UOB's clients invest heavily in Myanmar

UOB opened a branch in Yangon, Myanmar in 2015.
UOB opened a branch in Yangon, Myanmar in 2015.PHOTO: UOB

More than $830 million of investment has flowed into Myanmar via United Overseas Bank's clients since UOB opened a branch in the capital Yangon in 2015.

Most of the capital has come from multinational and regional companies based in Asian economies such as China, Malaysia, Singapore and Thailand.

UOB has facilitated the expansion of these companies, which are mainly in the manufacturing, hospitality and commercial real estate industries, by providing corporate loans and other solutions such as project and supply chain financing.

UOB managing director and head of group strategy and international management Ian Wong said: "Myanmar's strong demand for critical infrastructure is attractive for long-term investors interested in the country's economic progression. Over the last 24 months, we have helped hundreds of companies from across the region to make investments supporting Myanmar's continued economic development."

A UOB survey of 2,500 enterprises last year found 20 per cent of companies from Singapore, Malaysia, Indonesia, Thailand, China and Hong Kong saying they planned to expand into Myanmar in the next three to five years.

Mr Sim Hee Chew, managing director of Nylect Engineering Group of Companies, which is involved in commercial property construction projects in Myanmar, believes the country's prospects are favourable.

"Myanmar's infrastructure needs will continue to increase as the country develops. We believe there are immense opportunities for us to continue supporting the country's progress," Mr Sim said.

Samuel Chan

A version of this article appeared in the print edition of The Straits Times on April 17, 2017, with the headline 'UOB's clients invest heavily in Myanmar'. Print Edition | Subscribe