Pure gold price drops back to below K2 mln per tical

by ECONOMY

The prices of pure gold fell back to below K2 million per tical (0.578 ounce, or 0.016 kilogramme), according to the Yangon Region Gold Entrepreneurs Association (YGEA). At present, 24-carat gold is worth K1,989,000 per tical. The price dip happens to track the fall in global prices. The gold price stands at $1,865 per ounce in the worldwide market. When a 24-carat gold hit $1,950 per ounce in the third week of April, the domestic gold fetched K2,085,000 per tical.

Therefore, the global gold price saw price dips of $85 per ounce within two weeks. Consequently, the domestic gold price was down by K96,000 per tical. In a bid to stabilize the gold market, gold transactions had better made according to the reference foreign exchange rate of the Central Bank of Myanmar (K1,850 per USD), according to the CBM’s statement released on 3 April. YGEA called for an urgent meeting on 8 April. The meeting determined to carry out gold transactions depending on the CBM’s reference exchange rate.

However, it has not come into force yet, said U Myo Myint, chair of YGEA. Last 23 April, officials from the department concerned, YGEA and Mandalay Region Gold Entrepreneurs Association, discussed gold price stability at the meeting. Gold transactions on the CBM’s reference rate, at sight payment, and avoiding price manipulation were also discussed, according to YGEA. The current market condition impedes transactions based on the reference rate. Yet, it will be implemented later, U Myo Myint continued. The US dollar stands at K2,000 in the unofficial black market. Additionally, the domestic gold price is highly correlated with the global gold price, YGEA stated. During the end of September 2021, a dollar value hit an all-time high of over K3,000 in the gold exchanges and consequently, the pure gold reached a record high of K2.22 million per tical in history. 

Source: The Global New Light of Myanmar

Domestic oil price jumps to approximately K2,000 per litre on global cues

by ENERGY

Fuel oil prices inched higher, around K2,000 per litre in the domestic market on the devaluation of Kyat against the US dollar and a sharp increase in crude oil prices, the market data in the Yangon Region showed. According to a market observer, the rumours spreading in the domestic market, setting a sales limit at the retail stations, and panicked consumers’ buying are other problems of price hikes. The prices soared to nearly K2,000 for Octane 92, K2,025 for Octane 95, K2,320 for diesel and K2,350 for premium diesel on 2 May 2022.  On 1 January 2022, the prices stood at K1,390 for Octane 92, K1,440 for Octane 95, K1,375 for diesel and K1,385 for premium diesel.

According to the local fuel oil market, there is a large gap of K600-960 per litre within four months. The fuel oil price is highly correlated with the foreign exchange rate. The exchange rate is now pegged at around K2,000 at the unofficial exchanges. When a dollar was valued at only K1,330 in early February 2021, the fuel oil was estimated at K590 per litre for Octane 92, K610 for Octane 95, K590 for diesel and K605 for premium diesel then in the domestic retail market. Additionally, domestic oil prices are positively related to the global market. Oil prices jumped in the worldwide market as the Russia-Ukraine crisis escalated, with US$104.2 per barrel for WTI crude and $106.5 for Brent crude at present.

Additionally, the Central Bank of Myanmar has directly sold over $87 million to the fuel oil sector so far.
Myanmar has inventories of about 45 million gasoline and 70 million diesel. According to the Petroleum Products Regulatory Department under the Ministry of Electricity and Energy, there is no need to worry about a shortage of fuel oil. Myanmar imports oil from Singapore, Malaysia and the Republic of Korea. The rumour raised the concerns of the consumers and resulted in panic buying. Consequently, the Petroleum Products Regulatory Department stated that the retail stations were out of hand. Usually, Myanmar yearly imports six million tonnes of fuel oil from external market, the Ministry of Commerce stated. 

Source: The Global New Light of Myanmar

54 cargo ships to arrive at Yangon Port in May

by LOGISTICS

According to Myanmar Port Authority, the shipping lines are increasing their services to facilitate exports and imports, and 54 cargo ships carrying many containers are to enter Yangon Port in May. A total of container ships from 12 shipping lines will arrive at Yangon Port.

The turnaround time at the Port was designated as approximately three days, under the guidance of the Myanmar Port Authority and the cooperation of the ocean liners, exporters and importers. Therefore, the arrival of the ships has increased again.

Myanmar Port Authority and Yangon inner terminals provide services to ensure the fast and reliable cargo handling and withdrawal of the containers for trade flow to return to normalcy. A total of 54 ships – 13 cargo ships run by Sealand Maersk Asia, seven by SITC Line, five each by New Golden Sea (COSCO) and Samudra Line, four by I.A.L Line, three each by C.S.L, Ever Green Line, Golden Star Line, MFSL Line, P.I.L Line and R.C.L Line and two by Land and Sea Line – will enter Yangon Port this month.

