The Central Bank of Myanmar will allow foreign banks to operate in the country this year, local media reported Sunday.

Drafting of regulations to govern such operation is underway with the help of World Bank and International Monetary Fund (IMF).

Meanwhile, private banks have been granted to run money changers for official trading of three foreign currencies -- US dollar, Singapore dollar and euro with Myanmar Kyat at daily designated exchange rate.

Last year, Foreign Exchange Certificate (FEC) was abolished.

So far, over 20 foreign bank representative offices have been set up in Myanmar, mainly from Brunei, Bangladesh, Cambodia, China, India, Japan, Malaysia, Singapore, Thailand and Vietnam.

There are 19 private banks and three state-owned banks in Myanmar.

In the latest development, the United States authorized financial services with four Myanmar banks in February 2013.

The four Myanmar banks, to which the US Treasury Department issued a general license allowing access to American financial system, are State Economic Bank, Myanmar Investment and Commercial Bank, private-owned Asian Green Development Bank and Ayayawaddy Bank.