Industry at a glance
- Myanmar construction industry is growing at an exponential rate with a CAGR of 20%. The residential and infrastructure sectors combined to almost 80% of the entire industry especially residential which has 49% of the market or investment value of about 1.5 Billion US Dollars.
- Myanmar’s construction is still mainly concentrated in the residential sector fuelled by government housing plans and private commercial residential developments such as detached houses, apartments, and high end condominiums driven by urbanization.
- In 2013, the Myanmar Ministry of Construction announced a target to build more than one million houses across the country. This is slated to take a period of 20 years (50,000 units annually) to meet the demand for residential real estate. According to the Department of Human Settlement (DHSHD), only 7,000 houses are currently being built versus the annual demand of 20,000 units. The government has indicated its willingness to co-operate with private sector construction companies in major cities such as Yangon and Mandalay while wholly carrying out construction in other areas of the country using government loans.
- The use of construction materials in Myanmar from past to present has been mainly for functional until the third quarter of 2013 when more high rise hotels and building in Yangon have been built with more design, according to SCG Cement Materials Myanmar Executive. This growing development can be seen more commonly in restaurants, hotels and condominiums nowadays In Yangon with more design, more modernized and décor.