Myanmar may let foreign banks buy stakes in lenders

[YANGON] Myanmar's government has signalled it could let foreign banks buy stakes in local lenders as it worries that resistance by domestic banks to joint ventures could hamper plans to attract investment and rebuild the financial system.

The government is finalising regulations to allow foreign banks to begin operations through joint ventures, Deputy Finance Minister Maung Maung Thein said, although he noted some local banks did not want to do this.

The government was also considering permitting foreign banks to buy stakes in local banks, he said in an interview at a banking conference held in Yangon this week, although he gave no timeline for either scenario.

"Our country needs financing, so by letting foreign banks come in, or by letting them buy our equity, then foreign financial input will come in," the minister noted.

http://www.information.myanmaronlinecentre.com/myanmar-may-let-foreign-banks-buy-stakes-in-lenders/