On December 9, the Central Bank of Myanmar sold $ 13 million in a foreign exchange auction, up from $ 28 million in two so far in December

by ECONOMY

On December 9, 2021, the Central Bank of Myanmar sold $ 13 million in a foreign exchange auction, and so far in December, it has sold $ 28 million in two so far, according to the Central Bank of Myanmar. From February to the end of November 2021, the Central Bank of Myanmar sold $ 325.8 million in foreign exchange auctions, the highest amount in October at $ 110 million, according to the Central Bank of Myanmar. The Central Bank of Myanmar sold $ 6.8 million worth of dollars in a foreign exchange auction in February 2021, but not in March. $ 12 million in April; $ 24 million in May; $ 12 million in June; $ 39 million in July; It sold 28 million units in August.

The Central Bank of Myanmar sold $ 15 million on September 13. $ 15 million on September 15; $ 20 million on September 20; $ 22 million on September 22; It sold $ 63 million on September 27 for $ 15 million. The Central Bank of Myanmar sold $ 30 million on November 1. It sold $ 31 million in November for $ 1 million on November 30. The Central Bank of Myanmar’s foreign exchange operations include short-term exchange rate fluctuations; Comparing the exchange rate of Myanmar kyat with one US dollar to the previous day reference exchange rate to reduce depreciation; By comparison, the percentage devaluation of the Myanmar kyat exceeds the stipulated level (opening a competitive auction for the sale of US dollars); Comparing the average Myanmar kyat to the US dollar exchange rate.

By comparison, the percentage increase in the value of the Myanmar kyat exceeds the stipulated level by opening a competitive auction to buy foreign currency (dollars); To buy the foreign currency offered by AD banks between the maximum and minimum exchange rates announced by the Central Bank in the competitive auction. Submissions for sale are purchased and sold by the central bank using the auction system of Refinitiv (formerly Thomson Reuters). For sale Opening; To buy the foreign currency offered by AD banks between the maximum and minimum exchange rates announced by the Central Bank in the competitive auction. Submissions for sale are purchased and sold by the central bank using the auction system of Refinitiv (formerly Thomson Reuters). For sale Opening; To buy the foreign currency offered by AD banks between the maximum and minimum exchange rates announced by the Central Bank in the competitive auction. Submissions for sale are purchased and sold by the central bank using the auction system of Refinitiv (formerly Thomson Reuters).

Source: Daily Eleven

CBM sells $15 mln on 3 December

by ECONOMY

The Central Bank of Myanmar (CBM) sold US$15 million on 3 December at an auction market rate of K1,780 per dollar, according to a statement from the CBM. Based on monthly sales of US dollars in 2021, the CBM sold $ 63 million in September, $28 million in August, $39 million in July, $12 million in June, $24 million in May, $12 million in April and $6.8 million in February. But, there was no sale in March. The CBM is conducting an auction for foreign exchange to reduce the fluctuation of foreign exchange rates in a short-term period and fulfilling the needs of foreign exchange reserves.

Rules and directives have been set out for the CBM’s auctions. Following these rules and directives, the CBM is trading the foreign currency with three State-owned banks, 19 local private banks and 13 foreign banks, which are holding authorized dealer-AD licences. The local foreign exchange market’s data in 2021, the highest and the lowest exchange rate is currently fixed around K1,327- 1,345 in January, K1,335- 1,465 in February, K1,420-1,550 in March, K1,550-1,610 in April and K1,585- 1,730 in May, K1,595- 1,620 in June, K1,626-1,670 in July, 1,660- 1,682 in August and K1,696-3,200 in September.

In 2020, the exchange rate moved in the range of K1,465- 1,493 in January, K1,436-1,465 in February, K1,320-1,445 in March, K1,395-1,440 in April, K1,406-1,426 in May, K1,385-1,412 in June, K1,367- 1,410 in July, K1,335-1,390 in August, K1,310-1,355 in September, K1,282-1,315 in October, K1,303-1,330 in November and K1,324-1,403 in December. In 2019, the rates are pegged at K1,508-1,517 in July, K1,510-1,526 in August, K1,527-1,565 in September, K1,528-1,537 in October, K1,510-1,524 in November and K1,485-1,513 in December. On 20 September 2018, the dollar exchange rate hit an alltime high of K1,650 in the local currency market.

