Retail News CRM

Tag: Carlsberg

  • Sapporo Joins Forces with Carlsberg in $643M Southeast Asian Venture to Boost Premium Beer Sales

    Sapporo Joins Forces with Carlsberg in $643M Southeast Asian Venture to Boost Premium Beer Sales

    Japanese brewing company Sapporo is set to enter into a strategic partnership with Danish brewer Carlsberg, which entails a $643 million investment for a 25% stake in a Singapore-based joint venture. This venture, which will span across Southeast Asia and Hong Kong, is anticipated to begin operations in December 2026, with Carlsberg owning a majority stake of 75%.

    A Regional Expansion

    Sapporo intends to use this partnership as an opportunity to extend its existing collaborations in Malaysia, Hong Kong, and Singapore to other countries including Vietnam, Laos, and Cambodia. The company’s goal is to significantly increase the sales of its flagship product, Sapporo Premium Beer, in these target markets. By 2035, Sapporo aims to sell around ten times the number of units sold in 2025, an ambitious objective that will be facilitated by Carlsberg’s strong market presence across the region.

    Anticipated Benefits

    As part of the agreement, Sapporo will provide the joint venture with a long-term license for Sapporo Premium Beer. The Japanese brewer expects to see a variety of financial benefits as a result of this arrangement, including diversified revenue streams. These will emanate from dividends, royalty income, and manufacturing-related earnings.

    Questions & Answers

    What is the nature of the strategic partnership between Sapporo and Carlsberg?
    The partnership involves Sapporo investing $643 million for a 25% stake in a Singapore-based joint venture with Carlsberg, which will span across Southeast Asia and Hong Kong.

    What is Sapporo’s sales goal for the Sapporo Premium Beer?
    Sapporo aims to increase sales of the Sapporo Premium Beer in the target markets to approximately ten times the sales level of 2025 by the year 2035.

    How will Sapporo benefit from this joint venture?
    Sapporo anticipates gaining from diversified revenue streams, which will come from dividends, royalty income, and manufacturing-related earnings.

  • Carlsberg Vietnam Transforms Workplace Culture into Vibrant Music Video Celebration

    Carlsberg Vietnam Transforms Workplace Culture into Vibrant Music Video Celebration

    Carlsberg Vietnam recently embarked on a unique creative venture, pondering the question: “If our corporate culture were a song, what would it sound like?” This thought initiated an imaginative endeavor, infusing workplace values with catchy lyrics and inviting participation from both leaders and employees.

    Drawing inspiration from pop sensation Hoa Minzy’s hit “Bac Bling,” the company reworked the song with lively lyrics, infectious rhythms, and vibrant choreography. Everyday locations—from the Phu Bai brewery in Hue to bustling offices in Hanoi and Ho Chi Minh City—transformed into stages where colleagues became singers, rappers, and dancers, bringing their company values to life in a lively and unforgettable way.

    One of the video’s most powerful highlights features Carlsberg Vietnam’s leadership performing side by side with employees, blurring the lines between titles and hierarchies. Here, the only thing that matters is the collective rhythm they share on stage.

    “At Carlsberg Vietnam, every role is significant, and everyone moves to the same beat. When leaders join their teams on the front lines, the divide diminishes,” a company spokesperson shared.

    The music video also illustrates the company’s Growth Culture, a philosophy that shapes daily operations. Semper Ardens, which translates to “always burning with passion,” fuels every performance, while a wave of positive energy traverses generations and functions. Employees take immense pride in their brands, upholding speed and excellence evident in the project’s quick rollout. By empowering their workforce, Carlsberg ensures each individual has a chance to shine.

    Emphasizing its commitment to Diversity, Equity & Inclusion (DEI), the video showcases employees from various backgrounds and roles—from brewers to office staff—uniting in harmonious celebration. This dedication extends to gender representation, with over 40% of senior leadership roles currently held by women, illustrating that diversity isn’t merely acknowledged but actively valued as a source of strength.

    Carlsberg Vietnam recently fortified its reputation as a leading employer by being named one of the Best Companies to Work for in Asia by the HR Asia Awards for the third consecutive year in 2025.

    This year’s theme, “Multi-Generation Synergy,” is beautifully illustrated in the music video: Gen Z injects energy, millennials add adaptability, and Gen X provides stability.

