Recent Regulation:
Telecoms Law
On August 29th Myanmar’s parliament passed the long-awaited telecoms bill. According to the Joint Bill Committee, President Thein Sein sent the bill back to parliament with five recommended changes, which were not made public. The Myanmar Times noted that the committee agreed with most of the president’s changes but did not give specific details. According to the Myanmar Times, MPs were expected to finalize Myanmar’s long awaited telecoms bill on October 1st, but the bill has yet to be released publicly. After the bill is approved, it is expected to be enacted with seven days. Telecommunication firms are waiting for this bill as it will provide the framework in which they must operate. Recent reporting has focused on the potentially lucrative nature of the Myanmar telecoms industry. President U Thein Sein has previously publicly announced his goal to raise teledensity from below 10% to 80% by the end of 2015, which offers substantial potential opportunities to new players in the mobile scene. To read more, click here.
Farmers’ Bill
The Myanmar parliament approved the Farmers Rights Protection and Raising Interest Bill on October 3rd. According to The Irrawaddy, parliament did not accept President Thein Sein’s recommendations for amendment; however, those recommendations were not made public. Win Myint, a lower house MP for Bassein Township said the bill includes the formation of a farm products administration board, allows for stipends to farmers, and mechanisms to keep commodity prices balance, although the article did mention how these initiatives would be implemented. Making up over seventy percent of the population, Myanmar’s agricultural workers remain one of the country’s poorest populations and many live in continuous cycles of debt. Land tenure continues to be an issue in the agriculture sector as does the government’s dictation on what crops farmers are allowed to grow.
Recent Legislative News:
Companies Law
The Ministry of National Planning and Economic Development will begin the process of rewriting the nearly 100 year old Companies Act, with the aim of completing the revision by the end of 2014. The Asian Development Bank will provide assistance aimed at ensuring the new Companies Act will reflect procedural and technological advancements, such as online company registration. A key adjustment will be to develop precise criteria to label a company foreign or domestic based on management and the makeup of the board. A goal of the revision will be to bring Myanmar company registration up to international standards, making finding a partner easier for foreign firms, who have often had difficulty finding complete information on domestic Myanmar companies. Analysis suggests the new law could increase the number of joint ventures by allaying the fears of domestic firms of being held to laws directed at foreign companies. Additionally, the Burma Special Companies Act of 1950, differentiating private and public companies, may also be updated and included in the a new Companies Act.
Land Use Plan
Channel News Asia has said the Myanmar government seeks to release a new national plan for the use of land by the end of 2014. According to the media outlet, the government hopes the plan will help control the increasing price of land by allocating reserved land for future urban development clarifying for owners the regulations surrounding the use and development of their property. The skyrocketing price of land is said to have become a strong deterrent for foreign investment with many businesses are finding it difficult to locate adequate business fronts and affordable rentals for their employees, a particular concern for U.S. companies subject to reporting requirements, as even purchasing a small office can bring a company over the $500,000 threshold. Some suggest the government should release land for joint venture development as an additional step to temper the rising price of land. To read more, click here.
Constitutional Amendments
The central executive committee of the ruling Union Solidarity and Development Party has begun making observations on all previous drafts of the Constitution—including the 2008 Constitution—as part of measures to amend necessary clauses prescribed in 2008, said Htay Oo, vice-chairman of the ruling party. The ruling party has had several discussions on whether some clauses of the 2008 Constitution are applicable to the current situation in Myanmar. With the hope of providing better constitutional amendments, the parliament-formed Constitution Review Joint Committee will hold a paper-reading session, said Htay Oo. To read more, click here.
Voting Laws
Members of Parliament in Myanmar have submitted bills to amend the parliamentary election laws which allow temporary citizenship card holders to vote. MP Ba Shein from Kyaukphyu Constituency in Rakhine State said on Monday that the bills -- the Lower House Election Law, Upper House Election Law and Regional Parliament Election Law -- would be discussed during the forthcoming 8th parliamentary session in Nay Pyi Taw. "We have submitted those bills to amend the laws that allow non-citizens to cast votes. This is contrary with the constitution. That issue may be deal with in the upcoming parliamentary session," said Ba Shein from the Rakhine Nationalities Development Party (RNDP). To read more, click here.
