The Japanese Embassy in Yangon has said that Japanese companies will have difficulties following the new Military Council foreign currency ruling.

According to a letter sent by the embassy to the junta Ministry of Foreign Affairs, Japanese companies will have difficulties obeying a new financial ruling that states: “The foreign exchange earnings of the locals must be sent back to Myanmar to the foreign currency account opened at the Foreign Exchange Trading (AD) licensed banks and exchanged for Myanmar kyats within one working day.”

The embassy letter says: “Japanese companies operating in Myanmar will face serious challenges in following this new regulation which will cause difficulties in continuing their business in the country. It will also be detrimental to the function of the Embassy of Japan and other Japanese official organizations.”

The embassy requested that the Military Council uses its discretion to exempt all Japanese companies and official organisations, such as the Japanese Embassy and the Japan International Cooperation Agency (JICA), from this rule. The new ruling allows for exemptions to be granted.