Government to expand microcredit program

Government to expand microcredit program

By Su Hlaing Tun   |   Monday, 15 July 2013

Minister for Cooperatives U Kyaw Hsan has announced plans to expand a government's microfinance program, while also calling for more international support for cooperative endeavours in Myanmar.

The statements were made as part of a ceremony to mark International Cooperative Day. Minister U Kyaw Hsan said low-interest microloans will be made available to more than 60,000 villages by the end of 2015, with anywhere

from K600 billion to K3 trillion (US$615 million to $3.08 billion) to be disbursed.

"We already know people can't overcome their everyday struggles through microfinance alone. But we can help them [create businesses based on] mechanised farming production, trading, livestock and other services through microfinance loans," U Kyaw Hsan said.

The microloans program is aimed at relieving the public's short-term financial problems with the aim of eventually creating sustainable development.

On the cooperatives sector, U Kyaw Hsan said the main hindrances to growth are interference from the authorities; mismanagement of cooperative associations; and weaknesses among members, executives and workers.

"In foreign countries, cooperative associations are leading their sectors but we haven't achieved success. I would like to call on the International Cooperative Federation, the United Nations and its subordinates, and other international cooperative associations to give us assistance and be more involved in our cooperative operations," U Kyaw Hsan said.

Translated by Zar Zar Soe

Source: http://www.news.myanmaronlinecentre.com/2013/07/16/government-to-expand-microcredit-program/