    For Carlsberg Vietnam, culture is not confined to slogans or manuals; it flourishes through daily interactions—within offices, breweries, and the genuine connections made. “This music video is just one chapter in our story. Ultimately, it underscores that culture thrives when we live it together: in harmony, unity, and the shared mission of brewing significant moments for consumers, communities, and a sustainable future,” the spokesperson stated.

    Questions & Answers

    How did Carlsberg Vietnam create its music video?
    The idea began with the question: “If our culture were a song, what would it sound like?” This inspired them to reinterpret the hit “Bac Bling” with playful lyrics and dynamic choreography, inviting participation from leaders and staff alike.

    What themes does the video highlight about Carlsberg Vietnam’s workplace culture?
    The video highlights the company’s Growth Culture, the importance of teamwork, and a commitment to Diversity, Equity & Inclusion, showcasing a workplace where every voice matters and different generations contribute to its success.

    What recognition has Carlsberg Vietnam received for its workplace environment?
    Carlsberg Vietnam was named one of the Best Companies to Work for in Asia by the HR Asia Awards in 2025, marking the third consecutive year it has received this accolade, reflecting its dedication to fostering a positive work environment.

  • Carlsberg Vietnam Boosts Phu Bai Brewery Capacity for a Greener, Sustainable Future

    Carlsberg Vietnam Boosts Phu Bai Brewery Capacity for a Greener, Sustainable Future

    The recent inauguration of Carlsberg Vietnam’s expanded brewery marks a significant leap in the region’s brewing landscape. Andrew Khan, Managing Director of Carlsberg Vietnam, emphasizes that this expansion transcends mere scale; it is a multifaceted endeavor focused on innovation, sustainability, and community impact, fully aligned with Carlsberg’s global Accelerate SAIL strategy.

    What does this expansion signify for your company?

    Khan highlights that the new facility in Phu Bai is now Carlsberg’s largest beer production site in Asia and among the most productive within the Carlsberg Group. Leveraging advanced technology and automation, this site is engineered not only to boost output but also to ensure sustainable growth by enhancing product quality and fortifying the supply chain. “Ultimately, we’re not just increasing volume; we’re creating lasting value for our consumers and the communities we serve,” he explains. The commitment to quality is evident in the accolades won by local brands Huda and Halida, which were awarded Gold Quality Awards from Monde Selection in 2024.

    This expanded facility is well-positioned to satisfy the demand for Carlsberg’s diverse portfolio, which ranges from global premium labels like Carlsberg and 1664 Blanc to beloved local favorites Halida and Huda, the latter of which has been a regional staple for over 35 years.

    What do you hope this expansion will achieve for your business and the community?

    Khan believes this expansion empowers Carlsberg Vietnam to meet the increasing demands of the market while executing their commercial growth strategy with enhanced efficiency and flexibility. More than just a business milestone, he envisions it as a transformative moment—an opportunity to operate with increased innovation and stronger commitments to sustainability and community engagement. “We will measure success not just in production volumes, but in how we lead, engage, and uphold our values,” he asserts.

    What are your next steps for Carlsberg Vietnam in light of this expansion?

    “While the expanded capacity is a significant advantage, what matters most is how we leverage it,” Khan says. Priorities include operating with distinction, maintaining close ties with consumers, and pursuing sustainable, community-oriented growth. This philosophy underlines their mission to “brew for a better today and tomorrow.”

    How does the Phu Bai expansion reflect Carlsberg Vietnam’s environmental commitments?

    Khan emphasizes that sustainability is woven into the very fabric of this new site. The Phu Bai Brewery runs entirely on iREC-certified renewable electricity and utilizes a biomass steam system, effectively eliminating carbon emissions from production. The facility has also implemented state-of-the-art water conservation technologies, achieving a remarkable water usage rate of just 2.09 hl/hl by 2024—one of the lowest in Vietnam. Looking forward, Carlsberg Vietnam aims for zero waste to landfill by 2025, a reduction of water usage to 2.0 hl/hl by 2026, and to achieve net-zero carbon emissions in production by 2028, thus supporting Vietnam’s ambition of net-zero emissions by 2050.

    What role does innovation play in this expansion, beyond the technological aspect?

    Khan asserts that innovation is not confined to tech; it’s about cultivating a mindset that empowers staff. The brewery boasts Vietnam’s fastest packaging lines, enhanced by real-time analytics that boost efficiency. Beyond automated advancements, the new brewing line also conserves water and energy by 20% and 15% respectively. “But the true essence of innovation lies not just in machines; it’s in how people interact with them,” he notes.