Consumer Protection Law
Myanmar is preparing to enact the Consumer Protection Law in a bid to ensure safety of locally manufactured products, said Mr. Khin Maung Lay, Director General of the Ministry of Commerce. “The key point is to protect the consumers, and there are also promises [we] made to the other ASEAN countries. Meanwhile, if something goes wrong, the parties concerned seek a solution together, rather than getting punished,” the director general said during a workshop on consumer protection at the ministry office in Yangon. “Five nations of the ASEAN have already legislated on consumer protection. Myanmar will also enact the law in 2013. Once the law is passed, there will be effective legal enforcement,” he added. The consumer protection bill has been submitted to the parliament and it is to be discussed in coming parliamentary session, other sources confirmed. To read more, click here.
Interest Rate Review
Speaker of the Pyithu Hluttaw (the lower house of Parliament) Thura U Shwe Mann, during a meeting with Myanmar Fishery Federation (MFF) on 8 September, promised to submit a proposal aimed at reducing interest rates for loans during the upcoming parliamentary session in October. He promised to do so in response to complaints by members of the MFF regarding high interest rates as a barrier to expanding their businesses. Current maximum interest rates for loans are 13%. U Set Aung, Deputy Governor the Central Bank admitted that the 13% percent interest rate is much higher compared to that of other nations, but there are reasons behind the high rate. U Htay Myint, Chairman of the MFF said the government sets a very high interest rate despite receiving low interest rate loans from foreign countries, which is unfair to SMEs and consumers. During the parliamentary session held in the first week of July, Dr. Lin Aung, Deputy Minister of Finance said there is no plan to reduce the 1 percent service charge currently levied for loans extended to local SMEs. To read more, click here.
Myanmar Identifies More Laws for Amendment
According to Eleven Myanmar, the Myanmar government will soon begin the process of amending the Financial Institutions Law, last revised in 1990. According to the article, 18 laws have been identified to be amended, including five that have already been revised but were not published. Other laws to be amended include the: Insurance Law, Insurance Authority Law, Government Security Act, and Pensions Act. Pyoe Min Thein, a member of the committee responsible amending the law, said the committee will seek input from government and private banks in amending the law. In July, the Myanmar government passed the Central Bank Law providing it more autonomy from the Ministry of Finance. To read more, click here.
Mining Law
A director at the Ministry of Mining, Aung Thuyein Win, announced on October 1 the Ministry had submitted a draft of the new mining law to parliament. Aung Thuyein noted that he hopes parliament will pass the bill within three months and then enacted within the following 90 days after its approval. According to Reuters, mineral rich Myanmar is feeling the impact of the delayed mining bill. Potential investors are being deterred by years of permit processing time, falling commodity prices and a decline in debt and equity market resources. According to Reuters, the new law is designed to clear the way for foreign investment in the sector. Myanmar has an exceptionally productive extractive industries sector, which has included gold, copper, lead, zinc, tin, as well as more sensitive products such as teak, jade, and natural gas. To read more, click here.
Looking ahead:
Myanmar to Draft Law to Form Court Monitoring Groups Including Media Reps Eleven Myanmar 8 Sep 2013
Myanmar will draft a law to form court monitoring groups that will include media people, says the chairman of a parliamentary committee. Thura Aung Ko, chairman of Lower House's Judicial Affairs Committee, revealed the plan during a meeting between Union Parliament speaker Thura Shwe Mann and judicial organizations in Yangon on Saturday. He also said the law containing provisions to ban photo and video cameras in courts would be cancelled or amended. The constitution has clearly said that court trials must take place before the public except the cases that could harm the dignity, peace and stability of the State, said Aung Ko.
