The $300 million estate project of Hoang Anh Gia Lai (HAGL) Group in Yangon has broken the four-pillar position of the investors of Singapore, Thailand, Japan and Hong Kong in the tourism and commerce real estate market in Myanmar.
The site for HAGL's project in Yangon, Myanmar.
According to the Ministry of Hotels and Tourism of Myanmar, since the first Foreign Investment Law was issued and the Investment Committee was established in 1988, many international investors have poured capital in the hotel and tourism sector. However, the foreign capital flow and the number of projects have sharply increased after the economic sanction was lifted.
By mid-December this year, Myanmar had 35 hotel projects with foreign capital, with a total capacity of 6,235 rooms across the country and over $1.1 billion of investment and assets. Previously, Singapore took the lead in investment and assets, followed by Thailand, Japan and Hong Kong. In the past there was no hotel of Vietnamese investors in Myanmar.
Since 2012, when HAGL entered this market, the situation has changed.
The Minister of Hotels and Tourism of Myanmar, HE U Htay Aung, said: "HAGL is not only the first Vietnamese investor pouring capital into the hotel and tourism sector, but also the largest foreign investor, accounting for 26 percent of total FDI in this field in Myanmar."
According to HE U Htay Aung, the Hoang Anh Gia Lai Myanmar Centre project includes a five-star international hotel with over 400 rooms, a trading center, an office building and apartment building for rent. The project is located in the hub of Yangon.
Speaking to a local newspaper after the signing ceremony of the Build Operate Transfer (BOT) and land lease contract with the General Department of Hotel and Tourism of Myanmar, general director of HAGL Land Le Hung said that all legal procedures of the project has been completed. The whole land has been cleared. "We are waiting for the Ministry of Planning and Investment of Vietnam’s license to start the project," he said.
The first phase of the project will be carried out in three years, from 2013 to 2015 and the second phase will be from 2016 to 2018.
"Myanmar is new and every-day changing market. When it is fully opened, investors would rush down here. We want to catch the opportunity in this market because…," Hung said.
|< Prev||Next >|
» Fuji Engineering Vietnam to build houses for Japanese workers in Hà Nam
» Thai groups eager to purchase shares of 12 big SOEs in Vietnam
» Vietnam puts US-led mammoth trade deal on backburner, but so what?
Latest Category Posts
- Fuji Engineering Vietnam to build houses for Japanese workers in Hà Nam
- Thai groups eager to purchase shares of 12 big SOEs in Vietnam
- Thailand's second richest billionaire ready to acquire Vinamilk
- Solutions sought to unload goods from Hanjin ships
- Dentsu unveils media laboratory
- Sony Show kicks off in Hà Nội, HCM City
- VSTV offers online channel package
- State urged to retain 51% capital in Sông Đà Corporation
- BKAV in network safety training course
- Novaland takes over urban project from Daewon
Popular Category Posts
- New-style cooperatives piloted in Mekong Delta
- List of HCM City projects mortgaged by developers and owners released
- European firms remain upbeat on Vietnam business situation
- Middle-class Vietnamese: who are they?
- Fast food market sees slower growth
- Starwood Hotels & Resorts unveils Vietnam expansion plans
- PetroVietnam seeks way to handle challenges
- Central Group rejects rumor that Chinese firms own Big C Vietnam
- HCM City proposes underground shopping center
- Sales of Vietnamese goods, agricultural products affected by rumors
- Vpresso expands franchise model in Vietnam
- Vietnamese turn their back on Chinese cars
- Vietnam store fined $22,500 for accepting dollars, yuan
- Garment makers reduce production as competition heats up
- Traditional markets in central areas, shopping malls in suburbs
- Businesses buy foreign companies in support industries
- Agriculture abandoned by Vietnamese entrepreneurs
- Seoul Semiconductor wins licence for $300 mln Vietnam project
- Coffee chains crushed in retail premise war
- Gold price fluctuations cause mad rush among investors