    How does Carlsberg ensure that innovation is inclusive and considerate of all staff?

    Khan believes in co-creating the future by engaging employees in the transformation journey early on. Innovations like AI-enabled forklifts and redesigned traffic systems have been developed with input from those directly on the floor. “Our investment in training and health ensures everyone has the support they need to adapt,” he explains.

    How has the expansion enhanced on-site safety and working conditions?

    “Safety has always been our prime directive,” Khan states. With the expansion, new facilities were constructed, complete with modern locker rooms and canteens, while traffic patterns have been redesigned for better pedestrian safety. Their fleet of forklifts is now electric and equipped with AI systems to monitor safety risks in real-time. The commitment to safety is not just regulatory; it’s a cultural mindset, with over 1.4 million recorded safe working hours during construction.

    How do you envision Carlsberg Vietnam’s role in the local economy and community going forward?

    Khan is optimistic about the future, asserting that commercial growth will boost contributions to state revenues and support local socio-economic development. “We aim to grow alongside Vietnam—not just in market share, but by creating shared value with our communities,” he states, highlighting initiatives like the Fresh Water for Beloved Central program that has provided clean water access to thousands over the past seven years.

    As a leader, what does this achievement mean to you personally?

    Reflecting on this milestone, Khan notes a profound sense of pride—not merely for the scale of the achievement, but for how it was accomplished: safely, sustainably, and with a dedicated local workforce at its core. “This journey reminds me that when we lead with purpose and trust our people, extraordinary outcomes become possible,” he concludes.

    Questions & Answers

    What key aspects distinguish Carlsberg Vietnam’s Phu Bai expansion?
    The expansion focuses not only on increasing production capacity but also on fostering sustainable practices, enhancing product quality, and contributing meaningfully to local communities.

    How does the new brewery contribute to environmental sustainability?
    Phu Bai Brewery operates on renewable energy, employs innovative water-saving technologies, and aims for net-zero carbon emissions in production by 2028, underscoring the commitment to environmental stewardship.

    What is the overarching vision for Carlsberg Vietnam post-expansion?
    The company aims to leverage the new facility to enhance operational excellence, strengthen consumer connections, and grow in a way that prioritizes sustainability and community impact.

  • Carlsberg CEO Cees ‘t Hart to retire

    Carlsberg CEO Cees ‘t Hart to retire

    After eight years as CEO of the Carlsberg Group, Cees ’t Hart has informed the supervisory board of his intention to leave the Group by the end of Q3 2023.

    Since beginning his position at the beer giant, the company has been “significantly strengthened,” with 2022 seeing Carlsberg deliver an all-time high revenue and operating profit of DKK 70.3bn and DKK 11.5bn (approx. $1.65bn), respectively.

    In 2017, Carlsberg became one of the first ten companies – and the first brewer – in the world to introduce science-based targets aligned with the 1.5°C goal in the Paris Agreement. The company has achieved relevant progress on its sustainability targets, including a 57% reduction in carbon emissions.

    Chair of Carlsberg’s supervisory board, Henrik Poulsen, said: “Cees ’t Hart has delivered remarkable results during his time at Carlsberg…Under his leadership, the Group has navigated significant challenges, including the difficult Covid-19 years, the war in Ukraine, and the ongoing sale of Russian business. Cees leaves behind a purpose-led and performance-driven company with solid strategic, financial, organizational, and societal health.”

    Cees ‘t Hart said: “It has been a privilege leading Carlsberg the past eight years. I’m immensely proud of the organization and the results we as a team, have achieved. I’m confident the successful journey of Carlsberg will continue well into the future.”

    He continued: “Staying on board for another half a year will allow me and the team to continue delivering on our challenging plans for 2023 and accomplishing the sale of the Russian business before the summer. Thereafter, I’ll focus on some interesting non-executive roles.”

    Lees ook:

  • Carlsberg Malaysia declares highest ever dividend payout for FY18

    Carlsberg Malaysia declares highest ever dividend payout for FY18

    Carlsberg Brewery Malaysia Bhd has declared its highest dividend payment amounting to RM1 per share for the financial year ending Dec 31, 2018 (FY18) following a record performance for the year. Managing director Lars Lehmann said this is equivalent to a 110.3% payment of the group’s FY18 net profit, in line with its dividend policy to declare at least 75% of the group’s quarterly net profit and a special dividend in the event of surplus cash after considering future cash requirements.

