The DFDL Myanmar team featuring William Greenlee (Partner; Managing Director), Nishant Choudhary (Deputy Managing Director; Head of Banking & Finance Practice) and Rohan Bishayee (Legal Adviser) have been quoted in the Frontier Myanmar Newspaper on the recent opening up of the banking sector in Myanmar.
The Central Bank of Myanmar recently announced that foreign banks and financial institutions would be allowed to have up to 35% equity investment participation in local private banks. Local banks with such a foreign equity injection up to this threshold would now be allowed to operate freely in Myanmar.
Drawing from DFDL’s article: “CBM Allows 35% Foreign Equity Investment in Local Private Banks”, Frontier Myanmar quotes DFDL’s view that “Foreign shareholdings in local banks would also boost the efficiency and quality of services provided by these local banks and thus make the banking sector in Myanmar a lot more progressive and akin to international standards.”
This decision on equity participation is a significant development in the country’s banking sector allowing local banks to greatly expand their services and operations. It will also boost the efficiency and quality of services provided by local banks, enhancing progress throughout the Myanmar banking sector and bringing them more firmly into line with international financial standards.
Read the Frontier Myanmar article “Uncertainty Clouds Bank Equity Move” – https://frontiermyanmar.net/en/uncertainty-clouds-bank-equity-move
Read DFDL article “CBM Allows 35% Foreign Equity Investment in Local Private Banks” – https://www.dfdl.com/resources/legal-and-tax-updates/myanmar-legal-update-cbm-allows-35-foreign-equity-investment-in-local-private-banks/
Partner, Managing Director
Deputy Managing Director,
Head of Banking & Finance Practice