Central Bank of Myanmar (CBM) will allow foreign banks to operate fully by around 2020, said Vice Chairman Bo Bo Nge of the CBM on January 6.

“We had disallowed the full operation of foreign banks right now. We will allow them as subsidiaries in the future. We will announce it in details. Foreign banks are granted empowerment like local banks in foreign countries. Customers will have many choices. The number of foreign banks will be depended on the number of applicants. It will not be occurred in this year. We expected the full operation of foreign banks may be allowed around 2020,” he said.

The foreign banks are planning to expand their services and they will expand their services based on the permissions of the CBM, said Jacky Chiang, Chairman of Yangon branch for Taiwan based E.Sun Bank in a ceremony to sign a mutual agreement between National Management Degree College (NMDC) and the bank.

“The CBM allowed us to provide local corporate services. We can provide services to all companies registered in Myanmar. The foreign banks will be granted full operation soon as the economy of Myanmar is improved. We can provide local corporate services as we have international branches. If the CBM allows retail banking services later, we can provide banking services individually as well. However it will be depended on the permission of the CBM,” he said.

The CBM is allowed the branches of foreign banks in Myanmar to provide services like local banks in loan services and other banks services on November 8.

The CBM allowed foreign banks to provide services for local businesses to have more access financially, it said.

Local banks have difficulty to provide financial services to mega projects and they welcomed foreign banks to provide services in Myanmar, said Zaw Min Win, Chairman of Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).