Sberbank launches direct business settlements with Myanmar
The bank's press service explained that Sberbank’s Indian branch will serve as a key element of the new arrangement
MOSCOW, October 7. /TASS/. Sberbank has launched a direct settlement mechanism for businesses dealing with Myanmar that will reduce costs for exporters and eliminate dependence on chains of intermediaries in third countries, the bank’s press service said.
"Sber and the Ministry of Planning and Finance of Myanmar have signed an agreement formalizing cooperation in direct settlements, the development of digital financial technologies, and the exchange of regulatory expertise," the statement said.
The press service explained that Sberbank’s Indian branch will serve as a key element of the new arrangement. The solution provides access to payments in Indian rupees and connects Myanmar companies with markets in Russia, India, Belarus, and other CIS countries. For foreign trade participants, the launch of the mechanism means transaction processing times will be reduced severalfold, while currency risks will be significantly lowered.
Sberbank’s infrastructure is expected to handle settlements for energy supplies, air navigation services, as well as exports and imports of agricultural products, fertilizers, and engineering products. The bank stressed that the new initiative is focused on moving from fragmented transactions to comprehensive servicing of financial flows between the countries.