Pyidaungsu Hluttaw Law No. 40/2016, as amended by Law No. 19/2019
Myanmar Investment Law
The Myanmar Investment Law is the core statute for local and foreign investors. This guide explains MIC permits, endorsements, tax incentives, land-use rights and investor protections — and how Competency Business Solutions helps you apply them in practice.
What is the Myanmar Investment Law?
The Myanmar Investment Law (Pyidaungsu Hluttaw Law No. 40/2016) was enacted on 18 October 2016. It replaced the Foreign Investment Law (2012) and the Myanmar Citizens Investment Law (2013) with a single regime for both Myanmar and foreign investors.
Together with the Myanmar Investment Rules (2017) (Notification 35/2017), the law is administered by the Myanmar Investment Commission (MIC) through the Directorate of Investment and Company Administration (DICA). Company incorporation still follows the Myanmar Companies Law 2017; the Investment Law sits on top of that when you want MIC approval, incentives or long-term land rights.
The 2019 amendment (Law No. 19/2019)
The statute in force is the 2016 law as amended by Law No. 19/2019 (6 June 2019). Commentary that still cites only “the 2016 law” or “the 2017 Investment Law” is out of date. The amendment did not replace the MIC Permit / Endorsement structure; it adjusted definitions and procedures. Always read the consolidated text, then the latest MIC notifications on promoted, restricted and prohibited activities.
WIPO Lex and DICA both publish the amended instrument. If a bank, land office or joint-venture partner asks which law applies, the answer is Law No. 40/2016 as amended in 2019, plus the 2017 Rules and current MIC notifications.
Role of the Myanmar Investment Commission
The MIC is the government body formed under the Myanmar Investment Law. It screens proposals, grants permits and endorsements, awards tax and land-use benefits, monitors compliance, and handles investment grievances.
- Review and approve investment proposals and endorsements
- Grant tax incentives and long-term land-lease rights
- Promote responsible investment and advise on policy
- Monitor projects against the permit conditions and environmental standards
Day-to-day filing is with DICA (the Commission Office). Large or sensitive proposals go to a Proposal Assessment Team (PAT) briefing, then an MIC meeting. Competency Business Solutions prepares the file, attends those sessions with you, and calendars the conditions after the order is issued.
MIC Permit vs MIC Endorsement
Not every company needs MIC approval. Under the Myanmar Investment Law, a Permit is mandatory for specified project types. An Endorsement is optional — investors apply when they want incentives such as tax relief or a long land lease. The full comparison is in our MIC Permit vs Endorsement note.
| Route | When it applies | What you obtain |
|---|---|---|
| MIC Permit | Strategic or large capital projects; significant environmental or social impact; use of state-owned land or buildings; or activities designated by the Government | Right to carry out the investment, plus eligibility for incentives if approved |
| MIC Endorsement | Other investments that do not require a Permit but want benefits | Tax exemptions or reliefs, customs duty concessions, land-lease rights |
| Neither | Ordinary trading or services companies that do not need incentives or long land rights | DICA incorporation on MyCO is enough to operate, subject to sector licences |
When a Permit is required
Section 36 of the law, read with the Investment Rules, is the starting point. A proposal to the MIC is required where the project is:
- Essential to the national strategy
- Large and capital-intensive
- Likely to have a large impact on the environment or the local community
- Using state-owned land or buildings
- Designated by the Government as requiring a proposal
The Rules put numbers on several of those heads. Treat the figures below as the usual screening tests — confirm the current notification before you lock a structure.
| Typical Permit trigger | Usual threshold (Investment Rules) |
|---|---|
| ICT, medical, bio or similar technology; logistics or energy infrastructure; urban development / new cities; natural resources; media | Investment exceeding USD 20 million |
| Cooperation with a government organisation | Investment exceeding USD 20 million |
| Border region or conflict-affected area; investment across the national border; investment across states and regions | Listed as strategic regardless of a single dollar figure |
| Agricultural land | Occupying or using more than 1,000 acres |
| Non-agricultural land | Occupying or using more than 100 acres |
If none of those heads apply, you may still want an Endorsement for tax holidays or a 50-year land lease. If you need neither, incorporate and obtain the sector licence only.
