The national economic objectives stand as the policy framework in the mineral sector where it is stipulated to invite participation in terms of technical know-how and investment from sources inside the country and abroad. It is the policy in the mineral sector to boost up present production, to fulfill the growing domestic demand and to increase foreign exchange earnings. Mineral-wise emphasis is given for development of copper, gold, lead, zinc, iron and steel, coal, nickel and construction related industrial minerals such as cement making materials, dimension stones and aggregates.

• The Union of Myanmar Mines Law was promulgated in September 1994 and rules relating the law followed after in December1996.
• The Ministry of Mines is the government authority responsible for implementation of the policy, legislation and enforcement of law, rules and regulations in the mining sector.
• According to the Myanmar Mines Law, all naturally occurring minerals found either on or under the soil of any land in the continental shelf are deemed to be owned by the State.
• It is the policy of the Ministry of Mines not to make new investment on its own, but to encourage foreign and local investors to invest in the mining sector.
• Myanmar practice the production sharing contract (P.S.C) system.
• In the production sharing types of agreement the investor shall have to contribute 100% of investment in which case the government would expect a share of the production and a production sharing will be signed with sharing ratio to be agreed upon between the parties.

Department of Mines is responsible for administering the Mines according to the Myanmar Mines Law, Inspection of Mines, Mineral Conservation, Mining Related Environmental Control, safety and welfare of employees in the Mines. The Director General is the Chief Inspector of Mines under the Myanmar Mines Law and also responsible for scrutinizing applications and granting of permits delegated to the Director General under the above Law. The department is also responsible for investment promotion both foreign and local. Privatization of State-owned Mines are being carried out and private sector entrepreneurs are being encouraged to invest in the Mining Sector.

The Myanmar Mines Law