Myanmar’s manufacturing sector attracts over US$92.9M FDI (Apr-Nov)
According to the statistics released by the Directorate of Investment and Company Administration (DICA), foreign direct investments of more than US$92.98 million have flowed into Myanmar’s manufacturing sector as of November in the financial year 2024-2025 beginning 1 April.
The Myanmar Investment Commission (MIC) permitted 35 enterprises to invest in the manufacturing sector so far. Chinese companies primarily made investments in the manufacturing sector. The manufacturing enterprises that need a large labour force are prioritized to create job opportunities for the locals.
MIC gave the green light to 41 foreign projects from seven countries — China, Chinese Taipei, Hong Kong SAR, India, Indonesia, Singapore and Thailand — to make investments of over $235.7 million in the past eight months, adding increased capital by the existing enterprises from China, Chinese Taipei, Hong Kong SAR, India, the Republic of Korea, Japan, Seychelles, Singapore and the UK.
The transport and communications sector pulled $87.7 million with a capital expansion of $82.66 million this FY. The manufacturing sector drew over $92.98 million and the services sector received $44.9 million. The power sector brought in an FDI of $8.5 million while investments of less than one million flowed into the agriculture sector respectively. The livestock and fisheries sector witnessed a $1 million increase in capital by existing enterprises.
Singapore is the leading foreign investor in Myanmar with $89 million of FDI in the past eight months of the current FY, followed by China and Thailand.
Myanmar’s manufacturing sector is largely concentrated in garment and textiles produced on a Cutting, Making, and Packing basis, and it contributes to the country’s GDP to a certain extent.
Myanmar Garment Manufacturers Association (MGMA) is committed to accelerating its effort to keep improving Myanmar’s garment sector, joining hands with international brands and partners, as per the MGMA’s statement on its commitment released on 25 August 2023. MGMA also offers HR management courses, occupational health and safety courses, and basic and advanced sewing machine operator training to enhance the capacity of the employees.
There are 547 active factories operated under the MGMA as of October 2024 comprising 323 from China, 56 from South Korea, 17 from Japan, 15 from other countries, 48 domestic factories and 25 joint ventures. Fifty-three factories are temporarily closed for now, according to the MGMA’s monthly Newsletter. — KK
