I. On 11/5/2014, on the occasion of attending the 24th ASEAN Summit held in Nay Pyi Taw Capital, Myanmar, the Prime Minister Nguyen Tan Dung and the High-ranking delegation of Vietnam met and encouraged the enterprises under the Association of Vietnamese Investors into Myanmar (AVIM).

Mr. Tran Bac Ha – AVIM President, Chairman of BIDV Board of Directors reported to the Prime Minister and the Delegation on the operating result of AVIM after 04 years of establishment, affirmed its role as enterprise community bridge of the two countries, actively support the Vietnamese enterprises in survey, market research as well as introduce the investment opportunities to the Vietnamese enterprises investing in Myanmar, contribute its part to realizing the joint commitments on economic cooperation agreed by the high-ranking leaders of the two countries.

​By the end of 2013, 45 Vietnamese enterprises were licensed to operate in Myanmar, 19 enterprise were waiting for licence;  7 projects were licensed by Myanmar side with total registered investment capital value of over 600 million USD, typically: Project for Complex of hotels, commercial centers, offices and apartments for lease named Hoang Anh Gia Lai; Project for Marble Quarrying of Simco Song Da Joint Stock Company; Joint venture project for Petroleum exploration of Petrovietnam Exploration Production Corporation (PVEP); Agricultural cooperation program between Vietranimex and the units under the Ministry of Agriculture and Irrigation of Myanmar...

According to the plan agreed by the leaders of the two countries, to 2015, Vietnam – Myanmar commercial cooperation strives for reaching the targets: Investment reaches 1 – 1.2 billion USD; Two-way trade turnover reaches 600 million USD; Tourism reaches 35,000 turns of Vietnamese tourists to Myanmar, at a growth of 30%/year.

To reach the targets agreed by the Governments of the two countries, AVIM proposed some specific solutions such as: (i) Select the Vietnamese enterprises that have financial capacity, experiences as head to invest large-scale, key projects in Myanmar; (ii) Give priority to focusing on the fields needed by Myanmar, Vietnam has strong positions such as: agriculture, planting industrial crops, processing food, producing consumers goods, finance and banking, producing mechanically, spare parts and equipment, trading in service, tourism...; (iii) Continue to speed up the investment promotion activities, support enterprises such as market research, investment procedures, financial arrangement ...  

 For implementation organization and direction, AVIM President requested the Government to assign the Ministry of Planning and Investment to coordinate with the related agencies in Vietnam and Myanmar in establishing the long-term investment cooperation strategy between the two countries; studying, amending and signing additionally the new investment encouragement, protection Agreement to replace the old Agreement 2000; proposed to soon establish the Interdisciplinary working group between the two countries in order to periodically check the implementation of Bilateral agreements and agreements signed between the two countries; Establish overseas investment Fund, Vietnam – Myanmar Friendship Associations to promote and support the Vietnamese enterprises in investment in this country.

AVIM also proposed the Government of the two countries some specific mechanisms, policies for the projects of the Vietnamese investors who are implementing in Myanmar, in the fields such as: bank, petroleum, hotel – office, aviation, agriculture, aquatic products and seafood...

Addressing at the meeting, the Prime Minister Nguyen Tan Dung notified the results, successes at the 24th ASEAN Summit, summarized the initial efforts and results, efforts of Vietnam in the foreign policy; result of the bilateral meeting between the Prime Minister and Myanmar President Thein Sein in order to promote practically, effectively the cooperation of the two countries in all fields, especially the Governments of the two countries agreed the opinion about continuation to give priority to BIDV for establishing commercial bank in Myanmar immediately after Myanmar has completed the regulations on open-door issue of the banking industry in order to promote strongly the two-way trade and support the Vietnamese enterprises in investment into Myanmar. The Prime Minister also praised, highly appreciated the efforts of the Association of Vietnamese Investors into Myanmar, of the enterprises that overcame a lot of difficulties to reach the encouraging results, contribute its part to promoting the trade, investment, tourism of Vietnam in Myanmar market.   

For the investment operation of the Vietnamese enterprises into Myanmar, the Prime Minister emphasized: Vietnam and Myanmar are two member states of ASEAN with good political – diplomatic relations. Myanmar is in the course of opening door and has a lot of development potentials, therefore, the Vietnamese enterprises need to learn about the policies, laws as well as investment opportunities in order to together promote the commercial – investment – tourism cooperation relationship between the two countries.

The Prime Minister believes that, with support, facilitation of the Governments of the two countries, the Association of Vietnamese Investors into Myanmar and the Vietnamese enterprises will continue to make every efforts, implement well and more effectively the investment operations into Myanmar, in which focusing on 12 preferred fields according to the joint declaration between the Governments of the two countries, contribute to promoting the commercial – investment – tourism cooperation relationship between Vietnam and Myanmar.

Following the meeting of the Prime Minister Nguyen Tan Dung and the High-ranking delegation of Vietnam with the enterprises under the Association of Vietnamese Investors into Myanmar, on May 14, within the framework of official visit to Vietnam at the invitation of the Ministry of Industry and Trade of Vietnam, the Minister of Industry of Myanmar – U Maung Myint, and Chairman of Myanmar Small and Medium Industrial Development Bank (SMIDB) had the working program with BIDV and AVIM.