    The group declared a fourth quarter (Q4) interim dividend of 16.6 sen per share. It also proposed a final interim dividend of 22.4 per share plus a special dividend of 9.3 sen amounting to 48.3 sen per share.

    Together with the interim dividends declared for the first nine months of FY18 amounting to 51.7 sen, the total dividends for FY18 amount to RM1 per share.

    Carlsberg’s Q418 net profit rose 34.9% to RM67.45 million from RM50.01 million a year ago thanks to strong sales in the Malaysian operations, higher profits from Carlsberg Singapore Pte Ltd as well as higher profit contribution from Lion Brewery (Ceylon) PLC.

    Revenue grew 22.3% to RM525.65 million compared with RM429.94 million in the previous year’s corresponding quarter.

    For FY18, the group’s net profit jumped 25.3% to RM277.15 million from RM221.17 million a year ago, while revenue grew 12.1% to RM1.98 billion from RM1.77 billion.

    Looking ahead, Carlsberg warned that rising prices for raw and packaging materials will see costs increasing 5%-10% if it is unable to mitigate such effects. Lehmann, however, stressed that the group is improving its efficiency.

    “There’s a bit of headwinds for increase in prices of raw materials like malt and packaging materials like cans that are not specific to Malaysia but globally. There’s a bad harvest in Australia for barley and the prices are going up,” he told a media and analyst briefing after announcing its FY18 financial results today.

    He added that the group will continue its focus and execution on the third year of SAIL’22 strategy in both Malaysia and Singapore, while areas of growth for FY19 are its premium brands like Connor’s, Somersby, 1664 Blanc and Asahi Super Dry.

  • Kenanga Malaysia raises earnings outlook for Carlsberg

    Kenanga Research has increased its FY18 and FY19 earnings for Carlsberg Brewery Malaysia Bhd on the back of improved contributions from Lion Brewery in Sri Lanka.

    “We increased our FY18E and FY19E earnings by 4.3% and 3.5% respectively as we improved contributions from Lion Brewery. Additionally, we increased our Malaysian demand assumptions following the stronger results,” it said in its report today.

    For the nine months ended Sept 30, the group reported core Patami of RM205 million, which amounted to 82% of Kenanga Research’s full-year expectations.

    “We deem this to be above but within our consensus estimates, mainly due to better-than-expected contribution from its Sri Lankan associate, Lion Brewery. Malaysian sales were also better than expected, subsequent to our previous adjustments for softer demand post-Sales and Services Tax (SST),” it said.

    Moving forward, it expects Carlsberg’s on-trade sales (at food and beverage establishments) to be dented by Sales and Services Tax finally kicking in, as these establishments would have to bear the brunt of both taxes.

    “We anticipate demand to be skewed towards the off-trade market (retails, supermarkets), albeit being a lower margin channel. Still, the group’s continued emphasis on its premium mix could bolster the overall performance in the local scene,” it said.

    Meanwhile, HLIB Research does not expect any hike in alcohol excise duty as the structure is already the third highest globally.

    “We opine a hike in excise duty would result in growth in the illicit market at the expense of the legal volumes, which will result in reduced tax collection. For this reason, a hike in alcohol excise duties is unlikely,” it said in its report.

    It expects the government and Royal Malaysian Customs to continue their efforts to fight contraband and strengthen the legitimate tax paying portion of the beer market in Malaysia and hence the government’s revenue collection of excise duty.

    On the recent increase in the minimum age for purchasing alcohol to 21, it expects this to result in lower industry volumes due to a smaller pool of legal consumers.

    HLIB Research maintained its “buy” call with an unchanged target price of RM22.70.

    Carlsberg’s share price fell 1.62% or 32 sen to close at RM19.40 with 51,600 shares traded. It was one of the top losers on the bourse this week.

    Lees ook:

  • Carlsberg eyes at least 51 pct stake in Vietnam’s Habeco

    Carlsberg eyes at least 51 pct stake in Vietnam’s Habeco

    The government wants to fully divest its majority stake in Habeco as also in rival Sabeco.

    Danish brewer Carlsberg is keen on increasing its stake in Habeco, one of Vietnam’s biggest brewers, to at least 51 percent, a local news website reported, citing a Habeco executive.

    Vietnam has one of the world’s most attractive beer markets and the biggest in Southeast Asia, buoyed by a young population that consumed nearly 4 billion liters last year. The government wants to fully divest its majority stake in Habeco as also in rival Sabeco.

