Myanmar to allow exchange with two more foreign currencies

Myanmar will allow exchange of local currency Kyat with two more foreign currencies -- Chinese yuan and Thai baht -- at Myanmar banks and money exchange counters legally set up in the country, official media reported Thursday.

To implement the move, Myanmar banking authorities will ink deals with central banks of the two neighboring countries -- China and Thailand -- to enable the exchange to start by the end of this month, the Central Bank of Myanmar was quoted as saying.

The move will facilitate trading business and will also help promote economic relations with foreign countries and eliminate obstacles in circulation of foreign currencies, exporters said.

Myanmar deals mainly with China and Thailand in economic relations. The two neighboring currencies are widely circulated in border towns of Myanmar carrying out border trade with the two countries.

Currently, Myanmar state and private banks only offer exchange of Kyat with such foreign currencies as euro, U.S. dollar and Singapore dollar officially.

In July last year, eleven private banks in Myanmar started to admit opening of foreign currency accounts with the public in U.S. dollar, Euro and Singapore dollar as well as FEC (foreign exchange certificate).