At the working session, Chairman of BIDV Board of Directors Tran Bac Ha introduced the financial capacity, operating experience and overseas investment capacity of BIDV, including operation of BIDV in Myanmar since the establishment of Representative Office in April 2010. At the same time, told that BIDV has prepared readily to establish the commercial bank in Myanmar immediately after being permitted by friendly country. Specifically, BIDV hired 3,000m2 of premises at Hoang Anh Gia Lai Myanmar Center project in Yangon to use as head office and transaction place of the bank, willing to invest the modern information technology system, prepare personnel work for the bank. BIDV representative also proposed some cooperation contents with SMIDB in the coming time such as develop banking products and services, support in improving the information technology capacity for SMIDB in Myanmar, exchange information about banking, economic, financial, banking policy mechanism and policies between the two countries.

Minister U Maung Myint highly evaluated the working session between the two sides with open-minded, practical and effective spirit. As the first Chairman of SMIDB, the Minister agreed on BIDV and SMIDB sign Memorandum of Understanding (MOU) for bilateral technical cooperation and support. Minister Maung Myint thought that the signing of MOU is beneficial to the two banks and to the small and medium-sized enterprises of Myanmar, because BIDV is very experienced in these operations. Both sides agreed to sign MOU in Myanmar, expected at the end of May 2014. The Minister also hoped that BIDV will be one of the first foreign banks that is licensed to operate in the coming time by the Myanmar Government. “This will be a very beneficial factor for promoting the investment, commercial relationship development between the two countries“, the Minister affirmed.

At the working session, the enterprises under AVIM also reported to the Minister on the projects under implementation and going to be implemented in Myanmar such as: Joint venture project for Petroleum exploration of Petrovietnam Exploration Production Corporation (PVEP); Project for Complex of hotels, commercial centers, offices and apartments for lease of Hoang Anh Gia Lai Group; Project for Marble Quarrying of Simco Song Da Joint Stock Company and medical injection needle producing project of Minh Vu Import and Export Co., Ltd preparing to invest into Myanmar. The enterprises also requested, proposed the Minister and Myanmar Government about the issues related to the support policy of Myanmar for the Vietnamese enterprises investing into Myanmar; lease land for project; land tax exemption – reduction in the first time of project implementation, import duty exemption; permit the enterprises to directly distribute the products for market development; establish bank to support in capital borrowing, transfer payment of local loans; support in diffusing widely and create conditions for project of commercial centers, offices and apartments for lease at competitive price in order to contribute to stabilizing price for this field in Myanmar...

Especially, some enterprises desire to contribute to building infrastructure and social security in Myanmar such as upgrade 02 roads surrounding the project of Hoang Anh Gia Lai Group, give 10 artificial kidney machines of Minh Vu Import and Export Co., Ltd to the patients in Myanmar...

Minister U Maung Myint acknowledged and highly appreciated the significance as well as contributions of the projects that the Vietnamese enterprises are investing for the country and people of Myanmar. The Minister also proposed, encouraged the enterprises to meet directly for more specific exchange about the difficulties during the investment in Myanmar.

With the open-door policy for attracting investment that is more and more expanded of Myanmar Government, with increasing efforts to promote the economic, diplomatic relationship development of the leaders of the two states, interest of the Government leaders, leaders of the Ministries and branches of Vietnam and Myanmar for the operation of AVIM are positive signals, encouragement for determination of the Vietnamese enterprises having investment, trade promotion into Myanmar.

For more details, please contact:

The Association of Vietnamese Investors into Myanmar (AVIM)

Tel: 04 39744879

* Proposal of AVIM with the Prime Minister Nguyen Tan Dung for key projects in the coming time

 (i) Establish Vietnam Bank in Myanmar: Propose to create favorable conditions, support so that Vietnam soon establishes BIDV Bank in Myanmar, implement in accordance with the commitment with Myanmar President to support and promote the Vietnamese enterprises to invest in Myanmar.

(ii) For petroleum: Propose Myanmar to support, create favorable conditions for PVEP to carry out exploratory drilling and come to petroleum mining on the mainland.

(iii) For Project for Complex of offices – hotels and commercial centers of HAGL, continue to create favorable conditions so that to the 2nd quarter 2015, will inaugurate stage 1 of the project with nearly 500 hotel rooms and over 81,000m2 area of office for lease.

(iv) For cooperation in agriculture: Propose Myanmar side to provide preferential policies to Vietnam, procedures for registering new variety, importing variety, encouragement mechanism in large rice field production and export rice processing...; promote the projects for planting industrial crops; growing rice with large hectare and processing export rice, grinding and processing food, planting and processing agricultural products for export, aquaculture, breeding cow to serve the milk processing industry...

(v) For aviation: Together with Vietnam Airlines to increase 10 flights/week in January,  propose Myanmar Government to permit Vietnam Airlines to carry out joint venture feasibility study with Myanmar to open domestic flights.

* Further information about Myanmar Small and Medium Industrial Development Bank (SMIDB) 

SMIDB is a semi-state owned bank, has contributed capital of Myanmar Government, assigned for management of Ministry of Industry of Myanmar. SMIDB operates with target to support the small and medium-sized enterprises for Myanmar industrial development, at present it has 18 branches nationwide and is a bank that pays highest budget among 19 commercial banks having private contributed capital of Myanmar (not including the state-owned banks).