The Central Bank of Myanmar beefed up its crackdown on illegal forex transactions through social media pages, as per its notification released on 31 August.
Facebook pages – Dollar Buy/Sell Market and News and Euro Dollar Trading Group are found setting the US dollar exchange to weaken the own currency and involved in unauthorized currency transactions and market manipulation to increase volatility.
An individual was arrested with solid evidence for selling the US Dollar via a Facebook page and further interrogation is underway.
The authorities are stepping up inspections on illegal currency transactions as the disguised buyers to tackle non-compliance with the Foreign Exchange Management Law.
Under Section 9 of the Foreign Exchange Management Law, only those entities holding foreign exchange dealer licences are allowed to deal in foreign currency and travellers’ cheques.
Additionally, under Section 15 of the Foreign Exchange Management Law, domestic residents are allowed to keep US$10,000 in a maximum or equivalent amount of foreign currencies for six months.
If those foreign currencies that have been unused for over six months have to be exchanged in local currency at the market price through authorized dealers or deposited into bank accounts.
Therefore, amounts of foreign currency must be declared on arrival. CBM notified the public of transactions to be made through authorized dealers holding the relevant licence. — NN/EM