Central Bank of Myanmar expanded the primary mortgage market in order to provide people with more opportunities to own a home

The Central Bank of Myanmar has increased home loans by up to 5 percent of a bank’s total loan portfolio, and removed the loan terms limits, according to a statement on January 15, 2019.

This move is aimed at expanding the mortgage market in order to provide people with more opportunities to own a home. This is the latest change in a series of moves shaking up the financial markets.

In November 2018, the Central Bank allowed foreign banks to provide loans to local enterprises. In another recent development, they also announced plans to grant foreign banks a foothold in the retail banking market in 2020. With foreign banks being allowed to conduct business in the retail banking sector — also known as consumer banking — it promises to push the boundaries of the status quo, and push improvements within the market at a faster pace.

The local banking community has taken notice of the pending change, and said that they need to prepare themselves by improving technology and services so that they are ready to compete with foreign banks in a more competitive market.

(Myanmar Business Today: https://www.mmbiztoday.com/articles/central-bank-expands-primary-mortgage-market )

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