Banks close in northern Arakan State townships

By Admin 17 Nov 2023

DMG Newsroom
17 November 2023, Sittwe

Banks have closed in Pauktaw, Rathedaung, Buthidaung, Maungdaw and Ponnagyun townships in Arakan State due to the renewed fighting between the Myanmar military and the Arakan Army (AA), said residents.

The state-owned Myanma Economic Bank has been closed since Monday at noon following the renewed fighting in Rathedaung Township. Local people can’t therefore withdraw cash from the bank, said a Rathedaung resident.

“Banks, markets and shops have been closed. The streets are deserted. Bank employees have fled, so the banks are closed,” he said.

A junta battalion in Rathedaung town has been shelling the town, prompting many residents to flee out of fear for their safety.

In Buthidaung town, Myanma Economic Bank and Global Treasure Bank have been closed since Tuesday due to daily junta artillery strikes.

The regime has also tightened security in Ponnagyun town, conducting patrols and carrying out checks on passers-by. Myanma Economic Bank and Global Treasure Bank branches there have been closed since Tuesday as staff employees are not working, according to Ponnagyun residents.

In Pauktaw, the regime took all the cash from Myanma Economic Bank on Wednesday before the AA seized the town police station, halting its operation.

In Sittwe, Kyauktaw, Mrauk-U, Minbya and Myebon townships, banks are only operating in the morning, with limits on cash withdrawals and transfers.

“The banks are closed once it strikes 12 p.m. We can withdraw and transfer money before that,” said a Minbya resident.

Banks are, however, operating as normal in southern Arakan State townships such as Kyaukphyu, Taungup and Thandwe.

The disruptions to cash flow in northern Arakan State could trigger price hikes, warned businessmen.

“The banks are closed primarily because [the regime] can’t provide security for them. [The regime] has another motive, which is to hurt the local economy. Bank closures can have negative impacts on trade, as well as businesses operating in the banking system,” said an Arakanese businessman.

A statement issued by the junta-controlled Central Bank of Myanmar on Thursday says banks across the country are operating as normal, and cash can be withdrawn freely at any bank branch.

The regime has blockaded roads and waterways in Arakan State since the fresh fighting broke out on November 13.