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.

Myanmar’s Ministry of Finance and Revenue has introduced new procedures allowing companies to temporarily export raw materials and semifinished goods for overseas processing before reimporting the finished products for domestic sale. The procedures are detailed in Notification No. 143/2025, which was issued on December 23, 2025, taking effect on February 1, 2026. The new procedures define outward processing as the temporary export of domestically circulating or manufactured goods for manufacturing, processing, treatment, or repair abroad, followed by reimportation. Core elements include the temporary export of the goods, the continuity and identifiability of the exported and reimported items, and the assessment of duties based on the value added abroad. Upon reimportation, customs duty, commercial tax, specific goods tax, and advance income tax are applied only to the foreign value added, rather than to the full value of the goods. No advance income tax applies at the time of export. Before these procedures, Myanmar lacked a unified outward processing system. The closest existing practice was the “repair and return” mechanism, used for goods such as machinery parts that required repair abroad. The definition covers a broader range of operations than simple repair. Eligible Goods and Shipment Points Outward processing is permitted only for goods that satisfy specific eligibility criteria. The scheme expressly excludes: Goods that are prohibited from export or import Goods that can be processed domestically within Myanmar Precious stones Goods that would lose their essential characteristics after processing Export and reimport activities related to outward processing must be conducted through designated ports, airports, or dry ports located within Yangon Region. Eligible Companies Only companies that are legally registered in Myanmar and authorized as exporters or importers—specifically, businesses holding a valid export/import registration certificate—are eligible to engage in outward processing activities. The Myanmar Customs Department serves as the governing authority

On December 31, 2025, Myanmar’s Department of Trade introduced new rules for import and export license applications. The rules were issued in Announcement No. 4/2025, which took effect on January 1, 2026. Under the announcement, all applications for licenses must now be submitted and approved through the online Myanmar TradeNet 2.0 system. The announcement sets a maximum review period of 180 days for each application. If approval is not granted within this period, the application will be automatically canceled by the system. In addition, companies may submit only one application per calendar month for goods of the same type (same HS code), and only one license will be approved. Businesses involved in importing goods should review their planning and ensure compliance with the new restrictions.

On January 7, 2026, the Central Bank of Myanmar (CBM) announced a further relaxation of foreign exchange regulations through Notification No. 2/2026, with an effective date of January 1, 2026. This notification reduces the mandatory conversion requirement for exporters’ earnings in foreign currency into Myanmar kyat (MMK). Under the new notification, exporters are required to convert only 15 percent of their foreign currency export earnings into MMK at official CBM reference exchange rates, down from the previous required minimum conversion level of 25 percent. The adjustment provides exporters with more flexibility to manage foreign currency, improving liquidity for international transactions and reducing cash flow pressure. However, companies must still comply with the foreign currency conversion procedures and timelines set out in the CBM’s Notification No. 12/2022.