Dollar worth over K2,000 at exchanges
despite CBM reference rate at K1,778

The majority of the exchanges are found trading a dollar at unofficial rates of over K2,000 although the Central Bank of Myanmar set the reference exchange rate at K1,778, according to local forex traders. To strengthen the Kyat value in the local forex market, the CBM set the exchange rate margin within 0.5 per cent of the reference rate for the transaction, selling or buying, according to a notification issued by the CBM on 9 November. Consequently, financial institutions, including the banks and informal money exchanges, set a dollar value at K1,781 for buying and K1,786 for selling.

Nevertheless, the dollar was traded only between K2,030 and K2,040 on 21 March in the informal financial market. The CBM sold US$95 million at its auction market within three months for edible oil, fuel oil and pharmaceutical sectors, to govern the market volatility. A total of $443.8 million were sold at an auction rate in 2021 as well. Last 28 September 2021, a dollar value hit an all-time high of over K3,000 in the black market and consequently, the pure gold reached a record high of K2.22 million per tical in history.

Under the guidance of the Central Committee on Ensuring Smooth Flow of Trade and Goods, the Monitoring and Steering Committee on Gold and Currency Market was formed on 17 December 2021 as gold and currency market stability play a crucial role in trade facilitation. The objectives of the committee are inspecting and prosecuting market manipulation, checking if there is compliance to payment rules or not in the domestic market, proceeding against those unscrupulous traders who intend to interfere with the free and fair operation in the market under the existing laws, bylaws and regulations in line with the official directives, illegal procurement of foreign currency, illegal trade and taking legal actions against price manipulators. Furthermore, the officials concerned will crack down on those people involved in charging a percentage for money withdrawals at banks as shadow money.

Source: The Global New Light of Myanmar

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Foodpanda apologizes for system error, controversial rider fees restored

The online food delivery platform Foodpanda apologized for a system error that occurred between 7:00 am and 7:30 am on 16 March, resulting in a miscalculation of rider fees and causing controversy. The rider fees were restored to the normal rates, according to the Foodpanda statement dated 19 March. This error reflects a K200 fee during the 30-minute glitch, while a rider normally earns between K550 and K750 for a one kilometre delivery distance. The foodpanda has assured that any deduction as a result of this incident will be corrected and reimbursed and apologized for any inconvenience in the recent days.

Foodpanda responded to the controversial issue. Some riders have recently raised concerns about their pay, rising fuel cost pressure, and a few other issues. As independent freelancers, the riders earn an income based on a fair and transparent fee structure that comprises variables such as the number of shifts they take, the distance they have to deliver, and their performance levels over time. The majority of the riders receive K300,000 on average in delivery pay per month while some top riders could earn up to K600,000 per month.

The base delivery payment has been adjusted downwards over the past months in line with the current market rate. Having heard rider feedback and complaints, Foodpanda is looking at urgent ways to supplement or increase rider pay as much as possible. But service disruptions ultimately hurt the business and rider income. The riders are experiencing financial hardships due to the increase in commodity prices. In line with foodpanda’s goal towards uplifting the community, they are working on increasing the delivery pay as soon as possible for a certain period to help alleviate the current plight of Foodpanda riders.

City managers in the respective cities will soon be notified of this increase. Additionally, they have immediately secured extra funding to roll out fuel price subsidies. It will be notified later, as per the statement. In the last two years, amidst a challenging environment, foodpanda remains strongly committed to the Myanmar community so that restaurants can continue to use the platform to keep their businesses running, riders continue to have income and customers can rely on food delivered to them safely. 

Source: The Global New Light of Myanmar

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Myanmar-China negotiate to increase the number of export vehicles and to be exported systematically

The coordination meeting of the Myanmar-China Commodity Reversal Working Committee was held at 9:30 am on March 22 to increase the number of vehicles carrying goods through the Kanpokti border gate in Kachin State and to systematically export vehicles.

At the meeting, Chairman of the Working Committee U Myo Swe, State Minister for Economy, urged the members of the State Committee and Working Committee to monitor and control the export of goods to China, despite the resumption of border trade due to efforts to normalize the flow of goods along the Myanmar-China border.

Then, the Vice-Chairman of the Working Committee, the Minister for Ethnic Affairs U Kyaw Min Khaing and state level officials, border trade post officials, State Freight Forwarders Association and Crop Producers’ Association officials spoke about the recent export situation. The Kovis-19 test is being carried out for the goods, including the driver and the driver of the truck, as agreed between the two countries. They also discussed the need to coordinate the timely export of agricultural products, including bananas, and to increase the number of vehicles, and the measures to control the loading and unloading of vehicles in a systematic manner.

Source: Daily Eleven