Myanmar: Further Extension of the Amended Formula for Calculating Liquidity Ratio

DFDL Myanmar

21st April 2023

The Central Bank of Myanmar published Directive No. 8/2023 on 24 March 2023 regarding further extension of the amended formula for calculating the liquidity ratio of banks in Myanmar.

The Central Bank of Myanmar (“CBM”) published Directive No. 8/2023 on 24 March 2023 regarding further extension of the amended formula for calculating the liquidity ratio of banks in Myanmar (“Directive”).

To look at this historically, the CBM had published several directives between 2020 and 2021 regarding calculation of liquidity ratio and aspects related thereto. We have briefly summarized them as under:

In this Directive, CBM notes that pursuant to Directive No. 2/2022 dated 21 March 2022, it had temporarily extended the revised calculation of liquidity ratio from 1 April 2022 to 31 March 2023. It further notes that considering the liquidity issues faced by the banks due to the pandemic, CBM decided to further extend the revised calculation for a period of six (6) months starting from 1 April 2023 and ending on 30 September 2023.

The Directive concludes by noting that other than the extension described above, the content of the Notification 19/2017 remains unchanged.

The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situations.

Please Login or Register for Free now to view all updates and articles

Login Sign Up

In addition to free-to-view updates and articles, you can also subscribe to the full Legal Centrix Vietnam Service including access to:

Overview notes on the law
Thousands of high quality translations of legislation covering all key business areas
Legal and tax updates
Articles on important legal and tax issues
Weekly email alerts
Sophisticated web platform and search

Legal Centrix is trusted by top law and accounting firms.

DFDL Myanmar

Myanmar
dfdl.com

Founded in 1995, DFDL is one of the oldest foreign legal and tax firms in Myanmar.

DFDL provides a full range of legal and tax services to foreign and local investors operating in Myanmar. Our team of more than 30 experienced local lawyers and foreign legal advisers in Yangon and Naypyidaw provides efficient, effective, and practical legal services at an international standard, coupled with a high level of personal in-depth knowledge of the local environment.

DFDL is best placed to advise Asian and international companies on their investments in Myanmar.

Our Myanmar business unit is led by Partner and Managing Director William D. Greenlee, Jr.

Click here to view the author's profile