Vietnam firm marks initial step in penetrating Myanmar construction market
Vietnam firm marks initial step in penetrating Myanmar construction market
A Vietnamese construction company on Friday celebrated the ‘topping out’ of a tower complex in Myanmar, which it said is the first step in its bid to enter the Southeast Asian country’s construction market.
Hoa Binh Corporation organized the topping out ceremony – a traditional rite held when the last beam is placed atop a structure during its erection – for the Gems Garden Condominium project in the capital city of Yangon.
The project, including four 21-story towers and a five-story parking building, is developed by Myanmar’s Capital Development Limited, whereas the Vietnamese firm is the project construction management.
The ceremony was held 19 months after the project, one of the two tallest of its kind in the Myanmarese capital, broke ground in August 2013. More than 20 Vietnamese engineers have been working at the construction site, according to Hoa Binh.
After topping out, numerous elements of construction remain, including interior finish and most mechanical, electrical, and plumbing systems. The topping out ceremony is often parlayed into a media event for public relations purposes.
Hoa Binh chairman Le Viet Hai revealed at the ceremony that the company is eying the construction market in Myanmar with this initial investment.
“Hoa Binh will continue expanding its overseas investment in the future, particularly into Myanmar,” he said.
The Vietnamese company seeks to be the EPC (engineering, procurement and construction) contractor for megaprojects that build skyscrapers, he added.
“Our export of services in the field of construction not only gains foreign currency for the country, but also helps expand the market share for the domestic construction sector.”
Vietnam is among the 30 biggest foreign investors in Myanmar, standing at 9th place in terms of investment scale, according to statistics released by the Myanmar side.
Hoang Anh Gia Lai, one of the Vietnamese real estate giants, is developing a US$400 complex which includes a trade center, office buildings, and condominiums in Yangon, which is seen as one of the most prominent of Vietnam’s investments in Myanmar.
The Bank for Investment and Development of Vietnam has also opened a representative office in the country and is promoting investment activities.
Vietnamese network operators Viettel and VNPT have also joined bidding for investment in the Myanmar’s telecom market.
Myanmar is seen by international investors as the “last golden destination in Southeast Asia,” and thus is exerting effort to improve its business environment to lure foreign investment.
