YANGON, April 5 (Xinhua) -- The Central Bank of Myanmar on Wednesday issued regulations for credit information, paving the way for the private sector to get better access of credit.
The regulations are based on the country's new financial institution law which was enacted last year.
Due to the lack of credit bureau and reliable database system and higher interest rates, local banks avoid providing loans and credits without collateral.
Therefore, the private sector is far lagged to develop not as much as it should be.
Despite the expansion of the financial sector since 2012, credit to the private sector has grown slowly and not met the demand of economy growth, according to local experts.
Fewer than 30 percent of adults can access financial services, and the rates are even lower in rural areas.
Businesses identify the lack of access to finance as the largest constraint to doing business in the country, according to the World Bank.
