Myanmar's junta powerless as currency drops 60% in four weeks, economy tanks

[reader]

From Channel News Asia

Myanmar's currency has lost more than 60 per cent of its value since the beginning of September in a collapse that has driven up food and fuel prices in an economy that has tanked since a military coup eight months ago.

"This will rattle the generals as they are quite obsessed with the kyat rate as a broader barometer of the economy, and therefore a reflection on them," said Richard Horsey, a Myanmar expert at the International Crisis Group.

In August, the Central Bank of Myanmar tried tethering the kyat 0.8 per cent either side of its reference rate against the US dollar, but gave up on Sep 10 as pressure on the exchange rate mounted.

The shortage of dollars has become so bad that some money changers have pulled down their shutters.

"Due to the currency price instability at the moment ... all Northern Breeze Exchange Service branches are temporarily closed," the money changer said on Facebook.

Those still operating were quoting a rate of 2,700 kyat per US dollar on Tuesday (Sep 28), compared to 1,695 kyat on Sep 1 and 1,395 kyat back on Feb1, when the military overthrew a democratically elected government led by Nobel laureate Aung San Suu Kyi.

In a report published on Monday, the World Bank predicted that the economy would slump by 18 per cent this year, partly due to the COVID-19 pandemic, and said that Myanmar would see the biggest contraction in employment in the region and a rise in the number of poor in the country.

https://www.channelnewsasia.com/asia/myanmars-junta-powerless-currency-drops-60-four-weeks-economy-tanks-2209931

[Ruthrieston]

Very sad for the people of Myanmar, but a clear sign to the maniacs in the fake military junta that their insanity and arrogance will not pay off. Given their arrogance and disdain for the country and its people, sadly there is no easy way out of the situation they have created. There is no way I would travel to Myanmar while the army is still in control. 

[caeron]

I so enjoyed my visit before all this insanity. I wanted very much to go back for an extended visit.

 

But, hell no, I'm not doing it now. Fuck the generals.

[maump]

I was thinking of going....  try to funnel the money toward the people, not the government.  Food , lodging, massage parlor...