Source: The Global New Light of Myanmar

Stock market continues downward trend in November

by ECONOMY

The value of shares traded on the Yangon Stock Exchange (YSX) touched a two-month low of K219 million, with 45,446 shares of the six listed companies traded on the equity market, the YSX’s monthly report indicated. In February 2021, K442 million worth of 77,388 shares were traded on the exchange. The figures extended further drops to K110 million worth of 19,816 shares in March 2021. Then, the market slightly raised in April with K280 million worth of 42,964 shares. The stocks maintained in the bull market in May with 78,642 shares worth of K432.448 million as well. In June, 79,296 shares worth of K430.285 million were traded on the exchange. Then, the volume of shares traded in equity market dipped into 36,855 shares in July 2021 and the trading value also slipped to K198 million.

It climbed up in August 2021 compared with those registered in the last two months, with over K300 million worth of 49,191 shares traded on the exchange. It set a record high in September, with over K825 million worth of 193,353 shares. However, the trading volume plunged into 99,837 shares with estimated value of K561 million in October, the YSX’s monthly report showed. Last month, the shares of six 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 equity market. The share prices per unit were closed at K8,500 for FMI, K3,150 for MTSH, K8,000 for MCB, K20,500 for FPB, K2,700 for TMH, K2,850 for EFR and K5,000 for AMATA respectively.

The stock markets worldwide have reported their largest declines since the 2008 financial crisis. Similarly, the local equities market was also scared by the COVID-19 crash in the previous months, a market observer points out. People like to keep emergency savings and purchase the safe heaven asset gold, rather than make investment amid the COVID-19 crisis and current political conditions. Unexpectedly, people turned to stock market when the prices of gold remarkably gained in September. However, the stock market started going down in October, he continued. Amid the COVID-19 crisis and political changes, Myanmar’s securities market has been able to continue operating without stopping trading. In 2020, the value of stocks traded on the exchange reached a peak of K1.48 billion in February, whereas trading on the exchange registered an all-time low of K552.9 million in November due to the COVID-19 resurgences in Myanmar, the exchange’s monthly report showed.

A total of K12.6 billion worth of 1.87 million shares by six listed companies were traded on the exchange in 2020, a significant drop compared to 2019. Over 2.4 million shares from five listed companies, valued K13.39 billion, were traded on the exchange in2019, according to the annual report released by the exchange. Next, the Securities and Exchange Commission of Myanmar (SECM) has allowed foreigners to invest in the local equity market from 20 March 2020. Furthermore, 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. 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 seminars. The stock exchange has also sought the government’s support to get more public companies to participate in the stock market and help more institutional investors, such as financing companies, investment banks, and insurance companies, to emerge.

Source: The Global New Light of Myanmar

UNDP survey reports show that the incomes of urban households and households running a business have declined since the political upheaval

by ECONOMY

According to a UNDP survey, the incomes of urban households and households running a business have declined since the political upheaval. The UNDP, which the UNDP calls a basic population needs survey, said it had interviewed 1,200 households. Nearly three-quarters of households in Myanmar have seen their incomes decline since February 1. 

The survey found that the number of households claiming lower incomes was higher among urban households and those running a business. The non-agricultural business sector was hit hard by the COVID-19 epidemic and the aftermath of February 1. According to a UNDP survey, 42.2 percent of respondents said they had lost revenue from these businesses. As a result of this loss of income, there is more food shortage in households. 

The survey found that within 10 months, the number of households on a diet was significantly higher. To cope with declining incomes, households need to reduce their consumption of non-food items. Withdrawing and using savings; According to the survey, he was involved in selling his property. Two-fifths of respondents who said their savings had been disbursed after February 1 said they had no money left. Of the two-fifths, 46.9 percent are in urban areas and 34.3 percent in rural areas, according to the UNDP.

