The Thai currency, the Baht, saw sharp rise in value in the Myanmar-Thailand border city of Myawady while the Myanmar Kyat plummets, causing those that are trading with the Kyat to incur hundreds of thousands of losses. 

As of February 3, the Baht continues to climb after the military announced a State of Emergency in Myanmar two days prior. It has been attributed to the insecurity that citizens feel from political instability, driving people to mass purchase gold and dollar.

The Thai Baht had increased by around 11 cents in the past two days, a proportionate loss of 5 million Kyats to those holding 100 million in Kyats, according to Ko Aung, a currency exchange shop owner near the Friendship Bridge. 

"The amount of gold and dollar buying is high, causing the currency values to go up. Since the dollar goes up, the Thai Baht goes up and Myanmar Kyat depreciates. If the government can control it, it will remain stable. When there is movement in politics and in government body, people are afraid and mass buy gold and dollars, driving up the prices and in turn raising the Baht. In Myawady, both currencies are used to trade. In twodays, the Baht rose by 11 cents so those holding around 100 to 110 million in Kyats stand to lose around 5 million," said Ko Aung. 

In Myawady broder trade, 100 thousand Kyats is equivalent to 2310 Baht as of February 1. However, the prices changed to 2210 Baht, around 45.24 Kyats per Baht, on February 3. Such a situation means th at export trading fares better while importers are suffering losses. 

While it imposes no risk to those buy goods using the Baht, it will indeed come to effect the consumer market in border-trade cities like Myawady as those that trade primarily in Myanmar Kyat will suffer losses in every transaction of about 5,000 Kyats per 100 thousand or 1 Lakh in Kyat.