The Bank for Investment and Development of Vietnam (BIDV), a leading state-owned Vietnamese bank, will open a Myanmar branch office in Yangon at the end of July.
The new branch will start operation with an allocated $85 million USD initial capital. BIDV’s goal is to secure at least $300 million USD in total assets after three years of operation and be among the top five foreign banks in Myanmar. Vietnam invested $175 million USD in Myanmar last year, however, with BIDV’s new establishment that figure is likely to grow.
According to BIDV, bilateral trade between the two countries grew approximately 25 percent from 2010 to 2015. The Myanmar subsidiary aims to better broaden the bank’s financial participation in the country by providing modern banking products and services for both local enterprises and Myanmar-based foreign companies in competition with other overseas banking organizations . BIDV will become the first Vietnamese bank to open a branch in Myanmar.
