Posts in category: ECONOMY

The values of shares traded on the Yangon Stock Exchange (YSX) 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, the YSX’s monthly report showed. 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. Under Section 4 of the Trading Business Regulations, the stock trading was closed from 16 to 20 August 2021 as the long public holidays for COVID-19 prevention, control and treatment activities. The market resumed on 23 August 2021 as usual. 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, K20,500 for FPB, K2,700 for TMH, K3,100 for EFR and K4,800 for AMATA respectively. The stock markets worldwide have reported their largest declines since the 2008 financial crisis. Similarly, the local equities market is also scared by the COVID-19 crash, a market observer points out. At present, people are keeping emergency savings, rather than investing in the COVID-19 crisis and current political development, he added. Amid the COVID-19 crisis and political changes, Myanmar’s securities market has been able to continue operating without stopping trading. Additionally, the stock market also rose in August.

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. Further more, 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

The global dollar index hit around 92 points on September 7 and the foreign exchange rate in the domestic market was around 1,900 kyats per dollar, according to foreign currency traders. At local foreign exchange counters, the price is around US $ 1,725, but in the real world market it is around US $ 1,880 to US $ 1,900. The global dollar index, the highest in six months, hit 91.59 points in February. 90.93 points in March; 90.93 points in April; 91.92 points in May; 90.92 points in June; In July, it was around 91.92 points.

In January 2021, the lowest and highest monthly exchange rates in the domestic market were 1333-1355 kyats. In February, it was 1340-1475 kyats. The lowest and highest monthly foreign exchange rates in the domestic market were 1297-1340 kyats in October 2020; In November 1306-1327 kyats; In December 1326-1405 kyats; In January 2021, it was 1333-1355 kyats. In February, it was 1340-1475 kyats. On September 7, 2021, the exchange rates of other foreign currencies in the domestic market were Euro 1990 kyats; S $ 1,300; Malaysian Ringgit 398 Kyats Thai Baht 55.

On August 12, 2021, the Central Bank of Myanmar sold another 2.5 million dollars at a foreign exchange auction, with the average exchange rate for the auction being 1,650 kyats per dollar, according to the Central Bank of Myanmar. In August, $ 3 million was auctioned off in a foreign exchange auction. $ 3 million on August 3; $ 4 million on August 4; $ 9.5 million on August 9; It sold for $ 2.5 million on August 12. Exchange rate fluctuations happen in the short term.

The central bank is launching a foreign exchange auction to reduce inflation and increase foreign reserves. The central bank aims to increase its exchange rate volatility in the short term. A rule-based foreign exchange auction is underway to reduce inflation and implement the state’s two-pronged foreign exchange reserve. The rules for Central Bank Bidding Instructions have been set out and in accordance with these rules and regulations buying and selling process are carried out by Authorized Dealer (AD) Banks, which are foreign currency trading bidders participating in the foreign currency auction, 19 local private banks and 13 foreign bank branches.

Source: Daily Eleven

The price of pure gold metal reached an all-time high of K1,800,000 per tical (0.578 ounces, or 0.016 kilogrammes), according to Yangon Region Gold Entrepreneurs Association (YGEA). The spikes in the gold market are attributed to political development, high demand in the domestic gold market, shortage of raw gold metals, the price gain in the international market and the Kyat depreciation. The global gold price stood at only US$1,816 per ounce at the present time, while the US dollar exchange rate is worth above K1,800. On 12 May, the gold hit a peak of K1,709,000 per tical and the current rate hit the highest in history. As a result of this, YGEA urged its members to regulate trade in order to deal with market volatility.

To regulate unsustainable rally in the domestic gold market, the association called for the members to make the gold transaction with only immediate payment, avoid the verbal transactions over calls and halt trading outside the Yangon region, according to YGEA. 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). Last month, it fluctuated between K1,562,300 (26 Jul) and K1,587,000 (K1,587,000), the 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 priced 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

The exchange rate stood at its highest point of K1,800 per US dollar in the foreign exchange market. Although the dollar exchange rate hit only K1,708 per dollar on 3 September as stated by the Central Bank of Myanmar (CBM), the outside exchange rate is set at K1,800 per dollar. Thus, the local forex market rate is K100 higher than the rate set by the CBM. The CBM sold US$ 28 million in seven times at its auction rate in August to stabilize the US dollar exchange rate. In July, the central bank reportedly sold $39 million at an auction rate. Besides, the bank sold $12 million at an auction rate as well.

The CBM is conducting an auction for foreign exchange to reduce the fluctuation of foreign exchange rates in a short-term period. The dollar exchange rate against Myanmar Kyat stood at around K1,330 per dollar at the end-January. Then, the rate jumped to around K1,800 per dollar on 4 September with a rise of over K400 in over seven months. In the first eight 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 and K1660-1682 in August.

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 all-time high of K1,650 in the local currency market.

Source: The Global New Light of Myanmar

Notification No 33/2021
12th Waning of Wagaung 1383 ME
3 September 2021

1. The Central Bank of Myanmar exercises the authority in sub-section (a) of Section 49 of the Foreign Exchange Management Law to issue this notification.
2. According to Section 38-b, Section 42-a of the Foreign Exchange Management Law and paragraph 35 of the Foreign Exchange Management Regulation, exporters shall not fail to deposit all their export incomes in foreign exchange, during the stipulated period, in their bank accounts in the State.
3. Exporters must sell their remaining export incomes in foreign exchange of their bank accounts to the authorized bank-AD licences within four months of the transfers without fail.
4. This notification shall come into effect from the date of issue.
   

