The Bank of Tokyo-Mitsubishi UFJ (BTMU), Japan’s largest bank, signed a Memorandum of Understanding with domestic Co-Operative Bank amid widespread interest for investment in Myanmar, according to BTMU’s president.
BTMU is aiming to support Japanese companies soon to enter Myanmar and act as a technical adviser to CB Bank, announced BTMU president Nobuyuki Hirano during a signing ceremony held at the Sedona Hotel in Yangon on December 27.
“Since March 2011, the new government has been making Myanmar a democracy. These efforts have been attracting foreign companies to Asia’s new market. A lot of Japanese companies will target Myanmar for foreign investment,” he said.
BTMU first opened its representative office in Yangon almost 60 years ago and has recently been serving as a liaison for Overseas Development Assistance, he added.
CB’s managing director, U Pe Myint, said that BTMU will provide commercial lending, trade and foreign exchange services to CB.
“There are still many details we need to plan in the MoU. We will discuss it at a later date and we will likely release the details this coming March,” U Pe Myint said.
CB is one of the leading banks in Myanmar, with 28 branches currently operating in the country and 42 branches slated to open by 2014. The bank plans to set up at least 30 ATMs around cities in Myanmar, offering international card transactions such as Visa and MasterCard, said U Pe Myint.
According to the Japanese External Trade Organisation (JETRO), almost 300 Japanese companies visited Myanmar in 2011: a 50 percent increase from the previous year.
Japanese Mizuho Bank opened its representative office in Yangon last April and Sumitomo Mitsui Banking Corporation also opened a representative office last August to support Japanese enterprises.