As political instability and global gold prices continue to rise, the military junta has restricted cash withdrawals from banks to reduce gold and US dollar buying, business owners said. As a result, access to cash has become more difficult.
Under the new restrictions, Special Account holders at private banks can withdraw up to 5 million kyats per day, while regular account holders can withdraw only 1 million kyats per day.
However, customers can still withdraw larger amounts through arrangements between banks and business owners who exchange cash. A money transfer agent said up to 20,000 kyats is deducted as a service fee for every 1 million kyats withdrawn, making it more difficult to obtain cash.
“People no longer deposit money in banks. Instead, they buy gold. Ordinary residents can withdraw only up to 1 million kyats. Banks cooperate with business owners to exchange cash. If you withdraw 10 million kyats, they deduct 15,000 to 20,000 kyats. If you withdraw 30 million kyats, you have to pay about 45,000 kyats. Now we have to exchange money outside to get cash,” he said.
The junta-appointed Central Bank Chair, Than Than Shwe, said at a February 5 meeting of the Union of Myanmar Federation of Chambers of Commerce and Industry that the restrictions were imposed to prevent loans and withdrawn cash from flowing into gold, silver, and dollar speculation.
Although there is no limit on transfers between bank accounts through mobile banking, traders said they face difficulties because many business transactions require cash payments.
A rubber business owner from Thanbyuzayat said rubber buyers have to borrow money from gold shops and other business owners for daily transactions.
“If we try to withdraw cash from our account, the bank cannot provide it. So we have to find cash from gold shops or other business owners. Without cash, we cannot operate. After buying rubber, sellers want cash payments. But even when we receive money from sales, we cannot withdraw it,” he said.
He added that due to security conditions, private banks are unable to transport cash between branches in some areas, leading to cash shortages.
Whenever gold and dollar prices rise, the military junta has blamed business owners and carried out arrests. It has also limited cash withdrawals in an effort to push prices down.
Market experts said record-high domestic gold prices in late 2025 and early 2026 were driven by declining confidence in the US dollar, gold accumulation by major countries, and the depreciation of the kyat.
