Transparency Measures: MCRB Introduces Their New Criteria

31 October 2017

Myanmar Center for Responsible Business (MCRB) introduces their new criteria for 2018 Pwint Thit Sa Project on Tuesday in Yangon.

MCRB started Pwint Thit Sa Project since 2014 and three reports have already been published.

According to the latest report by Myanmar Center for Responsible Business (MCRB), First Myanmar Investment (FMI) tops the list of the most transparent companies in Myanmar, followed by Serge Pun and associates, and Max Myanmar group.

MCRB stressed the increase of interest from the business industry on the report; added 75% of 2018 report’s criteria will be based on ASEAN corporate governance scorecard.

Director, Myanmar Centre for Responsible Business, Vicky Bowman said ".... We've seen increasing interest both from Myanmar companies who have featured in the report but also from international companies who are looking to partner with and invest in companies who have featured in the report.... The other thing we found in 2016 is that some companies were almost scoring ten out of ten on our existing criteria. So we want to make it harder for them. We wanted in particular focus on the important questions around the corporate governance, around risk management which featured very strongly in ASEAN corporate scorecard. So probably around 75% of the facts that we will be scoring this year are drawn from the criteria around the corporate governance…”

As the report based on the information that the companies publish but not as assessment of actual performance, MCRB assured that the newly plan report will be a factor to drive the investment.

Director, Myanmar Centre for Responsible Business, Vicky Bowman said “…So a report like this is always measuring disclosure rather than performance. It measure what a company said it does which may or may not be the same as what it actually does. The way we see it that's a first step to allow the media, the civil societies, to allow potential investors to question that companies.... This country certainly needs investment and the various problems related to weak capacity in government, and also obviously what's going on in northern Rakhine, are acting as a break on investor interest from outside. So we certainly hope that by promoting greater companies transparency that will be at least one factor which will make investor more comfortable...."

Experts also share their belief on the rise of transparency more in the future.

Managing Director, Yever , Nicolas DELANGE said "... If you look at the last year, the transparency improving a lot in the Myanmar Companies because, thanks to the initiative the transparency in Myanmar enterprise report. Companies are keener to disclose more information, regarding performance, regarding the ways of managing the activities.... New expectation from the international investors from the Myanmar regulators, transparency will be increased in the next year, hopefully.... “

The new Pwint Thit Sa project, Transpierce in Myanmar Enterprises 2018 Report target to publish in March 2018 featuring about 200 companies in Myanmar, MCRB said.