Investing in Myanmar

Myanmar provides several formal investment channels, but they differ greatly in access, liquidity, documentation and legal protection. Listed shares trade through the Yangon Stock Exchange (YSX). The YSX Main Board has eight listed companies: FMI, MTSH, MCB, FPB, TMH, EFR, AMATA and MAEX. The Pre-Listing Board had MADPL and ASPGB registered in the third quarter of fiscal year 2025/26; it is a steppingstone for unlisted public companies rather than a Main Board listing. The combined Main Board and Pre-Listing Board market capitalization was approximately MMK 955,017 million, with average daily trading value of about MMK 49 million over 57 trading days. These figures indicate a shallow and concentrated market. OTC shares may also exist, but their price formation, regulation, liquidity and exit options require separate verification. Government Treasury bills and bonds provide a second formal channel. The Central Bank of Myanmar (CBM) conducts primary auctions, while securities companies can provide access to secondary purchases. The YSX bond-market guide limits the exchange itself to equities. Government securities carry sovereign-credit, duration, inflation, Myanmar kyat and liquidity risks, and each instrument's retail eligibility, minimum lot, settlement process and availability should be confirmed with the current broker or securities company. Direct investment can use a Myanmar private or public company, a joint venture, a foreign company or a branch registered through the Directorate of Investment and Company Administration (DICA) and its MyCO company-registration system. MyCO records and official extracts help verify ownership, directors, filings and company status. Published registration fees are MMK 300,000 for a private company and MMK 2,500,000 for a public company. Myanmar generally has no minimum capital requirement, although regulated sectors such as banking, insurance and securities follow separate rules. Foreign ownership of up to 35% in a Myanmar company can avoid foreign-company status, but sector restrictions, the Foreign Investment Law and conditions imposed by authorities still apply. A public company also needs a Certificate for Commencement of Business before operating or inviting the public to subscribe for equity. The Myanmar Investment Commission (MIC) may issue a Permit or Endorsement for projects involving national strategy, large capital, environmental or community effects, state-owned land or restricted sectors. An Endorsement can support eligible land rights and tax relief, while a Permit applies to projects requiring the more extensive approval process. DICA describes target processing times of up to 15 days for proposal acceptance and up to 60 days for an MIC decision, but actual timing depends on the project, ministries and documents. Approved sectors may allow investment without a local partner, while restricted activities can require a Myanmar joint venture or local conditions. Sector licences, environmental approvals, land documents and later reporting remain separate requirements. Real-asset investment in Myanmar often concerns land-use rights rather than unrestricted foreign land ownership. No general foreign right to buy land is established by the reviewed sources. Under a Myanmar Investment Law permit or endorsement, an initial lease can run for up to 50 years, with possible extensions of 10 years and a further 10 years. The applicable land law and project conditions still govern the arrangement. Citizen investors and foreign investors therefore require different checks, and a land-use project also needs review of title, lease rights, permitted use, infrastructure, environmental exposure and exit terms. Foreign participation in YSX trading has been allowed since 20 March 2020 under SECM Notification 1/2019 and Instruction 1/2020. The Securities and Exchange Commission of Myanmar (SECM) supervises the capital market, while licensed securities companies provide brokerage, dealing, underwriting, advisory services and securities accounts. A foreign investor generally applies through a securities company, completes customer identification checks and passes the YSX duplicate-account check. Each listed company has its own foreign-ownership ceiling. When foreign ownership reaches or approaches a soft limit, buying can be suspended while selling may remain possible. A resident foreigner uses an R-KAS account and a non-resident foreigner uses an N-KAS together with an N-FAS account. These accounts are limited to securities transactions and remain subject to local bank and authorised-dealer foreign-exchange rules. A retail securities account requires evidence that differs by provider. MSEC lists a National Registration Card and private bank account for an individual. A company may need registration documents, its constitution, Forms VI and XXVI and a board resolution. A fixed-deposit account is not accepted for this purpose. MSEC states that account