Rebirth: Super Banking System Chapter 2487 - 2325: Ling: The Asia Dollar Exchange Rate Will Rise Again This Year

The outcome of this meeting is undeniably satisfying.

First and foremost.

Building upon the current framework, Myanmar will proceed to increase loan volumes, adhering to the previously established agreements linked to their WTO accession years. While the sum may appear modest—totalling only a few billion Asia Dollars—it is nonetheless a tangible gain.

Furthermore.

This decision broadcasts a clear signal: the Asia Dollar is poised for another expansion in circulation. Most nations generally remain indifferent to such maneuvers, provided that domestic purchasing power remains stable and the circulation increase is handled with care.

Typically, when a nation significantly boosts its monetary supply, two primary concerns emerge.

Initially, the exchange rate.

An abundance of capital naturally leads to devaluation, triggering volatility within the currency markets.

Secondly, the threat of inflation.

For similar reasons, the international and domestic fallout can be unpredictable. However, if the exchange rate is not left to drift and is instead managed by Myanmar’s Central Bank, the situation remains under control.

Consequently.

Everything becomes manageable.

Regarding inflation specifically, as the currency devalues, the cost of living—from household goods to daily items—has seen minimal disruption due to Myanmar’s rigorous oversight of raw material pricing.

With raw material costs held steady, prices for essential commodities remain stable.

Food supplies.

Beverages.

Daily necessities.

Most consumer items will not lose their value in the hands of the populace; one could argue this resilience is unparalleled on the global stage.

As for Han Bei?

That is a different matter.

They lack a conventional commodity economy, so under such strict material oversight, inflation simply cannot take root.

Therefore.

The strategic approach implemented by Myanmar—utilizing control over raw material prices to mitigate volatility in consumer prices—is truly unique and rarely seen elsewhere.

It is a model near impossible to replicate.

To mirror such a policy, a significant portion of a country’s raw material industry must either be under state control or heavily subsidized.

Evidently.

Achieving this is an immense challenge for others.

...

Secondly.

Ling announced at the conference that, by year-end, the Asia Dollar would see a steady appreciation of approximately five percent. This move is nothing short of dazzling.

The implications of this declaration are far from ordinary.

Essentially.

By holding Asia Dollars, one effectively secures a five percent return by year-end. For the citizens of Myanmar, this is trivial, but for those abroad, it is a significant deal.

It offers a return far exceeding standard banking interest rates. This serves to bolster the international appeal of the Asia Dollar, encouraging more entities to hold the currency.

...

Within Huaxia.

Upon hearing the news, stock market investors felt a surge of excitement.

Their delight was palpable.

"Five percent? It's set to rise again?"

"Incredible!"

"Truly brilliant, Myanmar is practically handing out cash once more."

"Haha!"

"..."

This means that shifting capital into the Myanmar stock market now requires no effort to yield a five percent annual return, easily outperforming local bank deposits.

Suddenly.

With interest piqued across the board.

Let's proceed!

"Quick, transfer the excess capital; just letting it sit there earns five percent."

"It appears the Myanmar market is about to rally."

"Undoubtedly."

"Another minor bull market is on the horizon."

"..."

If regular investors can grasp this interest rate yield, so can the professionals. Once vast amounts of foreign capital flood into Myanmar, they find only one logical destination: the financial markets.

The stock exchange.

The bond market.

Both are guaranteed to climb.

For this reason.

Most people aren't leaving their money dormant; they are converting it into stocks, hoping to profit from this brief bull run.

Nevertheless.

Some remain skeptical.

"Is this legitimate? Is it truly reliable?"

"Of course it is. Ling himself made the announcement, so how could it be anything but genuine? He leads the Myanmar Bank Group and spoke on such a public platform."

"Witnessed by so many powerful figures, he could not have spoken idly."

"Precisely."

"..."

These reservations were quickly quelled by public sentiment. If someone else had uttered these promises, there would be doubt, but coming from the President, it is different.

