Posts

Rocket Internet is hiring for its four ventures in Myanmar to keep up with the country’s growth, reports Deal Street Asia.

Rocket Internet will be expanding operations and hiring more positions across all of its Myanmar based companies, they are as follows:

  1. work.com.mm – job search portal
  2. house.com.mm – real estate listings
  3. motors.com.mm – automobile listings
  4. ads.com.mm – classifieds

Rocket Ventures entered Myanmar in 2012 and was among the first foreign tech ventures in the country, even before the foreign telecom operators officially entered the market in 2014. The market is now growing rapidly, and Rocket wants to make sure they have the bandwidth to accommodate increasing demands.

The expansion of Motors.com.mm suggests that the market is heading towards a more sustainable economy with consumers looking into auto purchases, buying auto insurances and managing car loans.

The telecom market is also accelerating as Myanmar internet penetration increased with Myanma Post and Telecommunications (MPT) reaching 20 million users by the end of June 2016. The two foreign operators, Telenor and Ooredoo have also recently launched their 4G network. Telenor has 16 million customers in the country while Ooredoo has 6.9 million users.

As foreign operators have taken a large share of the telecom industry, this blocks a lot of growth for local players to take their share of the telecom pie.

Rocket Internet refused to disclose exact investments figures, but are committed to staying ahead in the ecommerce space by increasing their footprint.

Rocket Internet recognizes the significance of telecoms’ role in online retail, and have partnered up with Ooredoo for Shop.com.mm’s first mobile sale this year.

Among the four ventures of Rocket, work.com.mm and ads.com.mm have the highest number of visitors as they appeal to a broader group of people who are looking for a job or trade goods on an ongoing basis.

Data shows majority of visitors are accessing the site from their mobile phones.

Rocket Internet’s decision to expand operations may be linked to the increasingly competitive nature of the ecommerce market in Myanmar, as their business models are very simple and have low barriers to entry.

A version of this appeared in Deal Street Asia on July 18. Read the full version here.

Firms in Vietnam Adopt IFRS

Source: dealstreetasia

As the demands from World Bank, IFC and foreign investors become unavoidable, firms in Vietnam are required to adopt International Financing Reporting Standards (IFRS) in 2020. The application of the international system will be required first by firms listed in HCM City and Hanoi’s stock exchanges.

Evidence showed that the switch to IFRS brought important economic results, with long-term benefits outweighing short-term costs and implementation challenges. The benefits include transparency, accounting quality, comparability and market liquidity among others, a finance ministry official has said. By 2018, Vietnam should have the required legal framework for applying international financial reporting standards.

Inefficient financial regulatory controls

In Vietnam, accounting standards are issued by the Ministry of Finance of Vietnam and are known as “Vietnam Accounting Standards”. The Department of Accounting and Auditing Policy of the Ministry of Finance has formed the Vietnamese Accounting Standards Board (VASB) to develop and approve the standards.

The Ministry of Finance states that it takes International Financial Reporting Standards (IFRS) into account in developing Vietnamese Accounting Standards . However, the IASB website states clearly that Vietnam has not yet adopted the IFRS or the IFRS for SMEs. Some Vietnamese companies prepare IFRS financial statements for the purpose of reporting to foreign investors. However, those IFRS financial statements are supplementary financial statements published in addition to – not instead of – financial statements prepared using VAS. 

The lack of the international reporting standard subject businesses in the country to additional work for their statutory reporting commitments and harm the domestic Vietnamese business by restricting their access to foreign capital.

This change in regulation hopes to attract more foreign investment in Vietnam.

A version of this appeared in AmCham Vietnam on June 17. Read the full article here.