    Carlsberg, which already owns around 17 percent in Habeco, has been discussing its priority purchase rights with the Vietnamese government, which has delayed the Habeco sale.

    Sabeco, in which the government owns a 90 percent stake, has also seen interest from foreign players such as Dutch brewer Heineken and Japan’s Kirin.

    Vietnam’s Steering Committee for Enterprise Innovation and Development, which oversees the country’s privatization drive, said last month it aimed to “completely resolve problems in strategic cooperation” with Carlsberg, and inform the prime minister about the results by November 15.

    Habeco is still in talks with the Danish company on the stake sale, state-controlled An Ninh Thu Do newspaper quoted Habeco’s deputy chief Vuong Toan as saying.

    The media report also quoted Toan as saying that foreign companies are not allowed to own more than 49 percent of Habeco due to foreign ownership limits.

    Carlsberg said on Friday it would not comment on “rumours.”

    Last month, the company said it held “several constructive meetings with the Vietnamese government to discuss the privatisation process of Habeco.”

    “We now see good progress in these meetings, and will continue these discussions with the Vietnamese government for the next steps,” Carlsberg Chief Executive Cees ’t Hart said at a conference call after its second-quarter earnings on August 16.

  • Carlsberg may not be Habeco’s only option

    Carlsberg may not be Habeco’s only option

    Carlsberg will bid for the State-controlled Hanoi Beer Alcohol and Beverage Joint Stock Corporation (Habeco) in March or April, but the Vietnamese Government may have more than one option to choose from when it comes to buyers.

    The government is seeking to equitize Habeco, the country’s second-largest brewer, by selling its 82 per cent stake. Carlsberg, which already owns 17 per cent of the company, holds priority purchase rights for a 60 per cent stake.

    In October, the government said it would announce the results of negotiations on its priority purchase rights with Carlsberg by the end of that month. It is not clear why the process has been drawn out.

    “We have not been able to make a bid,” the Danish brewer’s CEO, Mr. Cees ‘t Hart, told Reuters, adding that he expects to submit a bid in March or April. There was also uncertainty over whether the Vietnamese Government will abide by Carlsberg’s first right of refusal, he said.

    So what might have actually gone wrong in the negotiation between Carlsberg and the Ministry of Industry and Trade over additional Habeco’s shares?

    A price disagreement almost certainly exists. The government announced in August it wants to sell its 82 per cent stake for $404 million, or about VND48,000 ($2.11) a share, which according to CEO of Carlsberg Vietnam, Mr. Tayfun Uner, is a reasonable valuation, or VND50,000 ($2.2) per share; the same price it paid in the 2008 IPO.

    The government is now keen to take the market price as a reference for the deal. After switching from the Unlisted Public Company Market (UPCoM) to the Ho Chi Minh Stock Exchange (HoSE) on January 19, shares in Habeco rose 15 per cent in their first day of trading to VND147,000 ($6.51) from a starting price of VND127,600 ($5.63), valuing the Vietnamese brewer at $1.5 billion.

    But a 21.1 per cent year-on-year decline in Habeco 2016 net profit to VND740.1 billion ($32.7 million) saw its share price head down. After the February 9 trading session, its shares closed at VND114,000 ($5.03). While price is driven by market demand and supply, the surge in the company’s share price did not accurately reflect the underlying value of the business and is mainly due to speculative buying on very thin volumes, Mr. Uner said.

    Another reason why negotiations could fall apart is that the Vietnamese Government may have more than just one potential buyer. “We have first right of refusal, but if they neglect that for any reason, and we do not have any signal that they will, then we may not be able to buy it,” Mr. Hart said.

    While the partnership agreement signed in 2008 is still legally binding, some of the terms are no longer appropriate under current law. According to a lawyer with knowledge of the agreement, the selection of a single foreign strategic investor for the majority of the stake may be in conflict with regulations in the Competition Law and the Trade Law or the criteria for State divestment from joint stock companies.

    Still, the government has no choice but to sell Habeco as soon as possible. “Letting incapable people continue on the brewer’s management board will eventually destroy the brand and the company, while a fast sale does not necessarily mean Habeco will be let go at a cheap price,” Mr. Nguyen Hoang Hai, Vice Chairman of the Vietnam Association of Financial Investors (VAFI), told VET by phone on February 9.

    With a young, beer-loving population, Vietnam is among Asia’s largest consumer of beer, putting it on the radar of international brewers. The country’s beer market grew at an average compound annual rate of 7 per cent from 1999 to 2015 and touched 4 billion liters in 2016. Growth is anticipated at around 4 per cent to 2021, data from researchers Canadean, quoted by investment bank Liberum, showed.

