Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) has opened its first branch in Myanmar with a paid-in capital of $85 million. BIDV plans to work with foreign companies and customer have direct business in Myanmar, says Dang Hai Nha, CEO of the new branch in Yangon.

According to the country’s licencing rules, BIDV can only open one point of transaction and has a lending maximum of $17 million. The licence was granted on 30 June following approval for commencement of banking operations in March this year. Banks are moving into the Myanmar region following the easing of US sanctions in the area. The State Bank of India, South Korea’s Shinhan Bank and Taiwanese E.Sun Commercial Bank are all awaiting approval for licences. “BIDV has had past experiences in countries similar to Vietnam. We can draw lessons from those, and have a suitable development strategy for Myanmar,” Nha tells Dealstreetasia.

State-owned BIDV was founded in 1957 in Hoan Kiem, Hanoi, and holds around $18.8 billion in assets. The bank is Vietnam’s largest for income and the second largest by assets behind Agribank.

By Alex Hamilton

by Alex Hamilton
Alex is Senior Reporter at IBS Intelligence, follow him on Twitter or contact him at: