This week’s arrival of the first three foreign banks to be allowed to open branches in Myanmar has already signalled a possible shake-up of the banking sector, with Japan’s Sumitomo Mitsui Banking Corporation expressing interest yesterday in eventually acquiring a minority stake in Kanbawza (KBZ), Myanmar’s largest lender.
The apparent boom in Yangon construction conceals increasing complexity, as stricter regulation combines with aggressive speculative practices to create a difficult environment for contractors and would-be homeowners alike, industry sources say.
The first of three foreign banks to open branches in Myanmar this week – Bank of Tokyo-Mitsubishi UFJ (BTMU) – says there is no turning back for economic reforms and that patience is the key for success.
Foreign investment in Myanmar nearly doubled last year compared to the previous year, it was announced yesterday. Overseas investors poured more than US$8 billion into the country, creating 150,000 jobs, said the Directorate of Investment and Company Administration (DICA).
A mixture of political uncertainty and scepticism has cooled once torrid demand for land around the future Hanthawaddy International Airport project, say local real estate agents.