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Banking and Finance |
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Financial structure of Myanmar includes state-owned
banks and state Insurance Institution and Private banks.
State-owned banks are Central Bank of Myanmar and four
specialized banks, namely The Myanmar Foreign Trade
Bank, The Myanmar Economic Banks. The Myanmar
Agriculture and Rural Development Bank. The Myanmar
Insurance is the sole Insurance Institution underwrites
various
kind of insurances.
In accordance with
new banking law licenses to seventeen Domestic
Private
banks to operate and permit 32 Foreign bank for
opening of their
representative office in Myanmar. |
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Central Bank of
Myanmar |
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The Central Bank of Myanmar was established under the
Central Bank
of
Myanmar Law 1990 and empower Independent
operation, to exercise supervision
and regulatory authority over financial institutions of both state
and
privately
owned to set reserve requirements for the
nation, prescribing discount rate interest rates on loan
and deposits, minimum cash margin, ratios of Asset and
Liabilities including provisions governing relations of
the Central Bank with the government, measures and
procedures to formulate and implement monetar policy,
exchange rate policy eusol of Foreign Exchange
transaction and power of Board of Dissectors to ensure
the effective performance of the Central sp; The Central Bank is responsible
to conserve the available Foreign Exchange reserve of
the country with the instructions from Ministry of
Finance Exchange management is administered by the
controller of Foreign Exchange of the Exchange
management Dept of the Central Bank of Myanmar and the
Exchange Management Board.
All external payments are
subject to authorization, receipt of all export proceeds
and invisible use to be declared to Myanmar Foreign
Trade Bank.
Calculation is pegged to
SDR at Ks 9.5084 equal to 1 SDR. 2 % margin applied in
respect of spot transactions based on fixed SDR-kyat
rate.
Buying and selling rates
of Deutsche Mar French Frances, Japanese Yen, Pound
Sterling, Swiss Franc and United States Dollars Quoted
by
Myanmar Foreign Trade Bank are determined on the
daily calculate of these currencies against the SDR.
As for other
currencies, calculated on appropriate cross rate in
different
money markets.
These are no taxes or
subsidies changed on purchases and sales of foreign
exchange.
Foreign Exchange
Certificates were issued by the Central Bank on 1993,
for the convenient of tourist and to enhance foreign
Exchange earning. FEC car be used by both resident and
non-resident alike for any type of payment within Union
of Myanmar., the value of which equal to United States
Dollars and it is exchangeable with USD. Pound Sterling
and acceptable travelers cheques and credit eases.
Myanmar
residents who owned foreign currencies can exchange
their foreign currency with Foreign Exchange certificate
and they can open foreign currency account with a
minimum deposit of 100 FECs at Myanmar Foreign Trade
Bank or at Myanmar Investment and Commercial Bank. The
organizations which are authorized to obtain FEC from
the Causal Bank are state owned commercial banks and
Hotels. Which hold FEC changes license, the individuals
holding FEC changes license can exchange FEC with
Foreign currency.
With effect from 24.4.93.
Foreignness and non residents can bring foreign currency
not in excess USD 2,000 or its equivalent without
declassing to the cash on arrival. |
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