YANGON, Dec 12 (Reuters) - Investment by the International Finance Corporation (IFC) in Myanmar is expected to rise to $1 billion over the next three years as it supports the development of the private sector, the backbone of growth and job creation, it said on Friday.
“Building business-enabling infrastructure and expanding access to finance are critical to reviving Myanmar’s private sector, which will generate much-needed jobs and economic opportunities,” Vivek Pathak, the IFC’s director for Asia Pacific, said in a statement.
The IFC, a member of the World Bank Group, said its focus would be on sectors such as power, telecommunications and transport. Only about 30 percent of households in Myanmar have access to electricity.
The IFC said its investment portfolio was expected to reach about $400 million for the 2015 fiscal year, ending on June 30, 2015, up from $92 million as of November 2014.
“Investments are expected to further rise to $1 billion over the next three years,” it said.
It said that on the regulatory level, a focus during this fiscal year would be on supporting Myanmar’s central bank to develop at least one credit bureau by June 2016.
That would allow “lenders to access borrowers’ credit history, better evaluate loan risks, and thereby extending loans more quickly and on a larger scale than currently where too little information makes banks reluctant to lend”.
Editing by Robert Birsel