Source: Daily Eleven

cbm

CBM sells US$31 million in November

by ECONOMY

The Central Bank of Myanmar (CBM) sold US$31 million at its FX auction rate in November to steer the local currency value, according to the auction result issued by the CBM on 30 November. The CBM sold the foreign currency to the prioritized sectors (palm oil, fuel oil and pharmaceuticals) at an auction rate through the authorized banks. The CBM sold the US dollars at the set rate to the banks with the authorized dealer licence where the companies screened by the National Trade Facilitation Committee opened an account. In October, the CBM sold a large amount of $110 million to the authorized dealers to stabilize the currency.

In September, the CBM sold 63 million dollars to the private banks to increase the local currency value. Last September-end, a dollar value reached the highest of over K3,000 in history. The exchange rate on the US dollar hit around K1,800 in the local forex market at present, as per money exchangers. In August, the CBM reportedly sold $28 million at its auction rate. Kyat is weakening in the local forex market. In a bid to control the dollar gain against Kyat, the CBM sold about 6.8 million dollars on 3 February 2021, $12 million in April, $24 million in May, $12 million in June and $39 million in July in the auction market, respectively.

The local forex market’s data showed that the dollar exchange rate touched the maximum of K1,345 and the minimum of K1,327 in January 2021. The rate moved in the range of K1,335-1,465 in February. It reached the lowest of K1,420 and the highest of K1,550 in March. The rate fluctuated between K1,550 and K1,610 in April. The rate fluctuated between K1,585 and K1,730 in May and it moved to the maximum of K1,595-1,620 in June. The rate stood at K1,626-1,670 in July. It hit the lowest of K1,660 and the highest of K1,682 in August. In September, the rate edged up to K3,200 and fell to K1,696.

Source: The Global New Light of Myanmar

cbm_2

US dollar against Kyat rises over K1,800 per dollar

by ECONOMY

The US dollar exchange rate against Myanmar Kyat has risen above K1,800 per dollar in the local currency market, it is learnt. The exchange rate on the US dollar dropped to K1,783 per dollar because the Central Bank of Myanmar (CBM) issued the instruction on 9 November that the foreign exchange transitions must be carried out within ± 0.5 per cent of the reference rate established by the CBM. On 27 November, the exchange rate for US currency has reached K1,802.

The dollar exchange rate against Myanmar Kyat stood at around K1,330 per dollar at the end-January. Then, the dollar’s value reached the highest of over K3,000 per dollar in history last September-end. The CBM has been selling the US dollar in the auction market to control the rise and fall of the exchange rate. The bank reportedly sold $30 million in November in the auction market. Likewise, the bank also sold $110 million in October, $63 million in September and $28 million in August.

Besides, the bank also sold $39 million in July, $12 million in June, $24 million in May, $12 million in April and $6.8 million in February at foreign currency auction system. In the first six months of 2021, the highest and lowest exchange rate is currently fixed around K1,327-1,345 in January, K1,335-1,465 in February, K1,420- 1,550 in March, K1,550-1,610 in April, K1,585-1,730 in May, K1,595-1,620 in June, K1,626-1,670 in July, K1,660-1,682 in August, K1,696-3,200 in September and K1,850-1,990 in October.

In 2020, the exchange rate moved in the range of K1,465- 1,493 in January, K1,436-1,465 in February, K1,320-1,445 in March, K1,395-1,440 in April, K1,406-1,426 in May, K1,385-1,412 in June, K1,367-1,410 in July, K1,335-1,390 in August, K1,310-1,355 in September, K1,282-1,315 in October, K1,303-1,330 in November and K1,324-1,403 in December. In the last six months in 2019, the rates were fixed at K1,508-1,517 in July, K1,510-1,526 in August, K1,527-1,565 in September, K1,528-1,537 in October, K1,510-1,524 in November and K1,485-1,513 in December. On 20 September 2018, the dollar exchange rate hit a record high of K1,650 in the local exchange market.

Source: The Global New Light of Myanmar

image_6483441 (51)

Republic of the Union of Myanmar

by ECONOMY

Central Bank of Myanmar
Notification No 46/2021

7th Waxing of Tazaungmon 1383 ME
10 November 2021

The Central Bank of Myanmar has amended paragraph 35 of the Foreign Exchange Management Regulations exercising the power stipulated in Section 49-A of the Foreign Exchange Management Law with the approval of the Government of the Republic of the Union of Myanmar as follows: –
“Paragraph – the holder of a foreign currency trading licence shall inspect whether the exporters receive export earnings within three months from the date of the shipment of the goods accordingly to the evidence of the actual exports.”

