Malaysia, Korea eye Myanmar

Malaysia, Korea eye Myanmar

YANGON, Myanmar (AP): A Malaysian and a South Korean company have signed agreements to set up two factories worth a total of $4.8 million in Myanmar, official newspapers reported Thursday.

Weng Hong Hung of Malaysia signed a land lease agreement with the Department of Housing Wednesday to build a garment factory to make slacks, jeans and shirts, according to the Myanma Ahlin daily.

It said the $2.8 million factory is expected to make 6 million garments annually.

In the other deal, the Esquire company of South Korea signed a land lease agreement Monday to build a $2 million shoe factory, which is expected to begin production in March. About 95 percent of the production will be exported, while the rest will be sold locally, the report said.

Malaysia is the fourth largest investor in Myanmar with $597 million worth investments, or about 8 percent, of the total foreign investment by 25 countries with a presence in Myanmar. South Korea is the 12th largest investor with $107 million, according to the latest government figures.