Banking and Financial Sector Development (FSD)

The formal banking sector in Myanmar is not capable of providing SMEs with sustainable and needs-oriented loans.

Module goal:

The formal banking sector in Myanmar receives support to enable small and medium-sized enterprises to be provided with sustainable and needs-oriented loans.

Political partner in Myanmar:

Ministry of National Planning and Economic Development of Myanmar

Implementation Partner: Central Bank of Myanmar, Banking Training Institute and other Institutions of the financial sector like the Yangon University of Economics (YUE).

SME-finance is basically non-existent in Myanmar. Human capacities in the financial sector do not fulfil regional standards and suffer from the country’s long isolation. There is a lack of centralized training provider targeting the financial and banking sector. Therefore the support of the meso level is crucial to ensure a sound capacity building.

The FSD project operates in four major areas:

1. The first area aims at supporting the Central Bank of Myanmar to create a regulatory framework for formal financial institutions and to adequately fulfil its role as supervisor.

2. The second area aims at strengthening the legal framework as well as human capacities with respect to financial accounting and auditing.

3. The third area aims at developing human capacities in the banking sector. The FSD project supports the meso level (different training providers) as well as micro level (in particular banks) to prepare bank employees for the sector’s tremendous changes and upcoming opportunities (also in the SME-sector).

4. The fourth area aims at assisting selected banks in offering demand-oriented and sustainable financial services to SME.

The tender will be related to the third area of the project, the strengthening of centralised training institutions. In this case, support is provided to the Yangon University of Economics (YUE) and in particular to the offered Master in Banking and Finance (MBF) with regards to capacity building and quality enhancement of the programme. A study has already been conducted to identify strengths and weaknesses of the institution and the Master Programme. In addition, it outlines several recommendations which provide the basis of GIZ’s future support as well as this assignment. The main content of this study/analysis will be provided to the short-listed candidates for the preparation of the tender documents and project planning.

The main areas where improvements are required to put the MBF to regional standard are:

• Development and implementation of a Quality Assurance System;

• Linking the MBF programme (content wise) to the Financial Sector reality, practice and future requirements;

• Linkage between theoretical and practical knowledge

• Improvement of quality of lectures, methods and formats including knowledge management;

• Strengthening research capacities, methodology and regular revision;

• Public Relation, visibility of the YUE.

Improvements in physical infrastructure will be required in the future but are neither the current priority nor part of the tendered assignment.

Monitoring, evaluation and reporting are integral parts of the required tasks.

Please note that the implementation of the project activities is subject to the approval of the Bundesministerium für wirtschaftliche Zusammenarbeit und Entwicklung (BMZ – German Federal Ministry for Economic Cooperation and Development).

The implementation of this part of the component will be in close exchange and complementary to the other parts of the component and according to the opportunities opening up linked with other stakeholders in the training sector.

Gender and integrative aspects (do-no-harm approach) have to be appropriately addressed in the activities.