The National League of Democracy’s resounding victory in Myanmar’s national elections this month, ensuring that Aung San Suu Kyi serves a second five-year term, is set to stimulate stronger investor confidence in the country.
While deals are set to pick up in key sectors such as infrastructure, healthcare, and education, the country offers opportunities in a number of other industries where it has “natural strengths” such as agriculture and manufacturing, says Thura Ko Ko, managing director at Yangon-based advisory firm YGA Capital.
“With the uncertainty of the election out of the way, there will be renewed interest in Myanmar,” Ko Ko told DealStreetAsia in a recent interview.
“We are seeing infrastructure projects come into existence quicker. For example, money is coming in solar projects to be constructed,” he said. “The incumbent government has started to focus more on private sector cooperation in healthcare, insurance, etc, and we hope to see more of that.”
Since Myanmar’s economy started reforms in 2012, GDP has grown at 6-7 per cent per annum.
“Private capital plays a significant role in Myanmar much more than other economies because private businesses in Myanmar have only had private capital to rely on,” Ko Ko added.
YGA Capital advised private equity major TPG in its investments in Apollo Towers and Myanmar Distillery Company, respectively. Apart from TPG, the firm also works with investors such as UK-headquartered CDC Group on deal sourcing, deal shaping, and portfolio management.
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