Analysis of Myanmar
markets in banking
HƯNG, NAM, QUỐC VIỆT, QUYỀN
Central Bank of Myanmar (CBM)
Domestic Private Banks, Foreign Bank Branches
Foreign Bank Representative Offices, Foreign
Finance Company Representative Offices
Assets at state-owned lenders slid 14% to MMK 6.5 trillion in the same period.
The state-owned banks: share of total banking assets decrease from 67% in
March 2013 to 46% in March 2016.
Private banking sector
The private banking sector has grown almost 11 times higher over the last six
years with total assets increasing from MMK 1.9 trillion (USD 1.6billion) in March
2010 to MMK 20.9 trillion (USD 17.3 billion or 27% of GDP) in March 2016.
In the past year alone, the assets of the top 10 private banks have increased by
84%, from MMK 10.5 trillion (USD 10.8 billion) in August 2014 to MMK 19.4
trillion (USD 16.1 billion) in March 2016. The total number of branches has also
more than doubled from 678 to 1,149
Foreign Bank Branches
Mobile Financial Service: With the dramatic increase in mobile
penetration from 7% at the end of FY 11/12 to 90% as at May 2016,
mobile financial services are becoming increasingly important.
Reform of State-owned Banks
The population density is high
Undeveloped banking sectors is developing continuously
People who have bank accounts is not high
The credit card services are not popular
Myanmar remains a predominantly cash-based economy
Myanmar economic growth rate is high, about 7.2% during the past few years
New regulations related to banking sectors were passed
Possible entry strategies
Establish Agency offices