CBM sells US$31 million in November

THE Central Bank of Myanmar (CBM) sold US$31 million at its FX auction rate in November to steer the local currency value, according to the auction result issued by the CBM on 30 November. The CBM sold the foreign currency to the prioritized sectors (palm oil, fuel oil and pharmaceuticals) at an auction rate through the authorized banks. The CBM sold the US dollars at the set rate to the banks with the authorized dealer licence where the companies screened by the National Trade Facilitation Committee opened an account.
In October, the CBM sold a large amount of $110 million to the authorized dealers to stabilize the currency. In September, the CBM sold 63 million dollars to the private banks to increase the local currency value. Last September-end, a dollar value reached the highest of over K3,000 in history.
The exchange rate on the US dollar hit around K1,800 in the local forex market at present, as per money exchangers.
In August, the CBM reportedly sold $28 million at its auction rate. Kyat is weakening in the local forex market. In a bid to control the dollar gain against Kyat, the CBM sold about 6.8 million dollars on 3 February 2021, $12 million in April, $24 million in May, $12 million in June and $39 million in July in the auction market, respectively.
The local forex market’s data showed that the dollar exchange rate touched the maximum of K1,345 and the minimum of K1,327 in January 2021. The rate moved in the range of K1,335-1,465 in February. It reached the lowest of K1,420 and the highest of K1,550 in March. The rate fluctuated between K1,550 and K1,610 in April. The rate fluctuated between K1,585 and K1,730 in May and it moved to the maximum of K1,595-1,620 in June. The rate stood at K1,626-1,670 in July. It hit the lowest of K1,660 and the highest of K1,682 in August. In September, the rate edged up to K3,200 and fell to K1,696. — KH/GNLM