The first transaction of over Rs 1 crore pulses export to Myanmar from India was successfully executed under the Rupee-Kyat trade settlement mechanism on Tuesday, a move which will boost bilateral trade and enhance the usage of local currencies. “Rupee-Kyat trade settlement mechanism is operational now,” the Embassy of India in Yangon posted on X.
“The first transaction of over INR 1 cr of pulses export was successfully executed by the Yangon office of @pnbindia today. We encourage businesses on both sides to benefit from the mechanism,” it said.
— IndiainMyanmar (@IndiainMyanmar)
The Indian mission in collaboration with the India-Myanmar Chamber of Commerce (IMCC) had organised an awareness event on the use of the Rupee-Kyat Trade Settlement Mechanism in February.
The Central Bank of Myanmar released the guidelines for payment procedures under the Special Rupee Vostro Account (SRVA) on January 26.
“To boost bilateral trade and to enhance the usage of local currencies, a Rupee Kyat Trade Settlement Mechanism has been operationalised,” the Indian embassy had earlier said in a press release.
The establishment of the mechanism, it said, “will simplify trade transactions and make them more efficient. It will reduce costs associated with currency conversions”.