibri" , sans-serif;"><span style="font-size: 14.6667px;"><u><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">“Level
1” limit for an individual customer:</span></u><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Cumulative transaction limit per day Ks. 50,000;
cumulative transaction limit per month Ks. 1 million; maximum account balance
Ks. 200,000</span></span></span></li>
</ul>
<ul>
<li><span style="font-family: "calibri" , sans-serif;"><span style="font-size: 14.6667px;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><u><span style="font-size: 11pt; line-height: 115%;">“Level
2” limit for an individual customer:</span></u><span style="font-size: 11pt; line-height: 115%;"> Cumulative transaction limit per day Ks. 200,000;
cumulative transaction limit per month Ks. 5 million; maximum account balance
Ks. 1 million</span></span></span></span></li>
</ul>
<ul>
<li><span style="font-family: "calibri" , sans-serif;"><span style="font-size: 14.6667px;"><span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><span style="font-size: 11pt; line-height: 115%;"><u><span style="font-size: 11pt; line-height: 115%;">“Level
3” limit for a business customer:</span></u><span style="font-size: 11pt; line-height: 115%;">Cumulative transaction limit per day Ks. 1 million;
cumulative transaction limit per month Ks. 50 million; maximum account balance
Ks. 10 million</span></span></span></span></span></li>
</ul>
<div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(l) Ensuring competition and a good service level</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Certain
obligations to ensure competition and a good service level, e.g. obligation to “be
able to provide services that are interoperable with other mobile financial
services providers”, prohibition for mobile network providers to discriminate
against mobile financial services providers, obligation to comply with
prescribed technical standards.</span></div>
</div>
<div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b><br /></b></span></div>
<div>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><b>(m) Prohibition to create confusion with banks</b></span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">Mobile
financial services providers must not create the impression that they are
banks, so they are probably barred from calling their products “mobile
banking”.</span><br />
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;"><br /></span>
<span style="font-family: "calibri" , "sans-serif"; font-size: 11.0pt; line-height: 115%;">To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></span></div>
</div>
</div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-36145868722366968552016-04-12T12:25:00.000+06:302017-04-15T12:31:01.482+06:30MIC issues "ominously broad" restrictions on foreign investment - really??<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
Consultants interviewed in a newspaper article are voicing concern about “ominously broad” investment restrictions, but we think that they got it a bit wrong. </div>
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The article (<a href="http://tinyurl.com/zdyvjfs">http://tinyurl.com/zdyvjfs</a>) refers to recent MIC
Notification 26/2016 which contains a list of businesses in which foreign
investment is restricted. It quotes advisors criticizing certain passages of
the Notification as giving the MIC new power to arbitrarily deny foreign
investments. However, this is wrong.</div>
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<br /></div>
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<o:p></o:p></div>
<div class="MsoListParagraph" style="text-align: justify; text-justify: inter-ideograph;">
The Notification prohibits “economic
activities endangering watershed forests, religious sites, traditional worship
sites, farm and grazing lands, water resources”. While this prohibition was not
in the previous notification, it was contained in a prior notification in force
from 31 January 2013 to 13 August 2014. As far as is apparent, no investment
was ever denied on these grounds.<o:p></o:p></div>
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<br /></div>
<br />
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Furthermore, the Notification states that “business
activities which are not contained in this notification may be carried out as 100%
foreign-invested business except business believed by the Commission to require permission
of the relevant ministry”. The “except…” part was not in the previous notification,
but it has always been the practice of the MIC to advise investors to obtain a
recommendation letter from the relevant ministry first if it knew the ministry
to have a policy at odds with the official notification. While this is not
ideal, it is not a new difficulty and investors and their advisors have learned
to live with it.<b><o:p></o:p></b><br />
<br />
To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-63848294547271792812016-04-12T11:59:00.000+06:302017-04-15T12:02:19.066+06:30Our latest newsletter<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
A <b>new position</b> (“<b>state counselor</b>”) was created for Daw Aung San Suu Kyi which
commentators compare to that of a prime minister. The military MPs voted
against the law, but NLD’s majority in both chambers made sure that it was
passed on 6 April 2016.</div>
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<br /></div>
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The <b>Ministry of Electric Power and Energy</b>
will be headed by <b>U Pyaw Myint Htun</b>
and the <b>Ministry of Education </b>by <b>U Myo Thein Gyi</b>, despite it having been
originally announced that both ministries would be headed by Daw Aung San Suu Kyi
herself.</div>
