Myanmar Nears Currency Float in Biggest Shift Since Opening

Myanmar is nearing a decision to dismantle its fixed exchange rate, which risked holding back trade and investment as the country seeks economic ties with western nations after five decades of military rule.

Authorities will soon announce a shift to a managed float of the kyat, and seek to keep it from rising beyond the informal rate of about 800 per dollar, a person familiar with the discussions said. Officials will then activate an interbank exchange market, in which the central bank will intervene to influence the kyat’s value, according to the person, who spoke on condition of anonymity because the talks are private.