Myanmar makes it much harder for banks to hire foreigners

A Yoma Bank branch in Yangon’s Sanchaung Township. Photo: Espenrost / Twitter
A Yoma Bank branch in Yangon’s Sanchaung Township. Photo: Espenrost / Twitter

The military-controlled government has put a cap on how many foreigners can work at Myanmar’s financial institutions, which were already shedding staff amid a collapse in confidence and opposition to military rule.

With foreign and domestic workers leaving firms or joining the Civil Disobedience Movement, the central bank announced this week that banks may employ no more 25 noncitizens.

Nyein, a 25-year-old former banker at Yangon’s Yoma Bank, is one of those who felt she didn’t want her work to prop up the regime.

“I made the right decision to leave the country. They [junta] are dragging the country back into the old days,” Nyein told Coconuts. “I don’t want to go to work, and I don’t even want to stay in the country.”

On Monday, the junta-controlled Central Bank of Myanmar said private banks would have to apply for permission to hire foreign staff, the number of which would be limited by the size of the bank.

The statement said that major banks would be capped at 25 foreigners, medium-sized banks at 15 and small banks at eight. Getting approval to make hires requires a 30-day application process.

The free recruitment of foreign personnel, including advisers, was banned by the Central Bank in the event of resignations, termination of duties and responsibilities of foreign employees employed in private banks, and exclusion from duty before completion, according to a statement.

Therefore, foreigners are no longer allowed to be appointed to the positions of chairman or vice chairman, and if a foreigner is appointed as chief executive, a Myanmar native must be nominated their deputy.

According to a statement from the Central Bank, employees under the head of the department will be able to take a six-month probationary period, and the approval period will be restricted to three years.

“Even now, foreigners are frequently hired in banks only for operations. The real policies of the bank are often decided by local directors,” Nyein said.

Currently, local private banks like Kanbawza Bank, United Amara Bank and most private banks, including Yoma Bank and Myanmar Citizens Bank, hire top foreign specialists to occupy key positions.

Since the Feb. 1 coup, many bank customers have had to wait in long queues at ATM machines to withdraw their money as the regime wanted to control the flow of cash.

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