You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

March 23, 2026

Myanmar Updates Tax Incentive Rules and Allows CNY for Investment Capital

In March 2026, the Myanmar Investment Commission (MIC) introduced two regulatory updates affecting investors planning new investments or implementing MIC-approved projects.

Minimum Investment Conditions for Tax Incentives

MIC Notification No. 1/202 clarifies the minimum conditions for investments in promoted sectors to qualify for tax exemptions or relief under the Myanmar Investment Law. The notification establishes the following requirements:

  • Investors must contribute at least 35% of the total investment amount in cash, as reflected in the relevant proposal or endorsement application.
  • Where an investment involves a foreign loan, the investor must obtain approval from the Central Bank of Myanmar, together with a loan repayment schedule, and provide evidence that both the foreign loan proceeds and the capital contribution have been remitted in cash through an authorized dealer bank.

Chinese Yuan Accepted for Investment Capital

The MIC also issued Investment News Bulletin No. 1/2026, confirming that Chinese yuan (CNY) is now accepted as foreign investment capital for applications for MIC permits and endorsements, in addition to US dollars (USD). Investment funds contributed in CNY may be remitted through banks authorized to deal in foreign currency in CNY, following the same process currently applied to investments made in USD.

These developments may affect how foreign investment capital is structured and remitted, as well as the availability of tax incentives for investments under the MIC framework.

RELATED INSIGHTS​ 

January 5, 2021
On December 23, 2020, the Prime Minister’s Office issued Notification No. 1414/PMO to continue implementing measures to prevent and control the spread of COVID-19 in Laos from the date of issuance to January 31, 2021. This comes amid a recent surge of COVID-19 cases in neighboring countries, and the transmission of the virus to individuals entering Laos. Specifically, the notification mandates the following: Continued suspension of chartered flights from foreign countries/zones where there is local transmission of COVID-19 among the community. Passengers of flights from countries where there is local transmission of the COVID-19 infection are also prohibited from transiting in Laos. Continued suspension of tourist visas for foreign nationals. Diplomats, employees of international organizations, experts, and investors urgently required to work in various projects must obtain the approval of the National Taskforce Committee for COVID-19 Prevention and Control (NTC); follow the prescribed sanitary measures; and have a COVID-19 PCR test certificate issued no more than 72 hours more before boarding the aircraft. When arriving in Lao PDR, these foreign nationals must undergo another PCR test and quarantine for 14 days in an approved location. Continued closure of all traditional and local border checkpoints (which differ from international checkpoints) to people and goods, except when exempted by the government.  Spraying to eradicate germs will be administered per state authorities’ recommendations. Continued closure of all international border checkpoints to the public, except for Lao and foreign individuals who need to enter and exit from Laos and have the NTC’s permission to do so. Goods can be transported into and out of Laos as usual. Prohibition of large entertainment events (e.g., concerts). Private and family events must implement preventive measures based on the NTC’s recommendations. Continued publication and dissemination of materials publicizing the preventive measures and urging the population in Laos to observe these measures. Monitoring of
December 28, 2020
The practice of business operators taking advantage of Lao consumers has always concerned Lao authorities, especially because the application of the country’s consumer protection regulatory framework has been restricted and unfamiliar to the country’s civil society. For example, the main piece of legislation, the Law on Consumer Protection no. 02/NA, dated June 30, 2010, enunciates a series of broad principles that are too general to be implemented effectively. Moreover, Laos has no independent entity to assist the country’s consumers in making informed decisions, namely by advising them on local operators’ malpractices and defective products that may endanger their health. Under Lao law, the powers delegated to the Ministry of Industry and Commerce (MOIC) and the Internal Trade Department are limited to administering consumer protection measures, such as controlling the price of products below the government’s price ceiling (e.g., for daily commodities, such as pork and traditional soups) and ensuring that products and services observe the country’s minimum safety standards. In practice, selected ministries have also overseen such measures for products under their respective areas of expertise; for example, the Ministry of Health monitors complaints related to medicinal products and pharmaceuticals. For this reason, the Lao authorities have been leading consultations to fill the legal vacuum and better promote consumer protection measures in the country. From these consultations to revamp and enhance the consumer protection legal framework, in mid-2020 the authorities issued recommendations that provide a legal framework for the establishment of consumer protection associations. This guidance was outlined in the Recommendations Concerning the Establishment and Operation of Consumer Protection Associations no. 0707/MOIC, dated July 30, 2020, which were published in the official gazette of the Ministry of Justice on August 3, 2020. Authority of Consumer Protection Associations The recommendations were issued to elaborate on the scope of consumer protection
December 7, 2020
With virtually all business operations in Thailand affected by the fallout of the COVID-19 pandemic, the government has been keen to provide relief measures to limit the economic damage. In addition to implementing broad economic relief, this has also meant changes to the government’s own internal operations, and in recent months, the Public Procurement and Supplies Administration Ruling Committee has issued two circular letters prescribing guidelines on how government authorities should handle their procurement operations during this period. The circulars, which were issued under the Public Procurement and Supplies Administration Act B.E. 2560 (2017), detail the relief measures for government procurement contracts that cannot be fulfilled because of the disruptive effects of the COVID-19 pandemic. Most significantly, the circulars clarify that the impact of COVID-19 should be deemed force majeure under government procurement contracts and government procurement law, which affects the penalties levied on contractors for late performance of required duties under government procurement contracts. The Ruling Committee specified the start of the force majeure period as March 26, 2020 (the date when the government first announced a nationwide state of emergency). This official designation enables contractors to cite disruption from COVID-19 when requesting additional time to perform their duties under a contract, or exemption from or reduction of penalties incurred due to the delay. For contracts that have not yet reached their maturity date, the Ruling Committee granted relief measures by directing the relevant government authorities to count the number of days that COVID-19 has affected performance of the contract, and use this number as the basis for determining an extension of the timeframe for performing the contractual duties. For contracts that have already reached their maturity date, the contractual party that failed to perform according to the contract would normally be subject to an assessed fine for