Myanmar Financial Sector Reforms : Policy Note
During Myanmar's decade of reforms, financial sector reforms were widely recognized to be a critical underpinning of Myanmar's democratization process, enabling the transition to a more egalitarian, accessible economy. Accordingly, the go...
Main Author: | |
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Format: | Policy Note |
Language: | English en_US |
Published: |
Washington, DC : World Bank
2022
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/099950007082234868/P17700209b1e6603e0822b0be869cb8882b http://hdl.handle.net/10986/37684 |
Summary: | During Myanmar's decade of
reforms, financial sector reforms were widely recognized to
be a critical underpinning of Myanmar's democratization
process, enabling the transition to a more egalitarian,
accessible economy. Accordingly, the government developed a
program of wide-ranging financial sector reform and
development as described in the Financial Sector Development
Strategy 2015-2020, and then supplemented and updated their
approach via other strategy documents. informal providers,
who could charge usury rates with little oversight. Despite
significant political economy challenges and capacity
constraints, since 2011 policymakers were able to carry out
a substantial program of reforms to strengthen the financial
sector and promote market development. However, due to the
impact of COVID and the coup of February 2021, this reform
agenda is at severe risk of stagnation or reversal. Progress
in the modernization and accessibility of the financial
sector is contingent on stability and the confidence of the
public in financial institutions. Rectifying the damage to
the sector under current circumstances seems especially
challenging, unless there is stability and the public's
confidence in the financial system is restored incrementally. |
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