Myanmar to draft political dialogue framework Eleven Myanmar 22 Sep 2013
Myanmar will start drafting a framework for political dialogue that will include the participation of government, military, parliament, national races, armed groups and political parties in November or December, says a government's peace negotiator. Aung Min, the vice chairman of the Union Peacemaking Work Committee, revealed the plan during the opening of a seminar on 'Trust Building for Peace' in Taunggyi in Shan State on Saturday. "We will start political dialogue as soon as a nationwide cease fire agreement is reached. Before that, we will have to discuss a necessary framework in coordination with the ethnic organizations. So we are preparing to draft a political dialogue framework in November or December. The framework will also be drafted in coordination with all those concerned," said Aung Min. The three-day seminar is being attended by more than 40 organizations, including ethnic organizations, and some veteran politicians who attended the Taunggyi conference in 1961.
Parliamentary Bill Committee Calls for Press Bill Amendment Eleven Myanmar 24 Aug 2013
The Upper House Bill Committee has decided to push for the amendment to a controversial legislation that was drafted by the Information Ministry after discussing the issue with MPs at the Upper House on August 23. The move came from the committee of Myanmar's Upper House of Parliament said in a report that an entire section of the controversial Printing and Publishing Enterprise Bill, approved by the Lower House in July, needed to be cancelled and amended. They were discussing the bill during a parliamentary session in Nay Pyi Taw on August 19. The press bill is the fourth pillar after three powers of administration, jurisdiction and legislation and it is directly related to the public. For that matter, it is the law that should be written with awareness, said MP Khin Maung Latt from Rakhine State Constituency No-6.
In case you missed it:
Government Seeks to Define "Political Prisoner" Through Parliament Eleven Myanmar 2 Sep 2013
A government-backed committee will attempt to define the term "political prisoner" through the parliament, according to a meeting held with human rights organisations. The Remaining Political Prisoners Scrutiny Committee held a meeting in Yangon on August 30 attended by President Office Minister Soe Thein, Deputy Minister Aung Thein and 15 other committee members. "Community-based organisations and political parties are required to work together to find out comprehensive definition of political prisoners. When this matter is put on the agenda in parliament, it will be passed as law," said Bo Kyi, joint-secretary for the Assistance Association for Political Prisoners (AAPP).
Ease Industrial Approval Process: Serge Pun Myanmar Times 11 Sep 2013
Prominent entrepreneur U Serge Pun called for a streamlined process for industries planning to set up shop in Myanmar, claiming it will assist in attracting much-need factories to provide employment. U Serge Pun pointed to China where he said there the barriers to establishing a factory are lower, with no need to see a multitude of high ranking government officials before investing. “They go and start a factory because the rules are so transparent, so clear, that if you invest in [a specific] sector you know you can do this, you can do that, you cannot do that ... it’s all there,” he said at the Myanmar Global Investment Forum in Nay Pyi Taw on Tuesday. He recommended a similar approach could assist with attracting investment in Myanmar.
Constitutional Amendments Key to Reaching Genuine Peace - NLD Eleven Myanmar 16 Sep 2013
The opposition National League for Democracy (NLD) and representatives from 12 ethnic groups have agreed on the importance of constitutional amendments to achieve internal peace. The landmark decision was made during a meeting on Saturday at the NLD’s headquarters in Yangon. "Constitutional amendment and internal peace come together. The NLD presented its constitutional amendment and internal peace process. All representatives from the ethnic groups agreed to that. The meeting on September 21 will decide whether to draft a new constitution or to amend it," said Tin Ngwe, a representative of the Kamans National League for Democracy. The NLD’s Constitution Amendment Committee and representatives from ethnic groups have already agreed to meet every Saturday. Their first meeting on September 14 highlighted the relationship between constitutional reform and achieving a sustainable peace between the government and ethnic armed groups.
Patterns of Military Behavior in Myanmar's New Legislature Asia Pacific Bulletin 24 Sep 2013
"Praetorian transition" is the term used to describe the transfer of direct military rule to a quasi-civilian government. Over a period of time, the military ratchets up or down the scale of praetorianism according to their ability and interests in seeking more--or less--control over policymaking. In modern politics, praetorianism refers to the unhealthy political influence of the military upon an emerging democratic civil society. In the case of Myanmar, the disbanding of the State Peace and Development Council (SPDC) in March 2011 has resulted in the armed forces (Tatmadaw) slowly moving down the spectrum of praetorian intervention. This started with an initial partial withdrawal from day-to-day politics in 2011. To date though the military has not fully disengaged from the highest structures of the post-SPDC state. The 2008 constitution, drafted by the military, has a number of legal instruments and institutions through which the Tatmadaw can still exert its influence and sway on Myanmar's political life and society.
