It secured 90% of commercial space in YIA’s new terminal. Singapore Myanmar Investco’s duty free shops, retail outlets and car rental services are seen benefitting from growing tourism in Myanmar, said DBS Vicker Securities.
The research house notes that the influx of tourists, estimated by the Tourism Ministry to increase from 5m in FY2016 to 7.5m in FY2020 on the back of the improved political and economic stability, will lead to the capacity expansion of YIA from 2.7m to 8m passengers by 2019.
As such, with 90% of the commercial space secured on a 10-year agreement with merchandise supplied by DFS Venture Singapore at the new terminal at YIA which opened in mid-March, it believes SMI is set to benefit from the rising tourism in Myanmar.
SMI will also manage three F&B outlets; with franchise agreements signed with Crystal Jade, IPPUDO (Japanese ramen restaurant) and The Coffee Bean & Tea Leaf.
SMI plans to expand its range of F&B franchise concepts into the domestic market.