Myanmar orders state bodies not to use foreign currencies

Myanmar's central bank has ordered ministries and local governments not to use foreign currencies for domestic transactions, to help relieve pressure on the kyat currency, reports Reuters.
The Southeast Asian country's economy has been in crisis since the military seized power last year, halting a decade of political and economic reforms and piling pressure on the kyat's exchange rate against the US dollar.
"In addition to the increasing demand for foreign currency, the exchange rate may fluctuate due to the practice of receiving and disbursing foreign currency for goods and services purchased within the country," Deputy Central Bank Governor Win Thaw said in a statement issued on Wednesday.
Win Thaw said that currently, bodies such as hotels, restaurants, souvenir shops and international schools were using the US dollar rather than the kyat but also businesses and organisations operated by ministries.
"Myanmar kyat's currency should be used in domestic payments and respective ministries, regional and state governments....should instruct your organisations as necessary," said his statement, which was addressed to ministries and local governments.