NUP calls for constitution to be amended, not re-written DVB 25 Sep 2013
The National Unity Party (NUP), which was formed by the military junta in 1988, insisted on Tuesday that Burma does not need to draft a new constitution, although some provisions could be amended to satisfy the ethnic populations. The announcement follows months of heated debate over whether Burma should re-write or amend its controversial 2008 constitution, which grants the military 25 percent of seats in parliament and excludes opposition leader Aung San Suu Kyi from the presidency. Speaking to DVB after an event marking the party’s 25th anniversary, Central Executive Committee member Thein Htun defended the legislation and dismissed suggestions that it should be scrapped.
Myanmar's parliament sessions to resume in Nay Pyi Taw Xinhua Net 1 Oct 2013
Myanmar's parliament sessions are due to resume later on Tuesday in Nay Pyi Taw with two separate sessions of the two Houses to take place first in the morning, while the session of the Union Parliament comprising both houses to be followed in the afternoon. The 8th parliament sessions came one month after the end of the 7th sessions on Aug. 31 which lasted for more than two months from June 25. More issues related to political, economic and legislative affairs as well as amendment of constitution are expected to be on the agenda for discussion. During the last 7th sessions, U Shwe Mann, speaker of the House of Representative, took over the alternate seat of Speaker of the two-House Union Parliament from U Khin Aung Myint who retained as speaker of the House of Nationalities. U Shwe Mann, who is also chairman of the ruling Union Solidarity and Development Party (USDP), was to run for the remaining two and a half years' term for the current five-year tenure of President U Thein Sein's government. Also during the last session, the parliament mainly adopted, among others, a proposal to form a 109-member Constitution Review Joint Committee, represented proportionally by parliament members of both Houses, political parties, military MPs and individuals, to make necessary amendment to the 2008 State Constitution.
Critics slam media legislation prohibiting ownership of dual-operation Eleven Myanmar 2 Oct 2013
Critics have slammed the broadcasting bill for prohibiting ownership of dual operating of broadcasting and print-media by one businesses entity. The legislation have been accused of giving state-owned media the upper hand over private media. Ministry of Information has drafted the bill, and critics said it gives protection against state-owned television, radio and newspapers, which are being run by the Ministry of Information. These state-owned outlets will be re-named as public service media. It prevents fair play or fair competition with private media. Moreover, the bill, which has 109 sections in 14 chapters, does not allow any private business to be involved both in broadcasting and in print media. “The bill restricts dual operating in broadcasting and print media so as to prevent monopoly in media. We desire media development as well as media liberalism. We want different media such as commercial media, State media and ethnic media to develop. But, we don’t want any powerful media to monopolize the media. Therefore, we have to include that restriction,” Mr. Tint Swe, Director General of Myanmar Radio and Television, countered the criticisms. For the news publishers being denied doing broadcasting business, Mr. Zaw Min Aye, CEO of Moe San Pan Media, said, “Myanmar Radio and Television, Myanmar Alin and The Mirror Newspaper [i.e. state-owned media enterprises] will claim themselves as public service media, and they will have a separate law [Public Service Media Bill] for themselves. OK. Then, how about the military-owned Myawaddy newspaper? Will the military be regarded as the government? Or private? If they are regarded as the private, then how would they do [with Myawaddy TV channel]? Such kind of restricting by law isn’t required in my opinion.”
