Financial Services: World Bank Support 100 Million $ To SMEs
Myanmar will receive 100 million dollars credit from World Bank to support financial services to families and small and medium-sized businesses.
The World Bank’s Board of Executive Directors approved its support on Tuesday.
Myanmar is implementing the Financial Sector Development Project, aiming to promote the development of a sound and stable financial sector.
Since 2012, private banks have rapidly expanded their operations. More than 1.4 million debit cards have been issued for the first time, and thousands of ATMs have been set up. Credit to the private sector has grown steadily. Still, Myanmar’s financial sector does not yet effectively meet the demands of the country’s growing economy.
The World Bank Country Director for Southeast Asia said they are pleased to help finance the project. He added that it will benefit to low-income households including farmers and small businesses.
The credit will come from the International Development Association (IDA). The terms for the IDA credit include a maturity of 38 years, with a grace period of six years and a zero interest rate.