Investment screening
Before a full Permit or Endorsement file, an investor may submit an investment screening application to the Commission for non-binding guidance: whether a Permit is required, whether the activity is promoted, restricted or prohibited, and what incentives might be available. Screening is optional, but it is the cheapest way to stop a shareholding structure that the restricted list will later reject.
We use screening when the sector sits near a restricted line (for example residential development, media, or a joint venture with a ministry) or when the capital amount is close to a USD 20 million head. The output is guidance, not approval — you still file the Permit or Endorsement if you proceed.
Investor rights and guarantees
Chapter XIV of the Myanmar Investment Law protects investors from expropriation except where it is necessary in the public interest, non-discriminatory, follows due process, and prompt, fair and adequate compensation is paid.
- Equal treatment — Myanmar and foreign investors are covered by the same statute.
- Transfer of funds — capital, profits and dividends may be transferred in foreign currency in accordance with applicable financial rules.
- Dispute resolution — mediation, Myanmar courts, or arbitration as agreed in the investment documents.
- No nationalisation without the conditions above.
Those rights come with duties: incorporate under Myanmar law, keep proper accounts, respect labour and environmental rules, and honour the terms of the Permit or Endorsement. DICA can inspect; incentives can be withdrawn if the project is not carried out as approved.
Tax incentives under the Myanmar Investment Law
Promoted investments may receive an income-tax exemption that varies by development zone, plus customs-duty relief on qualifying machinery, equipment and construction materials. Reinvested profits and approved R&D spend can attract further relief. All incentives are discretionary — they are granted by the MIC, not automatic on incorporation. Zone lists and a worked example are on our tax incentives page.
| Zone | Typical profile | Income-tax holiday |
|---|---|---|
| Zone 1 | Less developed regions | Up to 7 years |
| Zone 2 | Moderately developed regions | Up to 5 years |
| Zone 3 | Developed regions (including Yangon and Mandalay in most lists) | Up to 3 years |
The holiday starts from the year of commencement of commercial operation as stated in the MIC order — not from incorporation. Calendar that date in the tax file or you will miss the window. Customs relief is usually limited to machinery and construction materials on an approved list; trading stock does not qualify.
Promoted and restricted sectors
The MIC publishes lists of promoted, restricted and prohibited activities. Promoted sectors are the usual candidates for tax benefits. The current DICA promoted list includes:
- Agriculture and related services (except tobacco)
- Plantations and forest conservation
- Livestock, fishery production and related services
- Manufacturing (except cigarettes, liquor, beer and other products harmful to health)
- Industrial zones, new urban areas and city development
- Roads, bridges, railways, seaports, river ports and dry ports
- Airport management and aircraft maintenance
- Power generation, transmission, distribution and renewables
- Telecommunications, IT, education, health, hotels and tourism
- Science and research development
Restricted activities sit in four buckets. Always verify the current MIC notification — the table is a working summary, not the legal list.
| Bucket | Examples (illustrative) |
|---|---|
| Union only | Defence and arms, air-traffic and pilotage services, certain natural forests, control of the electric-power system |
| Closed to foreign investors | Selected publishing, small-scale mining, tour-guide services, mini-markets / convenience stores (as listed) |
| Joint venture with a Myanmar citizen | Some fishery research, certain confectionery, sale and lease of residential apartments, local tour services |
| Relevant ministry approval | Foreign-language periodicals, cable TV, private hospitals, large urban development, wood-based industry |
In many other sectors, 100% foreign ownership is permitted after DICA incorporation. Check the list before you sign a shareholders’ agreement.
Land use and leasing rights
Foreign investors cannot own land in Myanmar. With an MIC Permit or Endorsement, they may lease land for up to 50 years, with two possible extensions of 10 years each. Longer terms can be considered in remote or underdeveloped areas. Leases must be registered under the Registration Act. See the land-lease note for the private vs state-land split and what the land office will ask for.
Employment and responsible investment
The Myanmar Investment Law expects investors to hire Myanmar citizens for unskilled roles, train local staff for management, pay wages in line with labour law, and complete environmental and social impact assessments where required. Responsible conduct is both a legal duty and a practical condition for keeping MIC benefits.
