Myanmar Restricted areas 2015Burma 2015
Myanmar restricted areas | TripBuilder
Myanmar's most northerly city is a highland outskirts that can only be accessed by a few migrants. Situated in the spurs of the snow-covered Himalayas, Putao is a gate to the hills that are thinly settled by Kachin, Rawang and Lisu. It is surrounded by hills whose northerly skyline is overshadowed by Mount Hkakabo Razi.
Putao's tours include two-day hiking tours, near Kachin towns, falls and nearby beauties, several-day white water canoeing tours and a ten-day round tour to the top of Phonkan Razi, which at 3,630 metres is the best reachable hiking top in the area. PUTAVAO is isolated from the remainder of Myanmar and can be accessed with intermittent two-week flight schedules.
Notice of the new Law on Foreign Investment in Myanmar on Banned and Restricted Activity
Myanmar The Myanmar Investmentcommission ("MIC") released Communication 26/2016 of 21 March 2016 ("Communication 26/2016") on banned and restricted activity for FDI. Communication 26/2016 annuls Communication 49/2014 of 14 August 2014 ("Communication 49/2014"). Since 26/2016, the MIC has been issuing the new Notice in Myanmar only. Whilst the new Communication 26/2016 is broadly similar to Communication 49/2014, there are some important changes that are of relevance to investor in certain areas and some general discretion has been established for the MIC.
a) The following business operations no longer involve a jointventure with the people of Myanmar: As a result, these business operations can now be 100% fully overseas without the involvement of Myanmar's people. The Ecotourism no longer needs the permission of the Ministry of Environment and Forestry (recently merged into the Ministry of Resources and Environment).
Moreover, this business must comply with the World Health Organisation's good manufacturing practices. d ) "Economic operations that damage or destroy waters, holy places of worship, conventional ceremonial places, pastures, orchards and arable land and/or aquatic resources" are now added to the list of commercial operations covered by the prohibition.
Complementary to the existing requirements that certain railway-related business operations could only be carried out via a jointventure with the Ministry of Railway Transport (which was recently merged into the Ministry of Transport and Communications), it is now possible to carry out some of these operations via Build Operate and Transfer or Leasing.
In addition, the number of railway-related business activity types requiring Union Government authorisation has been significantly decreased, but the Ministry of Railways (recently merged into the Ministry of Transport and Communications) still needs to obtain authorisation for all railway-related business activity.
In addition, the Ministry of Electricity and Energy's authorisation is necessary for any electricity production for railways. Whilst "vehicle inspections, driver education centres, repairs and servicing training" no longer require the authorisation of the Union government, such commercial activity may only be carried out through a 50 per cent jointly controlled entity, of which 50 per cent is held abroad and 50 per cent by Myanmar as a nation.
g )While the now rescinded Communication 49/2014 explicitly provided that business operations not mentioned in the Communication 49/2014 could be conducted as 100% external investments, Communication 26/2016 contains a general condition that, dependent on the type of planned business operation, such a business operation may not be conducted as 100% external investments if the MIC finds that such a business operation is subject to the approval of the competent State.
The new Notice therefore gives the MIC a wide margin of appreciation to prevent full overseas property in companies carrying out commercial operations which, according to the MIC, are subject to authorisation by the MIC. h )Communication 26/2016 also provides that services companies "which are not eligible for investment" may only be carried out with the authorisation of the competent government department.
This limitation only affects a services company that has requested capital expenditure approvals from the German Institute of Financial Analysts and Asset Managers (MIC), since there is no indication of what can be regarded as "unsuitable". The Myanmar government has progressively narrowed the scope of banned and restricted activity for FDI since the adoption of the Myanmar External Investments Law in 2012 and the issuance of the first such Communication, Notice 1/2013, and has progressively narrowed the overall scope of restricted industries.
Communication 26/2016 is a further stage in the efforts of the Myanmar government to promote FDI in Myanmar.