CNI News
31 May 2024
Not only has Myanmar Kyat devalued, general prices are also increasing, so the public is facing more crises, which could push Myanmar citizens to go abroad more, labor affairs and economic analysts told CNI News.
Several months ago, the prices of foreign currencies were over 3,000 Kyats per dollar, over 500 Kyats per Chinese Yuan and about 100 Kyats per Thai Baht. Moreover, the price of gold was over 40 Lakh Kyats per tical only.
At present, the prices are over 4,700 Kyats per dollar, over 6,000 Kyats per Yuan, and about 120 Kyats per Baht; the price of gold also has been higher until over 57 Kyats per tical.
While seeing dollar and kyat
Because the prices of foreign currencies had been very highly on the rise while the value of Myanmar Kyat was plunging, there may be an increase in the number of Myanmar citizens who wanted to go abroad to work, those performing in labor affairs locally and abroad told CNI News.
" Because the Myanmar Kyat is so inflated that those who want to go abroad must spend more money a lot. May be it can cost them 35 to 40 Lakh Kyats if they go to Thailand now although it cost them only 20 to 30 Lakh Kyats in the past. Because the price of everything related to foodstuff has become higher, it's difficult to make ends meet. So, Myanmar citizens will try to leave for neighboring countries where can be more convenient for them to work." said U Min Oo, in charge of labor affairs from the FED.
Because the age of men who will go abroad to work has been limited at present, the men who are restricted to work abroad will leave for neighboring countries illegally or with visitor visas, reviewed some people.
While seeing a factory
The devaluation of Myanmar Kyat had been taking place gradually since several years ago, the current devaluation is getting worse, pointed out economic commentators. So, how to reform the entire economic system must be considered rather than each sector; if the economic system was not right, the current problems would go on, U Htay Aung Kyi, a banking expert, told CNI News.
" An economic system must be built on a political system. Firstly, a right economic system must be built. A right and credible political system is needed. As soon as a political system that can transport everything can be built again, problems will be automatically resolved. The current situation is so worrisome. It's good for exporters when the price of dollar goes up. But not many people can export. When a country whose currency value declines has to import more than to export, the country is always hurt." he said.
The basic daily wage of Myanmar is 4,800 Kyats only and it is mainly paid in the factories only. So, the daily wage of a worker is just about one dollar because the current price of dollar is over 4,700 Kyats per dollar.
