Lawyer in Myanmar Dr. Oliver Massmann - Myanmar Investment - Galaxy Media interviewing Dr. Oliver Massmann on the current investment situation in Myanmar:

1. Lawyer in Myanmar Dr. Oliver Massmann - Myanmar Investment - Galaxy
Media interviewing Dr. Oliver Massmann on the current investment situation
in Myanmar:
1. Why did Myanmar economy not boom as many promise under the new leadership?
ANSWER: The main issue here is the NLD Government has a lot on its plate. It is a first term
government and is still setting its agenda and working out priorities to ensure Myanmar's transition
into a peaceful democracy. This is not easy and takes time. We need to be patient.
Another reason, is foreign investors are waiting for many key laws and regulations to pass still
which were on the books during the previous USDP Government. These laws include the new
Myanmar Companies Law and implementing regulations, Condominium Law implementing
regulations and the new regulations that underlie Law No 72/2015 24 December 2015 ("Mining
Law") that amended the Myanmar Mines Law of 1994 (collectively, "Key Laws").
Major regional foreign investors nations in Myanmar like Singapore are now experiencing less
prosperous times than 2012-2015, when Myanmar's economy was booming. This has resulted in
less FDI coming into the country. Accordingly, we are also experiencing a lot of "wait and see"
from potential foreign investors.
There are also several on-going conflicts in Myanmar. In 2015 these conflicts were back page
news and were often overlooked, but today are world headlines. The NLD Government is getting
a lot of pressure from the international community. Unfortunately, this has portrayed an image to
foreign investors of a lack of political stability in Myanmar. However, the reality is a stark contrast
as every-day life in Yangon and throughout Myanmar for foreign businesses is very stable.
- What specific policies restrains the growth?
ANSWER: There is no specific policies as such. This more of a delay to pass investor friendly
Key Laws.
2. I have news that real estate is one of the worst sectors under new government, can you
explain what really happened?

2. ANSWER: Yes, the issue here is that many property developers invested large amounts of money
in real estate development anticipating that foreigners would be legally allowed to purchase
condominiums. However, presently foreigners are prohibited from owing land in Myanmar
(including freehold land) and leasing land for a period of longer than 1 year, unless they hold a
Myanmar Investment Commission Permit or Endorsement, which allows long term leasing rights
of up to 70 years. The former USDP Government tried to address this issue by passing the
Condominium Law which would allow foreigners to own up to 40% of apartments in a
condominium building. However, the implementing rules for the Condominium Law have not yet
been passed, so presently foreigners do not receive any title, nor are they permitted to register any
title with the Office of Registration of Deeds (Land Registry Office). Real estate developers are
eagerly awaiting the passing of the implementing rules for the Condominium Law which will
hopefully rectify this.
3. Do you think Aung San Suu Kyi is talented enough to keep the sustainable development
for country?
ANSWER: Yes, I certainly believe so. Daw Aung San Suu Kyi just needs to be given
sufficient time and international support from foreign governments and multilaterals. In this
regard, we need to be patient and optimistic.
4. How do you think about the prospect of Myanmar in forward 12 months?
ANSWER: Providing Key Laws pass, economic growth and outbound investment appetite of
Myanmar's neighbors is stable, I see enormous potential for Myanmar's economy.
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Please do not hesitate to contact Dr. Oliver Massmann under omassmann@duanemorris.com if
you have any questions or want to know more details on the above. Dr. Oliver Massmann is the
General Director of Duane Morris Vietnam LLC.
Thank you!