opening can take up to nine business days, permits online or mobile orders and provides one securities account per client. An order cannot be cancelled after execution, and cash withdrawals go only to the designated bank account. Trading reports show continuous and block trading, with T+3 settlement. Dividend, interest and redemption payments normally pass through the custodian or securities company. Current trading hours, holidays, order types, margin, short selling and any derivatives access require confirmation because the reviewed sources do not establish retail margin trading, short selling, options or futures. Brokerage charges under SECM Notification 2/2019 are scheduled at 1.0% for transactions up to MMK 1,000,000, 0.7% from MMK 1,000,001 to MMK 10,000,000, 0.5% from MMK 10,000,001 to MMK 100,000,000 and 0.4% above MMK 100,000,001. The schedule applies to both purchases and sales. MSEC publishes the same bands and a maximum of MMK 400,000 in the highest band. YSX and securities-company charges, custody, transfers, remittances, documents, bank fees, stamp duty and taxes can add to the transaction cost, so the current fee sheet should be obtained before placing an order. The Internal Revenue Department (IRD) treats shares, bonds, securities and similar agreements as capital assets. A capital-gain return and payment generally fall due within 30 days of the transaction, while a consolidated return is generally due within three months after the income year. The applicable rate and treatment depend on the investor's status, transaction and current Union Tax Law. Resident citizens, resident foreigners and domestic entities may face a broader worldwide scope, while non-resident foreigners and foreign economic organisations are generally assessed on Myanmar-source gains. Tax clearance can also affect transfers and remittances. Myanmar investment law provides protections against expropriation except for public interest, with non-discrimination, due process and prompt, fair and adequate compensation described for qualifying investments. These protections do not remove the need to follow permits, land and environmental rules or approval requirements for transfers, share changes and business changes. Remitting dividends, profits or transferred capital can require an MIC submission, audit, bank statement, Form 13 and a tax-clearance recommendation, followed by processing through the Central Bank of Myanmar and the Foreign Exchange Supervisory Committee. Foreign-exchange dealing is restricted to authorised licensees. Capital flows, bank accounts, exchange rates and supporting documents are controlled, and the MIC bulletin issued in 2026 states that USD or CNY can be accepted for foreign-capital proposals and endorsements through authorised dealer banks. Currency mismatch can materially change the result: an asset or cash flow in MMK financed with USD or CNY can lose value when the Myanmar kyat depreciates or conversion and repatriation are delayed. Other risks include inflation, conflict, earthquake recovery, fuel shocks, power outages, trade and logistics disruption, weak demand, labour shortages, issuer default, weak governance or disclosure, custody and settlement outages, price gaps, fraud, unlicensed solicitation, tax and anti-money-laundering issues, natural disasters and policy or legal changes. The research data reports year-on-year inflation of 24.6% in April 2026, a World Bank real-GDP estimate of minus 2.0% for fiscal year 2025/26 and a forecast of 2.0% growth for fiscal year 2026/27. Sanctions screening belongs in every investment review. EU restrictive measures were extended to 30 April 2027, with 105 individuals and 22 entities listed as of 27 April 2026. Asset freezes and prohibitions on making funds or economic resources available can affect issuers, owners, banks and counterparties. Applicable EU, US, UK and UN lists should be checked together with beneficial ownership and the proposed payment channel. A local portfolio can become concentrated quickly because the listed market has few issuers and limited sector breadth. Finance, real estate and special economic zones, telecommunications, logistics, tourism, wholesale and agriculture are represented, but broad global diversification is difficult through local products. A sensible review compares the investment with MMK liabilities, keeps a separate liquidity reserve, tests the position size against a long exit period and checks whether the intended horizon fits T+3 settlement and thin secondary-market demand. Long-term equity and dividend strategies, issuer research and selected government-bond exposure are distinct from short-term trading. Rights issues require review of dilution, the theoretical ex-rights price and any CBM approval. Mutual funds, ETFs, listed derivatives and regulated retail crypto assets were not evidenced as broad retail channels in the reviewed official sources, so they should not be assumed to be available in Myanmar.