OCBC signs MOUs with 10 Myanmar banks

OCBC Bank signed memoranda of understanding (MOUs) with 10 Myanmar banks on Thursday at the official opening of its Myanmar branch.

The MOUs involve the collaboration in training and capability-building in key areas of cash management, trade finance and treasury solutions to support the anticipated growth in trade and foreign direct investments into Myanmar.

They were signed with three state-owned banks - Myanma Economic Bank, Myanma Foreign Trade Bank and Myanma Investment and Commercial Bank - as well as seven private commercial banks comprising Asia Green Development Bank, Ayeryarwady Bank, Co-operative Bank, Kanbawza Bank, Myanmar Apex Bank, Myanmar Oriental Bank and United Amara Bank.

Together with OCBC, the banks aim to jointly develop and introduce new solutions to support their corporate customers in managing the local and foreign currency operating and financing requirements of their investments and projects.

OCBC Bank will also cooperate with the banks as part of the industry's efforts to develop the domestic money market and interbank lending as well as to enhance the infrastructure for payments and settlements, both critical for a well-functioning banking system.

OCBC Bank's history in Myanmar dates back to 1923, when its first branch opened in Rangoon by the Oversea-Chinese Bank, one of the three banks that merged to form OCBC Bank in 1932.

OCBC Bank's chairman, Ooi Sang Kuang, said the 10 banks have been friends and business partners of OCBC for several years.

"We now bring these collaborative efforts to a new level. The MOUs we have signed - on this, the day we officially open our branch, affirm the close working arrangements we already have with the banks," Mr Ooi said.

"More importantly, the MOUs also commit us to promoting further cooperation in growing the trade finance, cash management and treasury businesses as well as in improving operational efficiency to support these activities."

The signing ceremony was held after the official opening of OCBC Bank Yangon Branch, which was officiated by dignitaries from the Singapore and Myanmar governments including Singapore's Deputy Prime Minister Teo Chee Hean and U Win Shein, Union Minister, Ministry of Finance, Myanmar.