At a discussion forum on Myanmar’s economic recovery and rehabilitation after the earthquake held in Naypyidaw on May 31, military council leader Min Aung Hlaing addressed issues regarding the country’s foreign currency deficit. Despite having a trade surplus of over 2 billion US dollars, he stated that foreign currency prices are rising due to high numbers of people traveling abroad and illegal imports of goods, leading to increased foreign currency expenditure and deficits.
During the 2024-2025 fiscal year, Myanmar’s exports amounted to 14.8 billion US dollars while imports totaled 12.47 billion US dollars, with total trade volume reaching 27.27 billion US dollars. However, significant foreign currency deficits are occurring in non-trade sectors. The main factors contributing to these deficits include high numbers of people leaving the country, illegal imports of goods, and unauthorized trading activities. The military council has identified that there is a substantial volume of orders and imports from abroad, and they plan to implement measures to replace these with domestic products where possible.
To control foreign currency expenditure caused by Myanmar citizens traveling abroad, the military council has ordered a comprehensive review of all overseas travel. They will implement a strict screening system for various types of travel including leisure, medical treatment, education, religious pilgrimage, business, and employment. Under this new system, only those who receive official permission will be allowed to leave the country. This represents a significant tightening of controls over citizens’ movement and foreign currency usage, as the military council attempts to address what they claim is excessive foreign currency outflow despite the country’s positive trade balance.