Source: The Global New Light of Myanmar

Stock trading slightly rises in April 2022

by ECONOMY

THE equity market sees a slight increase in trading in April as against that recorded in March 2022, the Yangon Stock Exchange’s monthly price data indicated. A total of 61,435 shares valued at US$282 million by seven listed companies were traded on the exchange in January 2022, and the trading volume rose to 80,291 shares in February, with an estimated value of K414.9 million. A total of 52,408 shares with an
estimated value of K233.634 million were traded on the exchange in March 2022. Last month, the trading value slightly rose to K276 million, with 53,059 shares traded on the exchange, according to the monthly report of the YSX. At present, shares of seven listed companies — First Myanmar Investment (FMI), Myanmar Thilawa SEZ Holdings (MTSH), Myanmar Citizens Bank (MCB), First Private Bank (FPB), TMH Telecom Public Co. Ltd (TMH), the Ever Flow River Group Public Co., Ltd (EFR) and Amata Holding Public Co., Ltd. (AMATA) were traded in the equity market.

The share prices per unit were closed at K7,600 for FMI, K2,600 for MTSH, K7,700 for MCB, K18,000 for FPB, and K2,600 for TMH K2,600 for EFR and K4,900 for AMATA respectively in April. Regardless of the collapse of the stock markets worldwide, the local equities market has continued operating without stopping trading. Additionally, YSX launched pre-listing board (PLB) on 28 September 2020 in order to provide unlisted public companies with fund-raising opportunities and build a bridge toward listing on YSX. This month, YSX is planning to hold a free webinar regarding the legal aspects of SECM and the registration criteria of PLB. Next, the Securities and Exchange Commission of Myanmar (SECM) has allowed foreigners to invest in the local equity market since 20 March 2020.

Only K4.63 billion valued in 887,969 shares by seven listed companies were traded on the exchange in 2021, showing a significant drop of 63 per cent as against 2020, according to the annual report released by the exchange. In 2020, K12.6 billion worth of 1.87 million shares by six listed companies were traded on YSX. In contrast, over 2.4 million shares from five listed companies, valued at K13.39 billion, were traded on the exchange in 2019. The YSX was launched four years ago to improve the private business sector. It disseminates rules and regulations regarding the stock exchange and knowledge of share trading through stock investment webinars and training courses.Those enthusiastic can also join the YSX Telegram channel to easily access daily stock market updates, event info, market research and investor learning tips.

Source: Global New Light of Myanmar

Thailand’s PTTEP and Malaysia’s Petronas to withdraw from Yedagun gas project

by ENERGY

Thailand’s PTTEP Oil and Gas and Malaysia’s Petronas announced on April 29 that they would withdraw from Myanmar’s Yedagun gas project. International energy companies, including Chevron and Total Energies, have left Burma en masse after a military coup in Burma last year. Carigali, a subsidiary of Petronas, has a 41 per cent stake in the Yedagun project, with PTTEP holding a 19.31 percent stake.

“The resignation is part of the company’s investment management plan, which will focus on projects that support the country’s energy security,” PTTEP chief executive Montrey Wanchaiku said in a statement on April 29.  Located in the Gulf of Martaban, the 24,130-square-kilometer project produces natural gas and liquefied natural gas.

As a result, only Nippon Oil and Gas Exploration Company of Japan and the Myanmar Oil and Gas Company, which is affiliated with the Burmese Army, remain in the project.

Source: Daily Eleven

177 companies’ licenses cancelled as they fail to deposit export earnings into local accounts

by ECONOMY

A total of 177 export/import companies got their licences revoked as they failed to deposit the foreign currency earned from exports in the local bank accounts. Legal action has been taken against them for non-compliance with the law, according to a statement released by the Commerce Ministry on 27 April 2022.

Under the Foreign Exchange Management Law, all export earnings in foreign currency must be deposited back into the local account within three months after the goods are loaded.

Licences of 177 companies were cancelled as they did not abide by the notifications issued by the Central Bank of Myanmar, including 16 export companies in 2016, 72 in 2017 and 93 in 2018. According to the notification, the export companies will get their licence revoked and face actions under the existing laws if they fail to comply with them.

Source: The Global New Light of Myanmar

RMB accounts can be opened at CB Bank for Myanmar-China border traders

by ECONOMY

CB Bank announced on April 27 that it could open yuan accounts at CB Bank for Myanmar-China border traders. Foreign Currency (Chinese Yuan) Account Company can be opened at CB Bank for business owners. With the Chin Border Trade service, you can send money directly to Yuan through any account in China and transfer money directly from China to your CB Bank Myanmar Kyats account. Company Account-CNH Account will be opened only with Muse Branch ID.

CNH Account can be opened at Muse Branch by check By withdrawing the book and at other CB Bank open branches. You can get a check book at UFC Branch in Yangon, 19th Street Branch in Mandalay and Ottara Thiri Branch in Nay Pyi Taw. The exchange rate will not be fixed on the yuan / kyat market in Muse every day (bank opening day) and Chinese banks will be asked for the yuan / kyat three times a day to avoid any harm to Myanmar businesses.