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<br /></div>
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The
long-awaited <b>Mobile Financial Services
Regulations</b> were issued by the Central Bank on 30 March 2016. Please find a
detailed analysis inside our new newsletter (or the following post). An English translation of the
Regulations is available on Central Bank’s homepage.</div>
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<br /></div>
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For
the benefit of our readers, we have also included an English translation of the
<b>2016 Shops and Establishments Law</b>,
an important piece of labour law legislation from early this year.</div>
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<br /></div>
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Our
office is <b>closed for the Water Festival
holidays</b>. <b>We will open again</b>
only on <b>27 April 2016</b> as Nyein and I
will be going to Vietnam on a business trip.</div>
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<br /></div>
<br />
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To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a>.</div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-15204902252712985952016-04-04T12:23:00.000+06:302017-04-15T12:24:35.084+06:30Tax changes from 1st April 2016<div style="text-align: justify;">
From our newsletter:</div>
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<br /></div>
<div style="text-align: justify;">
Various changes in the tax system came into effect on 1 April 2016 by virtue of the Special Goods Tax Law (Pyidaungsu Hluttaw Law No. 11 dated 18 January 2016) and the Union Tax Law 2016 (Pyidaungsu Hluttaw Law No. 22 dated 25 January 2016). The main changes are summarized here: <a href="http://tinyurl.com/nxtqyma">http://tinyurl.com/nxtqyma</a></div>
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<br /></div>
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To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-24096517433411373602016-04-04T12:17:00.000+06:302017-04-15T12:19:09.772+06:30The new Union Government<div style="text-align: justify;">
From our newsletter - please find an overview of the new Union Government here: <a href="http://tinyurl.com/mylx7q2">http://tinyurl.com/mylx7q2</a></div>
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<br /></div>
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To contact the author or to subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0tag:blogger.com,1999:blog-6512121890264258670.post-8104406034632758422016-04-04T11:53:00.000+06:302017-04-15T12:17:13.102+06:30Please say hello to our new law firm!<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
It
is with pride that we announce the <b>start
of our new law firm</b>: Please welcome <b>Lincoln
Legal Services (Myanmar) Ltd.</b> to this world!<a href="https://www.blogger.com/null" name="_GoBack"></a></div>
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<br /></div>
<div class="MsoNormal" style="text-align: justify; text-justify: inter-ideograph;">
It
is an exciting time to start a new firm in Myanmar: The democratic transition
went splendidly, the <b>new government was
sworn in on 30 March</b>. We have no reason to believe that the clock will be
turned back; the point of no return has long been passed.</div>
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<br /></div>
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The
new parliament has <b>drastically cut the
number of ministries</b> from previously 36 to now 21. <b>Daw Aung San Suu Kyi</b> - who is by the present constitution barred from
becoming president -<b>heads four
ministries herself</b>: The ministries of foreign affairs (which also automatically
makes her a member of the national defence and security council), of electric
power and energy, of education, and of the president’s office. Furthermore, the
NLD has <b>introduced a bill</b> into
parliament that, if passed, <b>will make
her “state counsellor”</b> - a new position that may be akin to that of a prime
minister.</div>
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<br /></div>
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Whereas
the members of the Union government are from the NLD, the military, the USDP or
are not officially affiliated, all Region and State chief ministers are NLD
members.</div>
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<br /></div>
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Please
find an overview of the new Union government inside the newsletter on our homepage.</div>
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<br /></div>
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On a
more mundane note, the <b>Union Tax Law
2016</b> and the <b>Special Goods Tax Law</b>
introduced important changes in taxation that <b>took effect on 1 April</b>. Please find an <b>analysis of the changes</b> as well as an <b>English translation of the two laws</b> inside the newsletter on our homepage.</div>
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Furthermore,
the <b>MIC slightly amended its list of
restricted businesses</b> (notification 26/2016 dated 21 March). We have
translated the notification. In a way, it is already outdated as it still
contains the names of the ministries prior to their new layout under the new
government.</div>
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<br /></div>
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To contact the author or subscribe to our newsletter, please visit us on our homepage: <a href="http://www.lincolnmyanmar.com/">www.lincolnmyanmar.com</a></div>
Lincoln Legal Services (Myanmar) Ltd.http://www.blogger.com/profile/02465769666505734879noreply@blogger.com0