Myanmar Dollar Exchange RateBurma Dollar Exchange Rate
The central bank increases the exchange rate to cover the current exchange rate.
Myanmar's central bank raised its exchange rate for the US dollar-cyat exchange rate sharply last weekend, almost making up for the exchange rate. Since February, the central bank had kept its exchange rate at K1027 per US dollar, although the exchange rate invoiced by most moneylenders and, to an increasing extent, even by business bankers had risen to K1090.
Spreads between formal and quoted prices provided the opportunity for arbitrary prices and posed difficulties for the consumer, as some aimed at changing currencies and told the Myanmar Times that they had been rejected by bankers or were offering non-market-quotes. Ypsomed's central bank's interest rate against the dollar is calculated on the basis of its own auction and authorized local merchant bank.
There are few opportunities for domestic bankers to raise currencies, often depending on the central bank's day-to-day auction. The central bank raised the benchmark interest rate to K1065 within 1.5% of the K1080 rate of interest on the markets only. At K1027, the interest rate was up to 5 pcs. high.
Myanmar's central bank had recently sold US dollar at a low rate, but now the prices are going up, said U Mya Than, chairman of Myanmar Oriental Bank. "CBM's buying dollar prices are no longer so different from other banks," he said. Mya Than also said that the dollar's strengthening against Kyoto is not necessarily a mirror image of Kyat's weak position, but that the currencies of most parts of the globe are becoming weaker against the dollar.
Whilst bankers often rely on the central bank for their dollar, currency exchangers say they turn to other wells. A PHK exchange agent in Pabedan has said that his operation does not include bank. Rather, the company just purchases and sales bucks from clients. Mr. Barnes added that it can be costly to buy and buy through bank.
Ocean Crown Service CEO Daw May Oo Khaing said that most listed companies do not depend on the central bank or retail bank, but generally turn to the state-owned Myanmar Investment and Commercial Bank. Exportsers have also generally embraced the weakness of Kyoto, while imports have difficulties with more costly goods, she said.
May Daw Oo Khaing also said that the countrys not yet able to combat the dollar global markets, so whether the exchange rate is higher or lower, it has no major impact on exports and imports. However, the dollar exchange rate is higher or lower. Business people say they want more exchangeability.
Fishery CMP Company CEO Daw Toe Nandar Tin said he wanted the exchange rate to stabilize around K1000 to one dollar. If the value of Kyoto decreases, the use of resources becomes more costly. Whilst the discrepancy between the exchange rate at the central bank and that at other commercial banking institutions is not a problem, companies want more stable - and less costly - import.
"If the exchange rate is $1 to more than K1100, it's not pleasant for us," she said.