The Foreign Exchange Management Committee (FEMC) of Myanmar was established in September 1996 as a task force to study and make recommendations on the country’s foreign exchange policy. The FEMC is chaired by the Minister of Planning and Finance and its members are drawn from key government ministries, the Bank of Myanmar, the private sector, and academia. The Committee’s objective is to promote balanced and sustainable economic growth by ensuring an efficient allocation of Myanmar’s foreign exchange resources.
The Foreign Exchange Management Committee (FEMC) of Myanmar is responsible for the formulation and implementation of policies relating to the management of Myanmar’s foreign exchange reserves. The FEMC comprises representatives from the Central Bank of Myanmar, the Ministry of Finance, the Ministry of Planning and Economic Development, and the Ministry of Commerce.
The FEMC was established in 2012 in response to growing concerns about the country’s balance of payments position and its ability to service its external debt.
Since then, the committee has been working to improve Myanmar’s foreign exchange management practices and policies.
One of the key objectives of the FEMC is to ensure that Myanmar has adequate foreign exchange reserves to meet its international obligations. To this end, the committee monitors developments in global financial markets and takes action to safeguard against potential risks to Myanmar’s reserves.
Another important objective of the FEMC is to promote greater efficiency in use of foreign exchange resources. To this end, the committee works with other government agencies to streamline procedures for approvals related to foreign exchange transactions. The goal is to reduce unnecessary costs and delays associated with these transactions.
The FEMC also seeks to promote greater transparency in Myanmar’s foreign exchange market. To this end, it publishes data on major indicators such as reserve levels, currency movements, and trade flows on a regular basis. The aim is to provide market participants with information that will help them make informed decisions about their activities in the market.
Foreign Exchange Management Department Myanmar
The Foreign Exchange Management Department (FEMD) of Myanmar is responsible for the management and control of the country’s foreign exchange reserves. The department also manages the issuance of foreign currency licenses, approvals for foreign investment and trade transactions, and monitors compliance with foreign exchange regulations.
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What is the Foreign Exchange Management Committee Myanmar
The Foreign Exchange Management Committee of Myanmar (FEMCOM) is a high-level committee that was established in 2013. The committee is responsible for the formulation and implementation of Myanmar’s foreign exchange policy.
FEMCOM comprises representatives from 18 key ministries, agencies and organizations, including the Ministry of Planning and Finance, the Central Bank of Myanmar, the Ministry of Commerce, the Investment Commission, and the Myanmar Economic Bank.
The main objectives of FEMCOM are to promote orderly development of the foreign exchange market in Myanmar, to foster transparency and efficiency in foreign exchange transactions, and to help ensure that all entities have access to foreign exchange on a level playing field.
In order to achieve these objectives, FEMCOM has taken a number of measures, including developing regulations governing foreign exchange transactions; issuing guidelines on best practices for risk management; setting up an interbankforeign exchange market; establishing a central database for all foreign currency transactions; and launching an e-payment platform for cross-border trade settlements.
FEMCOM’s efforts have helped to improve Myanmar’s access to international capital markets and make its economy more open and integrated with the global financial system.
Who are the Members of the Foreign Exchange Management Committee Myanmar
The Foreign Exchange Management Committee (FEMC) of Myanmar is a government body that is responsible for the formulation and implementation of policies related to the country’s foreign exchange market. The committee is composed of representatives from the Central Bank of Myanmar, the Ministry of Finance, the Ministry of Commerce, and the Economic Planning Department.
The FEMC was established in 1993 in response to the liberalization of Myanmar’s foreign trade regime.
Prior to its establishment, there was no formal mechanism for coordination between the various government agencies involved in foreign trade policymaking. The FEMC provides a forum for discussion and debate on issues related to Myanmar’s foreign trade and investment policy.
The committee meets on a monthly basis, and its meetings are open to the public.
Minutes of meetings are posted on the website of the Central Bank of Myanmar.
What are the Objectives of the Foreign Exchange Management Committee Myanmar
The Foreign Exchange Management Committee (FEMC) in Myanmar was formed in 2012 as a result of the country’s transition to a more open economy. The objectives of the committee are to promote foreign investment and trade, to monitor and stabilize the exchange rate, and to oversee the management of Myanmar’s foreign exchange reserves.
Since its inception, the FEMC has been successful in attracting foreign investment and helping to stabilize the value of the kyat against major currencies.
In addition, the committee has helped to improve transparency in Myanmar’s foreign exchange market and strengthened oversight of the country’s reserve management.
How Does the Foreign Exchange Management Committee Myanmar Operate
The Foreign Exchange Management Committee (FEMC) of Myanmar is the body responsible for formulating and administering policies relating to the country’s foreign exchange and trade. The committee is composed of representatives from the Central Bank of Myanmar, the Ministry of Commerce, the Ministry of Planning and Finance, and the Myanmar Investment Commission.
The FEMC was formed in 2012 in response to growing concerns about Myanmar’s vulnerability to external shocks due to its large trade deficit and reliance on imports for essential goods.
The committee is tasked with developing a framework for managing foreign exchange risks, promoting exports and investment, and ensuring financial stability.
One of the key functions of the FEMC is setting limits on foreign currency transactions by businesses and individuals. These limits are designed to prevent speculative activities that can lead to destabilizing capital flows.
The FEMC also oversees Myanmar’s system of export control quotas, which are used to ration scarce foreign exchange among importers.
Another important role of the FEMC is approving applications for inward investment into Myanmar. Inward investment brings much-needed capital into the country, but it can also pose risks if not properly regulated.
The FEMC vetting process helps ensure that investments are made in accordance with Myanmar’s development goals and do not pose undue risks to economic stability.
The Foreign Exchange Management Committee plays a vital role in safeguarding Myanmar’s economy against external shocks. By carefully managingforeign currency transactionsand regulating inward investment,the FEMCis workingto build a more resilient economy that can withstand global turbulence.
Myanmar's central bank exempts foreign investors from currency conversion law
Conclusion
Myanmar’s Foreign Exchange Management Committee (FEMC) was established in 2012 to help the country manage its foreign exchange reserves and promote stability in the foreign exchange market. The FEMC is responsible for setting Myanmar’s foreign exchange policy, monitoring the international payments system, and intervening in the foreign exchange market when necessary. The FEMC has been successful in stabilizing the value of the kyat, and has helped to attract foreign investment into Myanmar.
