The Central Bank of Myanmar has announced in a statement that it is providing US$200 million in trade financing for fuel and cooking oil entrepreneurs through the AD licensed banks and has planned to provide more if necessary.

The statement pointed out that Myanmar receives daily cash flow from export earnings, to the companies running with foreign investments under the permission of Myanmar Investment Commission and to the CMP companies. So, exporters need to put their export earnings into the foreign currency market within 30 days after the earnings they receive or they shall face effective action. 

As the CBM tries to facilitate the foreign currency market, AD licensed banks and exporters need to cooperate under the arrangements of the central bank, the statement added. 

It also warned against some media reporting unnecessary price surges in the foreign exchange market contrary to the real exchange rates.

As per Section 3 (b) of the Foreign Currency Management Law, the CBM needs to announce foreign exchange reference rates daily, while the AD licensed banks are required to follow the instruction in buying and selling foreign currencies.

The CBM in its statement said that some media are reporting impossible and fluctuating foreign exchange rates by ignoring the actual prescribed rates in the market. It therefore warns that authorities concerned will take serious action against those media.