(Morning News) According to Myanmar media reports, the Myanmar Central Bank has ordered local companies and banks to suspend and re -arrange the repayment time for foreign loans to control foreign exchange flows.
According to Myanmar media "Myanmar? Now", the Central Bank of Myanmar issued this order on Wednesday (July 13).Reuters cannot independently verify this document spread on social media.
The Myanmar Central Bank stated: "According to the rules of foreign exchange law and foreign exchange management, foreign loans that should be paid to repay the original value and interest should be paid.
The Myanmar military seized the regime through a coup last year, causing ten years of political and economic reform stagnation; the plunge of the Myanmar Yuan (KYAT) to the US dollar caused fuel and food prices in this country to rise.In order to alleviate part of the pressure, the Myanmar Central Bank announced a series of orders for local companies to deposit and exchange foreign currencies on local banks within a working day, and instructed that ministries and local governments must not use foreign currencies for domestic transactions.
After the STD's exchange rate declined, the Myanmar Central Bank tried to linked the reference exchange rate of Myanmar's dollar with the US dollar last year.
The official exchange rate of the Myanmar central bank to Myanmar's dollar is set to the 1850 Myanmar dollar against 1 US dollars, but it is often far lower than the unofficial black market exchange rate.
