Burmese Currency Exchange RateThe Burmese Exchange Rate
Descriptive/Topic: "Since the removal of the formal pequeat and the launch of a fully management floating in April 2012, the Central Bank of Myanmar has been conducting two-way currency auctioning on a day-to-day basis to smooth exchange rate volatility. However, despite the reform of the currency regimes, non-formal currency dealing is still omnipresent.
This report uses the day-to-day exchange rate and the central bank's bidding database to examine the impact of auctioning on the price of the markets. Firstly, a value-added tax assessment shows that the formal course has not caused Granger to take the unofficial course. Secondly, the GARCH model shows that the sales did not diminish the limited variation of casual yields.
Overall, the effects of the auction on the exchange rate are minimal..." Descriptive/Topic:In the five years from 2006 to 2011, Myanmar Kyat's exchange rate increased by 200 per cent in real terms, which means that the value of the US dollars in Myanmar has dropped to a third of its former high.
Whereas the resources booming is believed to be a cause of exchange rate appreciations in reality, its intensification is linked to currency and imported control administrations. Firstly, exchange control prevents the exchange rate operations being replaced by banking mediation. Secondly, export control suppressed and exacerbated the oversupply of forex.
A loosening of bureaucratic control is necessary to moderate currency revaluation. Synopsis/Topic:January 08, 2003-"During Burma's period as a welfare state, currency legislation hindered people from owning any kind of currency. After 1988, when the army june permitted a number of business people to open currency deposits with two state banks: Myanma Investment and Commercial Bank (MICB) and Myanma Currency Bank (MFTB)....".
Descriptive/Topic: "The continuing decline of Burma's currency, the currency Khat, and the growing gulf between the value of the US dollars and the dollar-denominated foreign exchange certificate (FEC) have increased the potential for further riots in the military-run country....". Descriptive/Topic:In July, Burma's Khat fell to the US $280 from 185.
Then it dropped to 300 kyats. Source/Publisher: "The Irrawaddy", Vol. 5, No. 4-5, Description/Topic: Burma's currency has stabilised after bottoming out to an all-time low of around 395 kyats against the US Dollars in mid-August. Pressed since officials were given a salary rise of more than 500% in April, the Kiev rallied to around 385 Kiev per US Dollars by the end of August after briefly checking the 400 Kiev perUSD.