Since Myanmar Strategy has completed predictions
for the Top Ten Myanmar BusinessTrends for 2018, we feel somewhat entitled to share with you our Top Seven 2018 Wish List for
Myanmar Market as follows.
#1: Lower
Interest Rates
Central Bank fixed the deposit rates at 8% while
lending rates are regulated at 10-13% range. Our wish list is for the actual lending
rates for businesses to be adjusted to a more realistic and practical levels of
Thailand (6%-8% range), Vietnam (6%-7% range), and Philippines (5%-6% range) in
near future. We know that it will not happen overnight, but we are hopeful that
it would move in the right direction since the inflation is successfully
managed at below 5% level, and since there are still rooms/tools for the
regulator to maneuver with to potentially lower the lending rates and grow the
economy (and GDP) above 6% level.
#2: PR
and Image Management for the Government
Rightly or wrongly, Yakhine issue had negatively
affected the image of our young democratic government (and country in general)
in the international community. For the record, Myanmar Strategy has tried our
best to shine some lights from ‘neutral’ perspective and defended Myanmar in
various comment/feedback sections of major news media such as New York Times,
Washington Post, Telegraph, The Guardian, The Hill, NPR, Axios, CNN, Fox, and
the list continues.
We believe that now may be an appropriate time for
the government (and active citizens) to aggressively reach out and explain to
the international community, including friendly governments, conservative and
liberal media, that Myanmar is still Ok, still Positive, and still Very
Peaceful and Business Friendly. It is not necessary for the Myanmar government
to pay millions (like Turkish government did) to then US National Security
Advisor, General Michael Flynn, to write an OpEd in some influential Washington
DC media to lobby on political influence. However, positive PR campaign is
possible through smart and diligent social media campaign involving active
professional Myanmar citizens and well-wishers around the world.
#3: Milk
the External Political Influence
While US, under the current administration, is
leaning towards far-right inward-looking ‘America First’ policy, and while
Russia is busy hacking in US and EU, it is natural that our neighbor China, another
super power ‘big brother’ with UN Security Council veto vote, will try to
exercise its influence and extend goodwill towards Myanmar. ASEAN, with
non-interference policy, will always want to see a stable Myanmar. India,
another big neighbor, can’t possibly let China ‘deposit’ all the goodwill into
Myanmar account forever. And our long-term friendly supporters of Japan, South
Korea, EU, and Australia will always continue to keep a keen interest in both
economic and political progress in Myanmar.
Therefore, we wish to see that Myanmar government
will make full use of the Yakhine crisis to its political advantage and milk
some serious political and economic benefit out of this for the long term
progress of the country.
#4: Telecom
Infrastructure and Data Speed
While the country continues to develop the physical
infrastructures including roads, transportation, airports, container ports, housing,
hotels, schools, electricity and so on, it is highly important to further
develop the telecommunication infrastructure too to effectively support the IT
and Start-up entrepreneur and trading communities that are positively and
excitingly growing in Myanmar.
We wish to see even more competition and
improvement among the telecom companies in terms of service quality, data
speed, and affordability.
#5: Funding
Availability
Our #1 wish list was for a more practical level of
lending rates. But what is the use of lower interest rates if the funding is so
difficult to obtain by the local medium size corporations, smaller family run
enterprises and start-up entities? As more banks grow in number of branches,
online banking and take in more deposits, we hope that the lending/funding net
is also cast much wider to reach out to more businesses and entrepreneurs. We therefore
wish to see a more calculated risk taking by the funding sources in the country
and further fuel the business and entrepreneurship culture and community in
Myanmar in 2018.
#6:
Education and Training
Myanmar Strategy is delighted to see various new
education and training packages on offer in Myanmar market nowadays, ranging
from fully accredited graduate degrees to some short-term vocational training
programs. We hope all of these education and training programs are somehow
beneficial to the young and aspiring workforce in the country. More
importantly, we wish that these educational institutions and training programs
would focus and tailor-make on specific industry needs in Myanmar so that the
graduates (or candidates) are real-life employment-ready upon completion of
their respective studies or training programs.
#7:
Ethical Business Practices
We noted with excitement that some ethical and
corporate governance award winners in Myanmar such as AYA Bank, Yoma Strategic
Holdings, and so on. It is our sincere wish that more of such progress is made
in 2018 in the industry so that more Myanmar employees and all stakeholders are
better protected and have more career and growth opportunities as the country
continues to grow aggressively.
Myanmar Strategy team wish all of you the best of
health, happiness, love, peace and prosperity as you start 2018 with your
family, loved ones and esteem colleagues.
God bless.
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