Than Nyein
Governor

Source: The Global New Light of Myanmar

The global dollar price index was around 92 points on September 2, and on September 2, the exchange rate in the local market was around 1,703 kyats per dollar, according to foreign currency traders. In the domestic market, the exchange rate has risen sharply since June 2018, breaking the record of 1,438 kyats per dollar on December 16, 2016 to 1,440 kyats on July 30, 2018, to a record high of 1,670 kyats on August 16 and 1,650 kyats on September 20.

Then, on January 1, 2019, it was 1540 kyats. On February 28, it dropped to 1,503 kyat. It was around 1514 kyats on August 26 and rose to 1565 kyats on September 6. It has fallen below 1,400 kyats since March 5, 2020. In July 1367 kyats; In August 1342 kyats; In September 1324 kyats; In October, it dropped to 1297 kyats.The lowest and highest monthly foreign exchange rates in the domestic market were 1320-1445 kyats in March 2020; In April 1395-1440 kyats; in May 1406-1426 kyats.

In June, 1412-1385 kyats; In July 1367-1413 kyats; In August 1342-1392 kyats; 1324-1362 kyats in September; 1297-1340 kyats in October; 1306-1327 kyats in November; 1326-1405 kyats in December; In January 2021, it was 1333-1355 kyats. In February, it was 1340-1475 kyats. On September 2, 2021, the exchange rates of other foreign currencies in the domestic market were 1950 kyats to 1950 kyats. S $ 1,260; Malaysian ringgit 387 kyats Thai baht 53 kyats. Short-term rise in foreign exchange rates; The Central Bank of Myanmar (CBM) is launching a foreign exchange auction to reduce inflation and increase foreign reserves.

Source: The Global New Light of Myanmar

The price of domestic gold bar gained up to 1,708,000 kyats per tical (roughly 16.33 grammes), according to Yangon Gold Entrepreneurs Association (YGEA). The price of domestic gold is high right now due to a shortage of raw precious metals and the rising global gold prices. Additionally, Kyat is depreciating in the local forex market, which is another cause of price gain in the domestic gold market. Currently, the global gold prices stood at US$1,814 per ounce, while a US dollar exchange rate scaled up to the peak of around K1,800 in the local foreign market. On 12 May, domestic gold hit an all-time high of K1,709,000 per tical in history.

Thus, YGEA urges its members to regulate trade to be able to stabilize the domestic gold prices. Besides, the shops are urged to sell only small pieces of gold bar. The association is also monitoring to stop accepting orders without raw gold material and to stop distance trading. 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 has 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). The rate hit the lowest level of K 1,562,300 (26 July) and the highest level of K 1,587,000 (9 July). Last month, it fluctuated between K1,572,800 (3 August) and K1,698,000 (31 August), the 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 priced 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

Yangon Region Gold Entrepreneurs Association (YGEA) urged its members to regulate trade in order to deal with market volatility. Last 28 August, YGEA made five decisions, including the strategic trade control, at the monthly meeting. At present, along with the Kyat depreciation and the gold price gain in the international market, the precious pure gold metal stands at K1,688,000 per tical (0.578 ounce, or 0.016 kilogramme). The global gold price stood at only US$1,815 per ounce at present, while the US dollar exchange rate is worth above K1,700. Despite the domestic gold price staying in the upward trend, the market is pretty sluggish, according to the YGEA.

Earlier, about 50 viss (a viss equals 1.6 kg) were daily traded. At present, the market sees sales of only 5-10 viss. On 12 May, the gold hit an all-time high of K1,709,000 per tical in history. 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). Last month, it fluctuated between K1,562,300 (26 Jul) and K1,587,000 (K1,587,000), the 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 priced 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

The price of precious yellow metal touched a high of K1,660,500 per tical (0.578 ounces, or 0.016 kilogrammes) in the domestic market following the gain in the international gold market, according to Yangon Region Gold Entrepreneurs Association (YGEA). The global gold price stood at only US$1,740 per ounce in the previous days and dramatically rose to $1,804 per ounce on 24 August. Additionally, Kyat is depreciating in the local forex market, which is another cause of price gain in the domestic gold market. The US dollar exchange rate is worth above K1,700. Despite the domestic gold staying in the upward trend, the market is pretty sluggish, according to YGEA. Earlier, about 50 viss (a viss equals 1.6kg) were daily traded.

At present, the market sees sales of only 5-10 visses. On 12 May, the gold hit an all-time high of K1,709,000 per tical in history. 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 has registered the highest of K1,455,000 (30 April) and the lowest of K1,389,000 (1 April). The price reached an alltime 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). Last month, it fluctuated between K1,562,300 (26 Jul) and K1,587,000 (K1,587,000), the 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 priced 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

The Central Bank of Myanmar (CBM) sold US$23 million at its FX auction rate in August so far. This month, the CBM reportedly sold $3 million on 2 August, $2 million on 3 August, $3 million on 4 August, $2.5 million each on 9
and 12 August and $10 million on 23 August in the auction market. Kyat is weakening against the US dollar at K1,660 in the local forex market. The CBM’s move is aimed at governing the market volatility and strengthening the local currency value, the CBM stated.

The Central Bank of Myanmar (CBM) sold US$93.8 million at its FX auction rate in the past six months (February-July), according to the auction results released by the CBM. The bullish hard currency gained in the local forex market, reaching the peak of K1,730 on 12 May from K1,330 in January-end. In a bid to strengthen the local currency, the CBM reportedly 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.

The CBM trades the foreign currency with the authorized private banks under the rules and regulations of the FX auction market. 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 K1,625-1,645 last month.

Source: The Global New Light of Myanmar