On December 30, 2022, the Central Bank of Myanmar (CBM) updated
its guidelines on the Thai baht to Myanmar kyat (THB-MMK) direct
payment mechanism for Myanmar-Thailand border trade and other flows
of capital. The CBM's guidelines outline an expanded mechanism
allowing more trade gates and more designated banks, stipulating
banking arrangements for worker remittances, setting out a payment
mechanism for exports, clarifying procedures for importing goods
via the Myanmar-Thailand border trade, and instituting new
reporting procedures.
The THB-MMK mechanism came into being on March 3, 2022, as a
pilot project for border trade in Myawaddy, Tachileik, and other
areas approved by Myanmar's Central Committee on Ensuring
Smooth Flow of Trade and Goods. In this update, Myawaddy,
Tachileik, Myeik, Kawthoung, Mawtaung, and other approved border
trading zones are identified as open to the THB-MMK mechanism.
