11 June 2019
The 4th Emerging Asia Banking & FinTech Summit began on Tuesday in Yangon to bring together key industry players across the Asia.
This is to discuss the opportunities and challenges, form strategic alliances and action points for banking and financial institutions. The 2-day summit focuses on ASEAN digital banking trends, opportunities and challenges, Digitization of financial services, latest developments in the banking legal framework and digital payment systems. The organizer stressed that the summit would provide an opportunity for the banking sector to get clarity on the regulation to grow and evaluate strategic options and collaboration to move forward.
CEO, Magenta Global Pte Ltd, Maggie Tan said “Myanmar has taken a bit lead forward now with the recent announcements. I think that is the future. You know the future really is towards digital banking and financial inclusion. I think it is both steps that the country is taking in order to open up the sectors. And I am sure more investments and activities access to financing how the economy growth. So the future looks so extremely bright.”
Myanmar has embarked on the gradual liberalization of the financial services sector. The Central Bank of Myanmar is now allowing foreign banks to hold stakes of up to 35% in domestic banks. Foreign banks are now allowed to open branches in the country to help local businesses gain access to financing.
Director, Financial Regulatory Department (MOPF), Thant Zin said “Regarding the banking sector, the government has liberalized rules and regulations for secured loans, unsecured loans and credit cards recently. FinTech sector seems to drive true financial inclusion as an effective vehicle than other neighboring countries with the rapid growth of mobile penetration in Myanmar. We are marking reforms together with other sectors to achieve large-scale financial inclusion with the aid of the mobile revolution.”
Within the next two years, telecoms are expected to cover 90% of the population. This increased data and online access will continue to pave the way for more innovation and opportunities.
Deputy General Manager, International Remittance (Shwe Bank), Khin Maung Soe said “Local banks have been focusing on the IT sector in line with the international standard on the rise of rapid mobile penetration to reduce human resources and save time. In the financial sector, it’ll be better if the technologies give safe services with less time. But the only problem is using cash base system rather than cashless system. With the better access of internet services, I think our country should need to go to cashless system which is safe, convenient and secure for all in the banking and FinTech sector.”
The Summit will run till the 12th of June at Park Royal Hotel in Yangon.