July 18 (Reuters) – Myanmar’s central bank has ordered companies with up to 35% foreign ownership to convert foreign exchange into the local currency, state media reported on Monday, extending a rule aimed at relieving pressure on the kyat to include more businesses.
In April, the central bank exempted foreign entities from the new policy after the rule had triggered an outcry among business groups and residents.
Under the latest rules, a list of Myanmar companies with up to 35% foreign ownership had been sent to foreign exchange dealers, who are required to convert currencies and submit the amount by 6 p.m. on Monday, the Global New Light of Myanmar reported, citing a central bank announcement.
Unspecified action would be taken against anyone not following the rules, the report said.
Myanmar has been in turmoil since the military staged a coup last year, arresting civilian leaders including Aung San Suu Kyi.
The Southeast Asian country’s economy has also tanked since the coup, which halted a decade of political and economic reforms.
Central bank officials did not answer calls seeking comment on the latest rules.
Foreign chambers of commerce were also not immediately available for comment.