Than Nyein
Governor
Central Bank of Myanmar

Source: The Global New Light of Myanmar

Gold-market

Domestic gold price rises up to over K1.8 mln per tical

by ECONOMY

The price of domestic gold bar rose up to above K1.8 million per tical (approximately 16.33 grammes), according to Yangon Gold Entrepreneurs Association (YGEA). The price of domestic gold is high right now because of the depreciation of the Myanmar Kyat in the local foreign currency market. Currently, a US dollar exchange rate mounted up to the highest of around K1,980 per dollar in the local foreign market, while the domestic bar gold gained up to K1,820,000 per tical in the market.

On 28 September, the exchange rate on the US dollar hit an all-time high of over K3,000 in the domestic exchange market, while the price of a pure gold metal jumped accordingly to a record high of K2.22 million per tical (0.578 ounce, or 0.016 kilogramme), according to the Yangon Region Gold Entrepreneurs Association (YGEA). However, it gradually dropped to around K1,800 per dollar by the end of October and the local bar gold price also fell to K1,750,000 per tical. In January 2021, the gold price was ranged between the minimum of K1,316,000 per tical (28 January) and the maximum of K1,336,000 per tical (6 January). It reached an all-time high of K1,410,000 per tical on 3 February and hit the minimum of K1,340,000 per tical on 2 February.

In March, the rate fluctuated between the highest of K1,391,000 (25 March) and the lowest of K1,302,000 (4 March). The price was registered the highest of K1,455,000 (30 April) and the lowest of K1,389,000 (1 April). The price reached an all-time highest of K1,709,000 (12 May) and the lowest of K1,447,000 in May. The price moved in the maximum of K1,575,500 (11 June) and the minimum of K1,543,000 (19 June). It fluctuated between K1,562,300 (26 July) and K1,587,000 (9 July). The price of gold reached the lowest of K1,572,800 (3 August) and the highest of K1,698,000 (31 August). The price of pure gold metal hit a fresh peak of K2,220,000 per tical (28 September) and it was priced the lowest of K1,703,500 per tical (1 September).

Last month, the rate fluctuated between the highest of K2,030,000 (1 October) and the lowest of K1,750,000 (27 October), gold traders said. According to gold traders, the local gold reached the lowest level of K1,310,500 (2 September) and the highest level of K1,314,000 (1 September). In October, the rate ranged between K1,307,800 (30 October) and K1,316,500 (21 October). The rate fluctuated between the highest of K1,317,000 (9 November) and the lowest of K1,270,000 (30 November). In December, the pure yellow metal price moved in the range of 1,280,000 (1 December) and 1,332,000 (28 December). With global gold prices on the uptick, the domestic price hit fresh highs in 2019, reaching K1,000,000 per tical between 17 January and 21 February, crossing K1,100,000 (22 June to 5 August), climbing to over 1,200,000 (7 August-4 September), and then reaching a record high of K1,300,000 on 5 September 2019. 

Source: The Global New Light of Myanmar

Stock market goes down in October

by ECONOMY

The shares traded on the Yangon Stock Exchange (YSX) declined in October, with K561 million worth of 99,837 shares of the six listed companies, the YSX’s monthly report indicated. In February 2021, K442 million worth of 77,388 shares were traded on the exchange. The figures extended further drops to K110 million worth of 19,816 shares in March 2021. Then, the market slightly rose in April with K280 million worth of 42,964 shares. The stocks were maintained in the bull market in May with 78,642 shares worth K432.448 million as well. In June, 79,296 shares worth K430.285 million were traded on the exchange. Then, the volume of shares traded in the equity market plunged to 36,855 shares in July 2021 and the trading value also slipped to K198 million.

