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Myanmar Kyat or US Dollar for Power Purchase Agreements: Will the Government Insist on Myanmar Kyat Tariffs?
September 27, 2017One of the many challenges facing private investors in public infrastructure in Myanmar is, increasingly, the currency issue. The Myanmar Kyat (MMK) has been in a slow but steady decline against the US$ since 2014.
Highlights
- More pressure to accept MMK tariffs
- Tariff entirely in MMK
- Tariff in US$ but payable in MMK
- Tariff in US$, payable in MMK with fixed conversion rates
- Some of the tariff is paid in MMK
- Tariff in US$, only payable in US$
- A complex structure
- Where is this going?
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