    Kirin Holdings, Asahi Group Holdings, Thai Beverage, Heineken, and Anheuser Busch Inbev SA are among some 20 investors that have expressed interest in the sale.

    Habeco’s share price soared when a limited number of shares were listed in October, as investors raced to snap them up before the planned sale. The brewer has a market share of about 20 per cent in Vietnam.

    Lees ook:

    Lees ook:

  • Myanmar retail sector ringing up sales

    Myanmar retail sector ringing up sales

    Rising incomes, an expanding economy and changing consumer patterns are attracting a growing number of international brands to Myanmar. By fuelling competition amongst existing players, their presence is expected to trigger an improvement in the range and quality of products and services on offer.

    International attention has been driven by bullish retail growth, which has expanded by an average rate of 7-15% per annum since 2011.

    Daw Win Win Tint, managing director of leading retailer City Mart Group and president of the Myanmar Retailers Association, told OBG international bands are attracted to Myanmar’s strong economic growth and increasing consumer purchasing power.

    “The average basket of goods continues to grow by around 10% per year mainly due to increasing spending power in urban cities, especially Yangon, where salaries have risen significantly,” she said.

    Fast moving

    Several international brands have made forays elsewhere the retail supply chain, making strategic greenfield investments in local processing. In the fast-moving consumer goods (FMCG) segment, Carlsberg and Heineken both opened brewing factories in Myanmar earlier this year through joint ventures with local partners, and Japan’s Kirin acquired a 55% stake in market leader Myanmar Beer for $560m in August.

    While modern retail currently accounts for just 10% of the FMCG segment, Daw Win Win Tint expects restrictions on foreign retail chains entering the Myanmar market to be lifted sometime in the future. As local purchasing power grows and Myanmar consumers have greater exposure to foreign brands via the internet and international travel, demand in the FMCG segment in particular is expected to rise.

    “There needs to be more awareness of the potential of the FMCG sector, as Myanmar has a population of approximately 51m and the prospects of becoming a manufacturing hub for South Asia,” she told OBG.

    Rising tide of consumerism

    Industry observers forecast a surge in consumer activity in the coming years, with the McKinsey Global Institute predicting in mid-2013 that Myanmar’s GDP would expand by more than four-fold by 2030, from around $45bn to $200bn. The group also predicted that rising incomes would fuel expansion of the country’s consumer class, jumping from 2.5m to 19m over the period, with consumer spending to triple to $100bn per year.

    As the country liberalises its retail market, the division of consumer spending between domestic and international retailers could see a shift. Local consumption habits continue to favour local products, though this is largely due to availability. In the beer segment for example, Myanmar Brewery accounts for more than 80% of sales.

    Though Myanmar consumers may welcome the entry of new brands and chains, such a transformation is likely to be a strain on current operators, who will have to contend with high-profile rivals with international experience and economies of scale. This will force local retailers to adapt to the changing market, which should bolster the portfolio products on offer and promote market efficiency.

    Consumer spending

    In addition to the prospect of greater competition, a decline in consumer confidence has the potential to cool sales in the shorter term. Though consumer sentiment in Myanmar remains among the most positive in the region, according to the most recent MasterCard survey, there has been a recent dip in the outlook of shoppers.

    Myanmar’s rating on the latest consumer confidence index, issued at the end of July, slipped from a regional high of 97.2 in mid-2014 to 81.6. Although still ahead of the South-east Asian average of 71 – second only to Vietnam – the 15.6-point drop was one of the sharpest recorded over the period. Although Myanmar’s position on the MasterCard index may have eased somewhat, any rating above 50 suggests that consumers remain optimistic.

    Weaker sentiment could be due in part to upcoming elections, scheduled for November, though increasing inflation is also likely to be a factor. According to the IMF, inflation reached 8% at the end of May. While low compared to an average of 23% between 2001 and 2010, this represents an increase from the 5% and 6.1% registered in FY 2011/12 and FY 2012/13, respectively.

    The ongoing depreciation of the kyat and crackdown on dollarisation could also be impacting consumer confidence, with the currency falling some 25% year-to-date against the US dollar in August. In addition to affecting the price of foreign goods, this downward movement has also increased the cost of local goods that rely on imported components.

     

    Lees ook:

    Lees ook:

    Lees ook: