Yoma Bank and MC Easy Microfinance company limited (“Easy Microfinance”) signed a funding agreement of MMK 4.8 billion in support of Easy Microfinance’s funding operations in Myanmar.
This new funding comes on top of the MMK 8 billion in existing ones that Easy Microfinance is receiving from Yoma Bank and it will serve an additional 16,000 borrowers, particularly micro-entrepreneurs and small business owners, who need financial assistance in seed capital for their business’ operations.
Since the new legislation allowed Myanmar banks to lend to microfinance institutions (MFIs) in 2016, Yoma Bank has provided innovative funding solutions to over 11 microfinance institutions nationwide. Since the partnership between Yoma Bank and Easy Microfinance started in 2018, more than MMK 12.8 billion have been provided through Yoma Facility to Easy Microfiance’s borrowers through its 21 branches across Yangon, Naypyidaw, Sagaing, Magway, Mon, Kayin and Ayeyarwaddy regions.
“Yoma Bank is devoted to improving credit access to underserved businesses in the country with our vision to build a better Myanmar for its people. We believe that the microfinance sector plays a critical role in reaching to micro and small businesses in the market. Hence, we are actively targeting the microfinance sector in our loan portfolio and we believe through this new funding, we will be able to support more micro entrepreneurs in expanding their businesses across Myanmar,” said the CEO of Yoma Bank, Mr. Dean Cleland.
Easy Microfinance is a for-profit microfinance company, which started operations in 2016. Easy Microfinance loans are designed to be easy and quick to obtain and easy to repay, with loan amounts that are adapted to the business needs and repayment capacity. Its financial services consist of two loan products: a solidarity group loan which is targeted to low-income families and very small business owners in need of a loan up to MMK 1 million, and an individual business loan product targeting small businesses in need of financing up to MMK 10 million.
“We are pleased with Yoma Bank’s continued support which will help Easy Microfinance to expand its geographical footprint, and to offer its products to many more small entrepreneurs, providing them with access to financing which will enable them to develop their businesses, create jobs and improve their livelihoods. We are proud of Easy Microfinance’s contribution to financial inclusion and economic development in Myanmar,” said Frank Snieders, Managing Director of Easy Microfinance.