Wednesday, April 11, 2012

Investors eye resourceful Burma

Myanmar economic catchup marathon could morph into a sprint:
Quote:
In the universe of frontier markets, Burma stands out in four key aspects:

•Location: Burma happens to be wedged between three of the most important economic engines of the 21st Century - China, South Asia, and Southeast Asia. Burma is a land bridge connecting vast populations, and the region's economic dynamism will quickly wash over Burma's borders once its reforms take root.
•People: Burma's population of more than 50 million represents a substantial pool of literate, inexpensive and un-militant labour, who will later become consumers of all sorts of products and services they do not yet have. One million workers have been trained in Thailand's factories and farms, and are ready to return home once decent jobs are available. Look for thousands of garment, furniture and seafood processing factories to sprout up after sanctions are lifted.
•Land: Burma holds the largest landmass in mainland Southeast Asia, larger in size than France. The land is still half forested and features mountains, rivers, fertile deltas, and a coastline of 2,000 kilometres with deep sea ports. The country' deserted beaches and cultural treasures arguably outclass those in Thailand, which draws 18 million tourists a year versus Burma's few hundred thousand. Tourism will skyrocket once Burma becomes marketable.
•Resources: Burma is hugely endowed with natural resources, including oil & gas, minerals, gems, timber, agricultural, fisheries, wind, and renewable energy resources. This bountiful inheritance underwrites Burma's future economic prosperity under better governance and accountability.
Due to its long isolation, Burma faces an acute shortage of hotel rooms, service apartments, office space, and modern shopping malls.

A construction boom will commence once restrictions are eased on foreign ownership of property.

Investors will also converge on the compelling opportunities in core economic sectors such as banking, mobile telecoms, internet, electricity, building materials, and food processing.

If Burma is to modernise, it will need significant foreign investment in virtually every sector.
Unquote:

Leopard Capital - pioneer investors in frontier markets: Investors eye resourceful Burma

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