YANGON: The first foreign bank to operate in Myanmar for decades officially opened the doors of its Yangon branch on Wednesday, the latest government bid to attract foreign investment in the emergent nation.

Central Bank governor Kyaw Kyaw Maung described the opening of Japan’s Bank of Tokyo-Mitsubishi UFJ (BTMU) as a “new milestone,” adding he hoped that it would strengthen the economy through increased investment and business financing.

BTMU said the Yangon branch would provide “full banking services, including deposits, loans, and foreign exchange, to foreign companies and domestic banks operating in Myanmar.”

Japan’s largest bank, along with Sumitomo Mitsui Banking Corporation (SMBC) of Japan and Singapore’s Oversea-Chinese Banking Corporation (OCBC), were earlier this month given approval to begin operations.

OCBC, which is due to open its branch Thursday, said earlier this month it had already seen a “significant increase in queries from both new and existing customers keen to tap on the immense growth opportunities in Myanmar.”

OCBC operated in Myanmar for four decades until 1963.

Local people remain deeply suspicious of the banking system and many deal only in cash.