30-6-2024 (YANGON) Myanmar’s central bank has vehemently denied claims made in a United Nations report alleging that the country’s military government has utilized Thai banks, among others, to access funds and procure weapons for its ongoing conflict against anti-coup forces. The bank’s statement, published in a junta-controlled newspaper on Saturday, expressed strong objections to the UN Special Rapporteur’s findings, asserting that the report severely undermines the interests of Myanmar’s civilians and the nation’s relationships with other countries.
The United Nations Special Rapporteur on Myanmar’s human rights, Tom Andrews, had reported on Wednesday that despite international efforts to isolate the junta, it managed to import $253 million worth of weapons, dual-use technologies, manufacturing equipment, and other materials in the 12 months leading up to March. The report alleged that Myanmar had sought assistance from international banks, including those in neighboring Thailand, to facilitate these purchases.
Facing its most formidable challenge since the 2021 coup that ousted Nobel laureate Aung San Suu Kyi’s government, Myanmar’s military finds itself embroiled in multiple low-intensity conflicts while grappling to stabilize the country’s crumbling economy. Western nations have imposed a series of financial sanctions targeting Myanmar’s military, banks, and associated businesses in response to the coup.
In its statement, the Central Bank of Myanmar firmly asserted that local and international banks engaged in transactions with Myanmar have undergone comprehensive due diligence measures for all business relationships and transactions. The bank claimed that financial transactions were solely for the importation of essential goods and basic necessities for Myanmar’s civilians, such as medicines, medical supplies, agricultural and livestock supplies, fertilizers, edible oil, and fuels.
The UN report had highlighted a significant decline in exports from Singapore to Myanmar, dropping from over $10 million in 2022 to just over $0 million. However, it stated that Thai companies in Thailand had partially filled the gap, transferring $20 million worth of weapons and materials in 2023, doubling the amount from the previous year.
In response to the allegations, Thailand’s foreign ministry issued a statement on Thursday, asserting that the country’s banking and financial institutions adhere to protocols akin to other major financial hubs. The government pledged to investigate the UN rapporteur’s report thoroughly.
