Japan's Bank of Tokyo-Mitsubishi (BTMU) has opened its first branch in Myanmar’s capital Yangon with an investment of $100m, becoming the first foreign bank to set up a branch in the country.
With the new branch, BTMU aims to improve services to address the needs of customers in Myanmar.
The Bank of Tokyo-Mitsubishi Yangon branch offers various services including full banking, deposits, loans, and foreign exchange to foreign companies as well as domestic banks that are operating in Myanmar.
Reuters quoted Bank of Tokyo Mitsubishi chief executive officer Go Watanabe as saying that with deposits of $100m coming from foreign companies within its first year of operating in Myanmar, the bank aims to receive 150 accounts.
BTMU, which was formed on 1 January 2006 from merger between the Bank of Tokyo-Mitsubishi and UFJ Bank, serves as the core retail, corporate, and investment banking arm of the Mitsubishi UFJ Financial Group.
In addition to the Mitsubishi UFJ Financial Group’s subsidiary BTMU, Japan’s Sumitomo Mitsui Banking and Singapore’s Overseas-Chinese Banking also received approvals to open branches in the country.
Nine foreign banks including Mizuho Bank, Australia & New Zealand Banking and Industrial & Commercial Bank of China were also awarded banking licenses that are limited to one branch in October 2014 by Myanmar, the news agency said.
Recently, Myanmar’s Central Bank said it expected applications from six more foreign banks.
The banks including Japan’s Mizuho Bank and Singapore’s United Overseas Bank, as well as Australia and New Zealand Banking Group, Bangkok Bank, Industrial and Commercial Bank of China and Malayan Banking were expected to apply for licenses.
Image: Bank of Tokyo-Mitsubishi UFJ head office in Marunouchi, Tokyo. Photo: courtesy of Katamakura