“To reduce the use of Thai baht in local payments in the country including the border areas, orders have been approved to allow Thai baht to be exchanged for Myanmar kyat at foreign exchange counters. Henceforth we will take action against those who don’t follow this rule,” U Bo Bo Nge said.

His statement was made in response to questions raised by the Amyotha  Hluttaw, Kayin State No.6 Constituency regarding the CBM’s management of currencies used to make payments in the country, including the border areas like Muse, Tachileik Myawaddy, Kawthoung and Tamu. 

The new rule, which was issued to reduce the use of foreign currencies locally and maintain currency stability, has been submitted to the President’s office and the instruction has been distributed to State and regional governments, he said.

However, this excludes trader in the Kayin and Shan States, which share the border with Thailand. For trade promotion purposes, the Ministry of Commerce currently allows traders in those states to open bank accounts in Myanmar kyat, US dollars and Thai baht, U Bo Bo Nge said.

A period of time will be set to educate the public about the new rule following which procedures and various forms of action will be decided upon and implemented, he continued.

The CBM is also in the process of officially allowing transactions using Chinese yuan and Indian rupees at foreign exchange counters in the border areas with China and India. The CBM currently permits foreign exchange counters to convert US dollars to kyat in the States and Regions. As at July 27, there were 1,345 such counters along the border areas.

Source: https://www.mmtimes.com/news/new-rule-permits-sale-thai-baht-local-forex-counters.html