Shinhan Bank, South Korea's fourth-largest bank by assets, said Tuesday that it has set up a branch in Myanmar as part of its diversification strategy.

Shinhan Bank said it won final approval to start operations in Yangon, the former capital of Myanmar, from the local financial authorities last week.

It marked the first time for a South Korean lender to set up a branch in the Southeast Asian country. The latest opening of a branch has raised the number of its global financial network to 147 in 20 countries.

Shinhan Bank said its branch could help South Korean companies enter the Myanmar markets as it will offer them such services as money remittance in dollars and trade settlements, as well as loans in dollars. (Yonhap)