Lending rules: Myanmar
What the published rules require for unsecured consumer loans in Myanmar, in the order a loan is made, and how TS LMS handles each step.
Last reviewed 22 October 2026 · Email me when these rules change
Lender type covered Microfinance institution licensed under the Microfinance Business Law 2011
- 01
What licence do you need to lend in Myanmar?
Licence from the Microfinance Business Supervisory Committee
What the rules require
Microfinance business, including issuing micro-credit, may be carried on only under a licence: the Microfinance Business Law (Pyidaungsu Hluttaw Law No. 13/2011) states that no person shall carry out business of a microfinance institution without a licence (s. 54). Applications with a feasibility study are filed through the working committee and the Microfinance Business Supervisory Committee decides within 30 days (ss. 17, 21). Institutions must not carry out wrongful activities to obtain unfair advantage (s. 34) and must comply with the terms and conditions prescribed by the Supervisory Committee when issuing micro-credit (s. 31). Operating without a licence is punishable with a fine, imprisonment of up to five years, or both (s. 57).
Effective: being checked against the official text · Rules as of 30 November 2011 · Source: The Microfinance Business Law (Pyidaungsu Hluttaw Law No. 13/2011), English translation
How TS LMS handles it
Products, credit rules and limits are set up for each lender and country. Changes to credit policy and to products need a second person's approval, and every change is kept in the audit log.
- 02
How are loan fees regulated in Myanmar?
Interest and service fees set by the Supervisory Committee; disclosure
What the rules require
The Supervisory Committee determines, in accordance with Central Bank of Myanmar procedures, the interest rate on deposits and the interest rate and service fees to be imposed on loans so as to conform with the market (s. 7(g)). Microfinance institutions must regularly notify depositors and borrowers of the terms and conditions of deposits and loans, the interest rate and its mode of calculation, in the form and at the times set by the Supervisory Committee (s. 32).
Effective: being checked against the official text · Rules as of 30 November 2011 · Source: The Microfinance Business Law (Pyidaungsu Hluttaw Law No. 13/2011), English translation
How TS LMS handles it
Every charge on a product counts towards the rate check, each product carries a ceiling on the total cost of credit, and staff cannot set a charge above the product's.
- 03
Can loan contracts be signed electronically in Myanmar?
Loan documents; Electronic Transactions Law
What the rules require
How TS LMS handles it
Where loans are signed electronically, the agreement is stored unchanged and signed only after approval, and the signature record keeps who signed, when, the agreement's fingerprint and the device. Money is released by a second staff member who is not the approver, and not if the payout account differs from the one approved.
This page summarises published rules for general information; it is not legal advice. Rules change: check the current text with the authority before acting.