Yoma Bank and Myanmar CP Livestock Introduce their Joint Innovative Financing Program
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Yoma Bank’s Agribusiness Finance Program (AFP) Aims to Support the Livelihood Development of Local Livestock Farmers
Yangon, Myanmar – September 28, 2018 – Yoma Bank signed an innovative loan agreement with the authorized dealers of Myanmar CP Livestock (MCPL), a leading agro-industry and food business in Myanmar. The purpose of the loan is to facilitate livestock dealers & farmers with working capital to buy animal feed from Myanmar CP Livestock. Myanmar CP Livestock is currently operating four feed mills, located in Yangon, Taunggyi, and Mandalay, with total capacity of around 750,000 tons/year. As one of Myanmar’s largest banks with over 3,000 employees and 75 branches nationwide, Yoma Bank is proud to be supporting local dealers & farmers with this new program.
This Agribusiness Finance Program is Yoma Bank’s new innovative SME financing product and shares the benefits to all the stakeholders involved. With this program, individual farmers and dealers will have access to the formal financial system to grow their livestock businesses. At the same time, MCPL will be supported to grow their sales on the back of their clients’ increased purchasing power. To apply for this program, applicants are not – as usually requested by Myanmar Banks – required to avail any physical collateral, but instead need to proof a positive track record.
“Yoma Bank is very proud to launch this innovative financial solution to address collateral challenges facing smallholder livestock farmers. Working with MCPL has allowed us, together, to provide credit using a credit scoring system. Smallholder farmers are supported through our Agribusiness Finance Program as we renew our commitment to improving financial inclusion and access to credit for those who are seldomly served by Myanmar’s financial institutions.” said the Advisor to the Chairman and CEO of Yoma Bank, Mr. Hal Bosher.
Yoma Bank’s Agribusiness Finance Program (AFP) is striving to address impediments of the development of poultry sector by providing this need-based financing program for the local farmers and other stakeholders who might currently be excluded from the formal financial system. The product is a result of Yoma Bank’s partnership with the Dutch bank Rabobank. Agri-finance consultant Arnold Tijdens emphasized the unique opportunity in Myanmar to introduce new financing solutions to the agricultural sector, and the positive ramifications this has for the country at large.
“We are very delighted to cooperate with Yoma Bank in facilitating access to a formal financial system to those in need through this innovative loan program. This program not only helps us to boost our sales target as a new strategy, but also enables our customers to get working capital to expand their business with high purchasing power. Thus, we would like to thank the responsible personnel from Yoma Bank who made this happen,” said Mr.Uthai Tantipimolphun, Vice Chairman of Myanmar C.P. Livestock Company Ltd.