Burma Exchange RateMyanmar Exchange Rate
United Nations forfeits $10 million in assistance for exchange rate fraud in Burma
A high-ranking UN relief officer said she had sustained the "considerable" losses because the UN has imposed an exchange rate that was at least 15 percent below the actual rate. The UN has been claimed to have recognized the losses for months and to have agreed to them as a prize for "doing business" with the state.
Most of the loss was caused by the system, in which the UN uses $1 denominated exchange allowances, which are then converted into the Burmese junta's own domestic exchange, the Kyoto people. Yields for Kyoto are near 1,100 per US Dollars, but the UN exchange rate is now around 880.
Consequently, the Myanmaran government has made a sound return, even though the UN is providing immediate aid. In the Inner City Press newspaper, which first published the claims of loss, some humanists thought that letting General Than Shwe's administration make a win was a prize.
He also said that officers were conscious of the casualties since early June.
Myanmar GDP (official exchange rate)
It is the value of the goods and service provided within a given year in a given year. The OER is the yearly value of GNP in the home dollar divided by the US bi-lateral exchange rate with that year.
A lot of economists favour this approach when measuring the level of macroeconomic strength that an economics has vis-Ã -vis its neighbours, as an exchange rate measures the buying strength that a given nations has on the global notion. However, it is possible to set and/or manipulate formal exchange rate levels synthetically - resulting in receivables of the state with an undervalued or overvalued foreign exchange rate - and do not necessarily correspond to a prevailing exchange rate.
Even if the exchange rate is officially market-dominating, the exchange rate is often defined by a relatively small group of goods and service (the group that the economy trades) and cannot measure the value of the greater group of goods that the economy is producing. Moreover, OER-converted GNP is not a good way to compare national GNP over a period of timeframe, as an appreciation/depreciation from one year to the next will increase/decrease the value of OER GNP, regardless of whether the GNP in national currencies has fluctuated.