The founder of the Myanmar Bank Group.

His pronouncements.

Within Myanmar.

Are equivalent to law.

They dictate the order.

By promising a five percent gain by year-end, he has locked in that result. His Central Bank's stated exchange rate regulates the trade effectively.

There is no escaping this reality.

Consequently.

Many joined the investment frenzy. Five percent significantly beats domestic deposit interest rates. Moreover, stock accounts allow for flexible entry and exit.

Only trading stocks incurs transaction fees.

Before long.

Private capital poured into the Myanmar stock market at a frantic pace.

...

Likewise.

Large-scale capital is following suit. Financial institutions licensed in Myanmar are actively mobilizing funds. Five percent represents an attractive return.

Ten billion dollars.

Bringing in five hundred million within a year.

Honestly.

That is a solid investment return. Above all, it is stable and risk-free. However, the limitation on entering funds is a minor point of frustration.

Wishing to earn a spread by swapping Asia Dollars?

Certainly.

But there are scaling caps in place.

Indeed.

From their perspective, Myanmar’s strategy is designed to establish confidence in the Asia Dollar, not to permit unlimited exploitation of hundreds of billions.

As for anything exceeding that?

Forget about it.

...

For some time.

Capital continued to flood in, fueling another surge in the Myanmar stock market, with all indicators trending upward. Many observers watched with deep envy and resentment.

Currently.

The Huaxia and Myanmar stock markets are interconnected; those abroad wishing to invest face difficulties opening cross-border accounts and must rely on investment institutions, which proves quite cumbersome.

Therefore.

These specific profits.

They cannot easily capture them.

Naturally.

Another route exists: holding Asia Dollars as cash. Retaining the currency for a year to realize a five percent gain serves as a valid investment strategy. Many are choosing this path.

...

In India.

Throughout the northern region.

Roy City.

Due to its geographical proximity to Myanmar, the city has essentially become a semi-official zone for Asia Dollar circulation. Payments are accepted in both Rupees and Asia Dollars.

Furthermore.

The latter is increasingly favored.

Merchants are delighted to receive Asia Dollars, as the currency remains both stable and consistently appreciating.

Its reputation.

Is gaining widespread recognition. Being a border region, many Indians convert significant portions of their savings into Asia Dollar cash for safekeeping.

What about the US Dollar?

Forget it.

It is difficult to acquire; few households ever see one. The Asia Dollar is far more accessible.

The facts remain clear.

Their decision has proven profitable.

In recent years, while the Asia Dollar has appreciated by 30 percent against the RMB, its exchange value against the Rupee has surged over 40 percent.

Put simply: The Rupee is undergoing depreciation.

No second thoughts are needed there.

People are compelled to exchange into foreign currency to preserve the value of their wealth.

Moreover.

Given the high volume of local holdings, the aesthetic quality of the notes, and the absence of counterfeits, the Asia Dollar’s presence in daily payments within Roy City continues to grow.

Indian authorities cannot simply ignore this trend.

However.

Let us not forget.

Who resides in Roy City? The investors are powerful, influential families with deep ties in India.

Obviously.

They also desire to benefit from the Asia Dollar.

After all.

If forced currency exchange were enforced at the border, the Asia Dollars would simply flow to the Reserve Bank of India. In their own hands, they would be forced to hold onto the steadily depreciating Rupee. That is not a viable outcome for the wealthy.

Thus.

Influenced by these powerful interests.

Indian authorities can only concede, maintaining a gray area where the practice is neither punished nor endorsed, existing in a limbo between legal and illegal.

Should the Asia Dollar begin to circulate elsewhere, it would certainly be suppressed. After all, a national currency is strictly tied to national sovereignty.

For this reason.

All national currencies are considered sovereign credit currencies.

Unless the domestic monetary system fails entirely.

Otherwise.

Foreign currency circulation remains strictly disallowed.