Coord meeting on Yuan/Kyat direct use in Sino-Myanmar border trade held

A coordination meeting on Yuan/Kyat direct payment in the Myanmar-China border trade sector was held in Nay Pyi Taw yesterday.
During the meeting, Deputy Governor of Central Bank of Myanmar Daw Than Than Swe explained the Yuan/Kyat payment procedures, guidelines for Yuan/Kyat payment, designated banks, implementation works, Yuan/Kyat accounts, difficulties of banking sectors and reports of merchants regarding ED export incomes.
Then, Joint Secretary of the Central Committee on Ensuring Smooth Flow of Trade and Goods Brig-Gen Yan Naung Soe discussed the bilateral cooperation of China and Myanmar to resolve the difficulties in Yuan/Kyat direct payment, export and benefits of the use of Yuan/Kyat direct payment.
Then, the Bank of China Hong Kong Limited, Yangon Branch and the Industrial and Commercial Bank of China Limited, Yangon Branch, presented challenges during the trial period. The officials of designated banks, relevant banks and associations coordinated the discussion.
The Central Bank of Myanmar permitted the Yuan/Kyat direct payment in Sino-Myanmar border trade and allowed the Myanmar Economic Bank, ICBC, Yangon Branch and BOC, Yangon Branch.
This move aims to boost bilateral cross-border trade, facilitate trading and bilateral transaction, lessen the reliance on the US dollar, draft economic plans based on the bilateral trade data and increase the use of domestic currency.
The bilateral trade between China and Myanmar was conducted starting in December 2021. The Central Bank of Myanmar cooperated with the Muse-Namhkam Border Trade Chamber of Commerce, Kunlong-Hopan-Chinshwehaw-Laukkai Border Trade Chamber of Commerce, Trade Department and Customs Department under the lead of the Central Committee on Ensuring Smooth Flow of Trade and Goods.
The CBM allowed other private banks to serve as designated banks to streamline the Yuan/Kyat direct payment sector, such as CB Bank PCL, Ayeyawady Bank, UAB Bank and Myanma Apex Bank.
Granting permits to private banks and Myanma Economic Bank will provide various options to the traders in making Yuan/Kyat direct payments. — MNA