Mitsubishi Corp and Japanese partners to exit Yangon Yoma Central project
In short
Myanmar conglomerate Yoma Group announced by October 5 that Mitsubishi Corp and other Japanese investors will withdraw from the Yoma Central mixed-use development in central Yangon. Construction at the site has been suspended since the 2021 coup in Myanmar, and foreign investors judged an early restart difficult. Yoma group companies held a combined 60% of the project, while Mitsubishi Corp, Mitsubishi Estate and the Japanese public-private fund JOIN held 30%.
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Myanmar conglomerate Yoma Group announced by October 5 that Mitsubishi Corp and other investors will withdraw from the Yoma Central mixed-use development in central Yangon, Nikkei reported. Construction at the site had been suspended since the 2021 coup, and Japanese and other foreign investors judged that an early resumption of building work would be difficult, according to the report. [ 1 ]
Under the project's ownership structure, Yoma group companies held a combined 60%, while Mitsubishi Corp, Mitsubishi Estate and the Japanese public-private fund Overseas Infrastructure Investment Corporation for Transport and Urban Development (JOIN) held a combined 30%, Nikkei reported. [ 1 ]
Other Japanese business outlets reported the same withdrawal of Japanese firms from the Yangon development, attributing the halt to the political upheaval in Myanmar, but their reports did not add ownership or project details. [ 2 , 3 ]
Why it matters
The exit removes Japanese corporate and public-private fund participation from one of the largest property projects in Myanmar's main commercial city, following more than five years of stalled construction after the 2021 coup. It is a sign that foreign investors see little prospect of resuming large-scale development in Myanmar under current conditions, a read that other investors in the country may weigh.
Key facts
- Yoma Group announced by October 5 that Mitsubishi Corp and other investors will withdraw from the Yoma Central development in central Yangon. [ 1 ]
- Construction at Yoma Central had been suspended since the 2021 coup in Myanmar. [ 1 , 2 , 3 ]
- Yoma group companies held a combined 60% of the project. [ 1 ]
- Mitsubishi Corp, Mitsubishi Estate and the Japanese public-private fund JOIN held a combined 30% of the project. [ 1 ]
- Nikkei reported that Japanese and other foreign investors judged an early resumption of construction to be difficult. [ 1 ]
- Other Japanese outlets reported the withdrawal of Japanese firms from the Yangon development, citing the suspension caused by the political upheaval in Myanmar. [ 2 , 3 ]
Confirmed by several sources
Still unclear
- The full list of exiting investors and the equity split after the withdrawal. Only Nikkei gives the ownership details, and its article is partial; other outlets carry only the withdrawal headline.
- Whether the project will be cancelled, sold or restarted at a later date. Nikkei reports that investors judged an early resumption difficult, but the documents do not state the project's final fate.
- The identity of the holder of the remaining 10% of the project not accounted for by the Yoma group and Japanese stakes. The documents give 60% and 30% stakes but do not explain the remainder.
- The project is a development in Myanmar led by conglomerate Yoma Group, according to the company's announcement reported by Nikkei. Reported by a single source so far
What local media are saying
Timeline, local time
- Nikkei reports that Yoma Group announced, by October 5, the withdrawal of Mitsubishi Corp and other investors from the Yoma Central development in Yangon. [ 1 ]
- Nishi-Nippon Shimbun reports the withdrawal of Japanese firms from the Yangon development. [ 2 ]
- Tokyo Shimbun reports the withdrawal of Japanese firms from the Yangon development. [ 3 ]