Myanmar’s military-led administration has agreed to accept the Thai baht as an official currency
Myanmar’s military-led administration has agreed to accept the Thai baht as an official currency in border trade dealings and plans a similar arrangement for use of India’s rupee, seeking to limit the country’s reliance on the U.S. dollar in trade. The State Administration Council said Tuesday that Myanmar began allowing direct currency settlements using the Chinese yuan with its kyat earlier this year. Settlements in Thai baht will be done online according to regulations set by Myanmar’s central bank, it said in a statement. Myanmar’s economic crisis deepened after its army seized power in February 2021 from the elected government of Aung San Suu Kyi. Opposition to the military takeover has evolved into armed resistance that some U.N. experts have described as a civil war. The turmoil, sanctions against the military leadership and the pandemic have combined to severe strain the country’s ability to earn foreign exchange. Meanwhile, the value of the kyat has plunged. By e...