CB Bank’s yuan / kyat exchange rate will be set against the market price. You can contact CB Bank Contact Center (+951) 2317770 to open a Foreign Currency (Chinese Yuan) account at CB Bank. Company for customers who open Yuan Account Certificate Company Extract, Application Letter BOD Resolution & Authorized Authorized Person List of (officers with Extract); Export & amp; Import License and IDCard Copy of Authorized Persons are required.

Source: Daily Eleven

ccdc9739c83f032bb1c664f00a4afaf7_M

Palm oil reference rate set at K5,620 per viss in Yangon until 1 May: CAD

by TRADING

The reference price of palm oil is set at K5,620 per viss (a viss equals 1.6 kilogrammes) on 1 May, and the Department of Consumer Affairs is controlling the market to ensure price stability. The Supervisory Committee on edible oil import and distribution under the Ministry of Commerce has been issuing a weekly reference rate to govern the market in line with the changes in international rates. The MoC
announced on 25 April 2022 that the reference rate for a week from 25 April to 1 May is set at K5,620 per viss. “The Consumer Affairs Department carried out supervision of palm oil market. We issue the reference rate on a weekly basis through the state-run newspapers. The department set the gross profit not to exceed more than 2 per cent of the reference rate in Yangon. We govern this condition.

The traders might add transportation and labour charges for other regions and states. We are endeavouring to ensure the price stability,” said an official of the department. The price of palm oil rocketed up to over K7,000 per viss in the domestic market, tracking Indonesia’s palm oil export policy. Ministry of Commerce is striving for the consumers not to worry over the supply of edible Palm oil reference rate set at K5,620 per viss in Yangon until 1 May: CAD oil. The ministry is also trying to secure the edible oil sufficiency, supervise the market to offer a reasonable price to the consumers, maintain the price stability and prevent market manipulation.

MoC stated that if those retailers and wholesalers are found overcharging, storing inventory intentionally and attempting unscrupulous action to manipulate the market, they will face legal action under the Special Goods Tax Law. There are 31,090.98 tonnes of palm oil (19.03 million visses) remaining in the palm oil tanks. There is a sufficiency in the domestic market. The department is ensuring the daily distribution of palm oil to other regions and states. The shipments of palm oil from foreign countries are regularly seen, MoC stated. The domestic consumption of edible oil is estimated at one million tonne per year. The local cooking oil production is just about 400,000 tonnes. About 700,000 tonnes of cooking oil are yearly imported through Malaysia and Indonesia to meet the oil sufficiency in the domestic market.

Source: The Global New Light of Myanmar

Press Release

by ECONOMY

Under the Foreign Exchange Management Law, Foreign Exchange Management Regulations and Notification No 46/2021 dated 10-11-2021 of the Central Bank of Myanmar, the holder of a foreign currency trading licence shall inspect whether exporters receive export earnings within three months from the date of the shipment of the goods accordingly to the evidence of the actual exports. The exporters must deposit their export earnings into their banking accounts within three months from the date of the shipment of goods without fail under that law and regulations. However, it was found that exporters failed to follow the law mentioned above, rules and regulations. Therefore, exporters must deposit all their export earnings into their banking accounts within three months from the date of the shipment of goods without fail under the provisions of the Foreign Exchange Management Law and Foreign Exchange Management Regulations. If they fail to do so, action will be taken against them under Section 42(a) of the Foreign Exchange Management Law.

Central Bank of Myanmar
(27.4.2022)

myanmar apex bank_0

Depositors at Myanmar Apex Bank Limited can enjoy reliable banking services on a regular basis without any worry, CBM announces

by SERVICES

The Central Bank of Myanmar closely monitors the financial convenience and cash deposit and withdrawal of the Myanmar Apex Bank Limited and provides liquidity support if necessary. Therefore, the CBM issued a statement saying that depositors at the Myanmar Apex Bank Limited could access banking services regularly without any worries yesterday.

Since the Anti-Corruption Commission (ACC) prosecutes the Chairman and Chief Executive Officer of the Myanmar Apex Bank Limited under Section 55/63 of the Anti-Corruption Law, the Bank has announced that the above persons have terminated their duties and proposed the re-appointment of the Chairman and Chief Executive Officer of the Bank.

The statement said that the Central Bank of Myanmar approved the appointments on 27 April 2022 in accordance with the provisions of the Central Bank of Myanmar Law and the Financial Institutions Law. The Central Bank of Myanmar is making efforts to stabilise the financial system and strengthen the efficient payment and clearing systems.

Therefore, the Central Bank of Myanmar is monitoring Myanmar Apex Bank Limited. It is reported that the financial condition of the Myanmar Apex Bank Limited is stable, and the bank is following the instructions of the Central Bank of Myanmar. Therefore, the central bank has issued a statement saying that those who have savings in Myanmar Apex Bank Limited and people working with the bank do not have to worry.

Source: The Global New Light of Myanmar