Myanmar to introduce mobile banking
Myanmar is speeding up modernisation of its banking system. The nation, which did not have any ATMs in use just a few years ago, is now embarking on mobile banking services for domestic remittances to be introduced by July or August 2013, according to a report in the Myanmar Times on May 29.
Domestic banks were in the final stage of preparing for mobile banking, a process that began two years ago, the report said.
However, according to U Tin Maung Htay, managing director of the Small and Medium Industrial Development Bank, banks have identified “major hurdles,” which are mainly unreliable telecom networks “especially during bad weather.”
Another issue yet to be resolved is whether the system will operate directly from bank to agent or whether payments will be routed through the Myanmar Payment Union, which was set up in 2012 by 17 state-owned and private banks to make payments between banks more convenient.
Numerous foreign and domestic technology companies are involved in the preparations and will participate in the service. A central bank spokesperson said most mobile banking transactions are likely to be small.
“This system targets small amounts, like cash sent by a worker in Yangon to his family in a village,” the spokesperson said.
Myanmar is speeding up modernisation of its banking system. The nation, which did not have any ATMs in use just a few years ago, is now embarking on mobile banking services for domestic remittances to be introduced by July or August 2013, according to a report in the Myanmar Times on May 29. Domestic banks were in the final stage of preparing for mobile banking, a process that began two years ago, the report said. However, according to U Tin Maung Htay, managing director of the Small and Medium Industrial Development Bank, banks have identified "major hurdles," which are mainly...
Myanmar is speeding up modernisation of its banking system. The nation, which did not have any ATMs in use just a few years ago, is now embarking on mobile banking services for domestic remittances to be introduced by July or August 2013, according to a report in the Myanmar Times on May 29.
Domestic banks were in the final stage of preparing for mobile banking, a process that began two years ago, the report said.
However, according to U Tin Maung Htay, managing director of the Small and Medium Industrial Development Bank, banks have identified “major hurdles,” which are mainly unreliable telecom networks “especially during bad weather.”
Another issue yet to be resolved is whether the system will operate directly from bank to agent or whether payments will be routed through the Myanmar Payment Union, which was set up in 2012 by 17 state-owned and private banks to make payments between banks more convenient.
Numerous foreign and domestic technology companies are involved in the preparations and will participate in the service. A central bank spokesperson said most mobile banking transactions are likely to be small.
“This system targets small amounts, like cash sent by a worker in Yangon to his family in a village,” the spokesperson said.