Parliament approves farmers’ bill Irrawaddy 4 Oct 2013
Burma’s parliament on Thursday approved the Farmers Rights Protection and Raising Interest Bill, ignoring President Thein Sein’s recommended amendments. Win Myint, lower house MP for Bassein [Pathein] township, said: “This bill provides for the formation of a farm products administration board, and regional governments are to assign appropriate and experienced individuals to it for approval. “The bill will allow agricultural stipends for farmers, and keep product prices balanced,” he said. “The administration will be tasked with stepping in whenever necessary to enforce a control on prices.” A day earlier, on 2 October, the lower house of parliament approved a bill amending the 1954 State Insignia (Restricting Ornaments) Act, with a clause that includes a punishment for using images of Gen Aung San in public protests. As per the amendment, individuals caught using such pictures or paraphernalia during a public demonstration can be sentenced to one year imprisonment or a fine no more than 50,000 kyat (US$50) or both.
Myanmar moves ahead with constitution amendment Mizzima 4 Oct 2013
Myanmar's Constitution Review Joint Committee invited advice and suggestions from a wide range of stakeholders on Thursday for review on amendment of the 2008 State Constitution. According to the committee's statement, assessment and advice will be sought from the legislative, administrative and judicial pillars through the parliament and those from political parties, organizations and individuals through respective parliament representatives. The committee set the deadline for Nov. 15 for submission of such advice and assessment. The committee claimed that it has carried out three tasks laid down by the parliament, that is, to ensure the emergence of a constitution which can further guarantee the perpetuation, stability and peace and development of Myanmar in accordance with the current age and system; to bring eternal peace to all national races and ethnic people through building a national unity among them; and to carry on democratic reform. The 109-member Constitution Review Joint Committee was set up in July with the Deputy Speaker of the Union Parliament as its chairman. The committee members are represented proportionally by parliament members of both Houses, political parties, military MPs and individuals. The set-up of the committee was seen as a more to seek solution to the constitution issue in preparation for the 2015 general election.
Myanmar's ruling party warns of danger in event of constitution redrawing Global Times 5 Oct 2013
Myanmar's ruling Union Solidarity and Development Party (USDP) Saturday warned of grave danger and bad consequences if the 2008 constitution is abolished and redrawn. The country and the people will suffer the consequences arising from the move, said an announcement of the party's Constitution Amendment Committee. Myanmar's parliament set up a 109-member Constitution Review Joint Committee in July with the deputy speaker of the Union Parliament as chairman, and it is represented proportionally by parliament members of both Houses, political parties, military MPs and individuals. The committee on Tuesday invited advice and suggestions from a wide range of stakeholders for review or amendment of the 2008 State Constitution, announcing that advice will be sought from the legislative, administrative and judicial pillars through parliament and those from political parties, organizations and individuals through respective parliament representatives. The committee set the deadline for Nov. 15 for submission of such advice and assessment. Observers here noticed that there produced two different voices in the political circle involving ethnic parties on the constitution matter, with one side calling for amendment and the other side for total redrawing of the constitution. Meanwhile, the opposition National League for Democracy (NLD) also said in a announcement earlier that although the party had met with counterparts from ethnic minorities and touched on the matter, it has not yet made a decision on the move which it said depends on people's desire. The NLD vowed to cooperate with the ethnic parties to obtain public opinions for the amendment or redrawing of the constitution, the announcement said, adding that the public opinions collected will be presented to parliament.
Hluttaw passes Telecoms Law, rejects two amendments Myanmar Times 7 Oct 2013
After months of discussion, the Telecommunications Law has been approved and will be enacted this week. Approved during the seventh session, the bill was returned to the Pyidaungsu Hluttaw by President U Thein Sein, who recommended five changes. MPs on October 3 accepted three of those changes, which mostly focused on definitions within the law. Representatives rejected the president’s suggestion to change section 3(j), which defines “telecommunications apparatus”, and section 64, which concerns an appeal tribunal set up under the law. While the original bill listed pieces of telecommunications equipment, MPs changed it so that the Ministry of Communications and Information Technology would be responsible for issuing an order with a list of equipment. MPs voted against reverting back to the original wording on the recommendation of the Joint Bill Committee, which said the new definition was better because it did not mean the law would have to be amended when “new [equipment] appears due to technological advances”.
Myanmar Legislative Update
Last updated: 14 November 2013