Projects that need an EIA, IEE or EMP should start that work before the MIC meeting. The Commission will not issue a Permit against an incomplete environmental file.
How to apply under the Myanmar Investment Law
The sequence below is the usual DICA path. Timing depends on sector, land and whether an environmental assessment is required. Under the Rules, the Commission assesses a Permit proposal within 60 days of a complete file and, if approved, issues the Permit within 10 working days. Endorsements handled at state or regional level are typically faster (often within 30 days of acceptance). A step-by-step filing note is on How to apply for an MIC Permit.
- Choose the vehicle. Incorporate a company, branch or joint venture under the Myanmar Companies Law and confirm whether the activity is promoted, restricted or prohibited.
- Screen the project. Decide if a Permit is mandatory or whether an Endorsement is enough for the incentives you need. File a screening application if the sector is close to a restricted line.
- Prepare the file. Business plan, shareholder documents, land documents, sector licences, and EIA/IEE papers if the project is environmentally sensitive.
- PAT then MIC. Submit to DICA. Attend the Proposal Assessment Team briefing, revise if asked, then present at the MIC meeting.
- Receive the order and comply. Calendar tax-holiday start dates, land registration, progress reports and any special conditions.
Competency Business Solutions supports the full path: Myanmar company formation, MIC Permit and Endorsement filing, tax registration, accounting and ongoing compliance. If you are still mapping the market, start with our Myanmar business guide.
Document checklist
DICA publishes a checklist with the Investment Proposal form. A complete file usually includes:
- Company extract and constitution (or draft documents if incorporating in parallel)
- Shareholder and director identification; corporate shareholders need overseas extracts
- Business plan with investment amount, timeline, employment and technology transfer
- Proof of financial capacity (bank references, audited accounts of the parent)
- Draft land lease or evidence of land rights; map and land-record extracts
- Sector recommendation or licence where a ministry must consent
- EIA, IEE or EMP papers if the project is environmentally sensitive
- List of machinery and construction materials if you are claiming customs relief
Incomplete land or environmental papers are the usual reason a PAT meeting is adjourned. We will not file a proposal we know DICA will send back.
Official texts
Use the official instruments alongside this commentary:
Myanmar Investment Law FAQ
Is the Myanmar Investment Law the same as the Companies Law?
No. The Companies Law 2017 governs incorporation and corporate administration. The Myanmar Investment Law 2016 (as amended in 2019) governs investment screening, MIC approval, incentives and investor protections. Most foreign investors need both.
Do I always need MIC approval to invest in Myanmar?
No. A Permit is required only for the categories listed in the law and MIC notifications. Many trading and services companies operate after DICA incorporation alone. Apply for an Endorsement when you want tax holidays or a long land lease.
Can a foreigner own 100% of a Myanmar company?
In many sectors, yes. Restricted activities may require a Myanmar joint-venture partner, and a short list of businesses remains closed to foreign investors. Check the latest MIC restricted-list notification before you incorporate.
How long does an MIC application take?
A complete Permit file is assessed within 60 days under the Rules, with the order issued within 10 working days if approved. Endorsements are typically faster. Environmental assessments and incomplete land papers add time before the clock starts.
Was the Myanmar Investment Law amended after 2016?
Yes. Law No. 19/2019 amended the 2016 statute. Use the consolidated text (WIPO Lex or DICA) rather than an unamended 2016 PDF.
Who can help with a Myanmar Investment Law filing?
Competency Business Solutions prepares MIC Permit and Endorsement applications, coordinates with DICA, and handles the accounting and tax work that follows approval. Contact us before you commit capital or sign a land lease.
Invest under the Myanmar Investment Law with a clear file
We structure the company, prepare the MIC submission, and keep the tax and reporting calendar after approval — so your project is compliant from day one.
This page is a practical overview of the Myanmar Investment Law for business owners. It is not legal advice. Incentives, restricted lists and procedures change by MIC notification — confirm the current position with DICA before you file. Last reviewed 2 October 2026.