Keppel Land Limited (Keppel Land) is building on first mover advantage in Myanmar as it expands its hospitality business with a new 29-storey
Inya Wing at its Sedona Hotel Yangon expected to be completed in end 2015.
Speaking at the Topping-up Ceremony for the Inya Wing today, Mr Ang Wee Gee, CEO of Keppel Land, said, “As Myanmar is expected to enter into a phase of sustained economic growth, the property market in Yangon is poised to deliver healthy performance over the next few years. We are excited about the opportunities to grow with Myanmar as it opens up and attracts more businesses and foreign investments, as well as tourists.
“Myanmar continues to enjoy increasing tourist arrivals, with a forecast to reach 4.5 million in 2015 and 7.5 million in 2020. As evident from the topping-up of Sedona Hotel Yangon’s Inya Wing today, we have expanded and refurbished our hotels to cater to the rising demand.
“At the same time, Keppel Land, together with our partner Shwe Taung Group, is meeting the needs of international businesses expanding in Myanmar. Specifically, our joint venture of a 23-storey office tower, integrated into the mixed development of Junction City, will fill the gap for Grade A office space in Yangon’s central business district. The office tower is expected to be completed in the first half of 2017.”
Present at the topping-up event was His Excellency U Myint Swe, Chief Minister of Yangon Region, His Excellency Dr Tin Shwe Deputy Minister for the Ministry of Hotels and Tourism, His Excellency U Hla Myint, Mayor of Yangon City, His Excellency Mr Robert Chua, Singapore Ambassador to Myanmar, as well as Dr Lee Boon Yang, Chairman of Keppel Corporation and Mr Loh Chin Hua, CEO of Keppel Corporation and Chairman of Keppel Land.
Dr Tin Shwe Deputy Minister for the Ministry of Hotels and Tourism, said in his speech, “As our economy progresses on track, we are heartened that one of Singapore’s leading property developers, Keppel Land, is participating in Myanmar’s growth with its deep and diversified experience and hallmark excellence.
“Apart from contributing with its hospitality business, Keppel Land is also bringing its experience in developing prime office developments to Yangon’s Central Business District. I am confident that Keppel Land’s joint venture office tower with the Shwe Taung Group in the Junction City development will be a significant landmark in Yangon.”
Through the years, both Sedona Hotel Yangon and Sedona Hotel Mandalay have garnered numerous awards for its signature hospitality, with the latest being Myanmar’s Leading Hotel Suite 2014 (Sedona Hotel Yangon’s Royal Sedona Suites), Myanmar’s Leading Hotel 2013 (Sedona Hotel Yangon) and Myanmar’s Leading Resort 2013 (Sedona Hotel Mandalay) at the World Travel Awards.
Myanmar’s real gross domestic product (GDP) growth has increased from 5.5% in 2013 to 6.4% in 2014. The growth was supported by rising investments fuelled by improved business confidence, commodity exports, buoyant tourism and credit growth, which were spurred on by the government’s structural reform programme. The International Monetary Fund has forecast Myanmar’s GDP to grow at an average at 7-8% over the next ten years, backed by its strategic location, competitive labour force and continued influx of foreign direct investments.
Foreign direct investments into Myanmar during the 2014-2015 fiscal year ended 31 March 2015 reached a record US$8 billion, more than double that achieved the year before, according to the Myanmar Investment Commission.
According to the Ministry of Hotels and Tourism, a total of 3.05 million tourists arrived into Myanmar which represented an increase of 49.5% from 2.04 million in 2013 and generated US$1.14 billion in direct revenue. The Ministry forecasts tourism arrivals to reach 4.5 million in 2015.