Junta’s limitation on cash withdrawal disturbs business operations

July 18, 2024

HURFOM: On July 2nd 2024, the military junta announced they would penalize high-ranking officials from seven popular private banks. Following this announcement, trust in banks has dropped significantly, and clients began to withdraw their cash from their bank accounts.

In response, the junta limited cash withdrawal from banks, ATM machines and Mobile Pay apps on July 9th.

“I went to the bank to withdraw my money but the bank denied my request. I think only Kpay has limited cash withdrawals but now even the bank denied cash withdrawals. There is even a ‘no reply’ when you try to do a cash withdrawal back,” said a resident from Chaung Zone Township.

On July 12th, popular private banks in Mon State such as Kanbawza Bank, Yoma Bank and CB bank stopped allowing cash withdrawals.

Mobile Pay agencies have also denied traditional cash withdrawal services. Now you must pay 7 to 10% of the amount of cash you wish to withdraw cash from accounts.

“Online shopping operators have money only in their accounts. As the Wave Pay agencies denied cash withdrawal, they have a huge difficulty. I don’t know how long the limitation will last but I wish this problem will be solved as soon as possible,” a resident from Dawei City.

Due to limitations on cash withdrawals, the rubber trade in Mon State has stopped and other business operations have been seriously impacted.

In 2021, during the third wave of Covid-19 the junta limited cash withdrawal services. People had to queue for a long time at the banks to withdraw cash.

“In Dawei, the banks have given us tokens (for cash withdrawal) and we can withdraw a million MMK a day,” said a Kpay Agency.

Written by Modinator · Filed Under News