It climbed up in August 2021 compared with those registered in the last two months, with over K300 million worth of 49,191 shares traded on the exchange. It edged up to a recordhigh in September, with over K825 million worth of 193,353 shares, the YSX’s monthly report showed. Last month, the shares of six 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 K8,900 for FMI, K3,200 for MTSH, K7,800 for MCB, K19,500 for FPB, K2,700 for TMH, K2,950 for EFR and K5,000 for AMATA, respectively. The stock markets worldwide have reported their largest declines since the 2008 financial crisis.

Similarly, the local equities market was also scared by the COVID-19 crash in the previous months, a market observer points out. People like to keep emergency savings and purchase the safe-haven asset gold, rather than make investments amid the COVID- 19 crisis and current political conditions. Unexpectedly, people turned to the stock market when the prices of gold remarkably gained in September. However, the stock market went down in October, he continued. Amid the COVID-19 crisis and political changes, Myanmar’s securities market has been able to continue operating without stopping trading. In 2020, the value of stocks traded on the exchange reached a peak of K1.48 billion in February, whereas trading on the exchange registered an all-time low of K552.9 million in November due to the COVID-19 resurgences in Myanmar, the exchange’s monthly report showed.

A total of K12.6 billion worth of 1.87 million shares by six listed companies were traded on the exchange in 2020, a significant drop compared to 2019. Over 2.4 million shares from five listed companies, valued at K13.39 billion, were traded on the exchange in 2019, according to the annual report released by the exchange. Next, the Securities and Exchange Commission of Myanmar (SECM) has allowed foreigners to invest in the local equity market from 20 March 2020. Furthermore, YSX launched a pre-listing board (PLB) on 28 September 2020 to provide unlisted public companies with fund-raising opportunities and build a bridge toward listing on YSX, YSX stated. 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 seminars. The stock exchange has also sought the government’s support to get more public companies to participate in the stock market and help more institutional investors, such as financing companies, investment banks, and insurance companies, to emerge.

Source: The Global New Light of Myanmar

Myanmar Central Bank sells $294.8 mln in past eight months

by ECONOMY

The Central Bank of Myanmar (CBM) sold US$294.8 million at its FX auction rate to the authorized dealers in the past eight months (Feb-Sept) 2021, according to the auction results released by the CBM. Last month, the CBM reportedly sold $50 million on 18 October, 30 million each on 22 and 26 October in the auction market, totaling $110 million which is the largest amount sold in the past eight months. Consequently, the exchange rate dipped to below K2,000 in late October, according to the CBM. Last September-end, a dollar value reached the highest of over K3,000 in history. The CBM, therefore, sold $63 million to the banks in September 2021. In a bid to strengthen the local currency and govern the market volatility, the CBM reportedly sold about 6.8 million dollars on 3 February 2021, $12million in April, $24 million in May, $12 million in June, $39 million in July and $28 million in August in the auction market.

The CBM trades the foreign currency with the authorized private banks under the rules and regulations of the FX auction market. The currency intervention is required to steer the own currency value. It is one of the responsibilities of the CBM to control the price. This is why the CBM practised the foreign exchange intervention. The current political changes in Myanmar and the COVID-19 impacts affect the currency market. Some people want to hold the hard currency during the difficult times, a market observer shared his opinion. The local forex market’s data showed that the dollar exchange rate touched the maximum of K1,345 and the minimum of K1,327 in January 2021. The rate moved in the range of K1,335-K1,465 in February.

It reached the lowest of K1,420 and the highest of K1,550 in March. The rate fluctuated between K1,550 and K1,610 in April. The rate fluctuated between K1,585 and K1,730 in May and it moved in the maximum of K1,595-K1,620 last month. The local forex market’s data showed that the dollar exchange rate touched the maximum of K1,345 and the minimum of K1,327 in January 2021. The rate moved in the range of K1,335-K1,465 in February. It reached the lowest of K1,420 and the highest of K1,550 in March. The rate fluctuated between K1,550 and K1,610 in April. The rate fluctuated between K1,585 and K1,730 in May and it moved in the maximum of K1,595-K1,620 in June. The rate stood at K1,626-K1,670 in July. It hit the lowest of K1,660 and the highest of K1,682 in August. The rate edged up to K3,200 and fell to K1,696 in September. Last month, it stayed between K2,430 and K1,830.

Source: The Global New Light of Myanmar