The illegal Burmese military junta exploits nationals in Thailand, demanding 25% of their wages be remitted to a specified bank in Yangon. With control over less than 14% of the country, the junta is using forced remittances to prop up its failing economy.
The illegal Burmese military junta has launched a campaign of extortion against the country’s nationals working in Thailand. Despite having only marginal control of the country and sway over less than a third of its population, the illegal government is recognised by Thailand. In short, the junta is pressuring Burmese labourers in Thailand to remit money, at least 25% of monthly salaries, to a bank in Yangon.
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The reviled and illegal military junta in Burma has begun exploiting the population forced to flee the country to Thailand in order to find work.
The failing junta, which now controls less than 14% of the territory in the state to the west of the Thai border, is hard-pressed for cash. Furthermore, in Burma itself, its power only extends to less than a third of the population.
Many of these are in large urban centres such as Yangon where the black market is rife and hatred of the junta extends to at least 80% of residents.
Burma’s junta resorts to coercion as Economy and Currency continue to collapse as it loses its grip on power
A cracked economy with plummeting GDP combined with the loss of excise duties and other taxes from border trade means the beasts of Nay Pyi Taw General Min Aung Hlaing and his officials have become febrile in their search for cash.
Earlier this year, the remnants of what authority still exists in Burma cracked down on Yangon-based real estate professionals. In short, it halted the massive flow of money out of Burma by wealthy people who saw the writing on the wall.
Simultaneously, the Burmese currency, the Kyat, is also failing.
It is being propped up by a closed system that depends on remittances from its population working abroad.
Currently, the currency’s real value is 70-80% less than it was before the hated Tatmadaw, Burma’s brutal military, seized power in a coup d’état on February 1st, 2021.
Junta orders forced remittances from overseas workers to prop up the failing economy for visa or permit renewals
Presently, the junta now proposes to treat its overseas population as state slaves. In a brazen move last September, like something akin to the Stalinist North Korean state, it ordered all workers overseas to remit 25% of their salary back to Burma.
The unorthodox order calls on workers abroad to have family members establish an account within Burma’s shrinking financial system. Indeed, a specific bank, CB Bank, formerly an award-winning institution in Yangon, has been specified.
At the same time, the crafty junta officials have linked their order to a Memorandum of Understanding signed with the Royal Thai government.
Indeed, the agreement signed between Thailand and neighbouring countries expired on January 1st, 2024. In April this year, the Ministry of Labour warned workers that their visas expired on April 30th, 2024.
Workers must leave Thailand and re-enter with new papers to remain legal after 4-year agreement ended
In short, to continue working, they were required to leave Thailand and re-enter with full documentation for a new visa. Meanwhile, the value of funds remitted back to Burma officially through the country’s banking system is diminished in value given the artificial nature of Burma’s currency system.
In effect, what remains of the Burmese economy is going underground. Trade is increasingly conducted on the black market and in dollars. The junta regime is effectively being bypassed.
Nonetheless, as the failed military junta is still recognized by the Thai government, it leaves Burmese workers here at its mercy. In this case, the result is not even subtle extortion. A foreign government imposing its economic agenda on Thai soil.
UN does not recognise the illegal junta. Workers face a dilemma in obtaining legal status in Thailand
Furthermore, it should be noted that the United Nations does not recognize the Burmese junta since the coup in 2021. Instead, its officials like UN rapporteur Tom Andrews are working assiduously to bring it to an end.
The controversial regulation regarding foreign Burmese workers was made by General Min Aung Hlaing in September 2023.
Last month, the military dictator in all but name seized the Burmese Presidency. The incumbent is reported to be mentally ill.
Therefore, Burmese citizens who want to stay in Thailand and work legally are facing a dilemma.
In effect, they must show that they have remitted 25% of their income this year to CB Bank in Yangon.
Otherwise, they will not be issued the required documentation to secure the corresponding Thai government approval.
Burmese workers in Thailand see the new regulation as ‘theft’ perpetrated by an illegal authority. In effect, treating Burmese nationals in Thailand as slave labour.
New ‘theft’ regulation affects Burmese workers seeking documentation renewal to work legally in Thailand
This week, this was announced by the Burmese Ministry of Labour, in particular relating to Burmese workers renewing documentation in Myawaddy in Kayin state and Kawthaung near Burma’s border with Ranong province.
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At length, the minimum amount to be transferred under the order is ฿6,000.
Burmese workers feel that this is essentially an effort by the Burmese junta to tax them.
As well as the loss of value by transferring through the failed Burmese financial system in the wrong direction, there is also the fear of a tax assessment by the desperate junta, which is running low on cash.
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Further reading:
Burma’s General Min Aung Hlaing suffers more setbacks as his regime moves towards collapse
Myanmar Junta meltdown threatens to end Bangkok’s condominium sales boom as Kyat currency fails
Tyrant of Nay Pyi Taw’s days are numbered as Karen soldiers burn the hated Myanmar flag in Myawaddy
Outgoing Foreign Minister defends his two days of regional dialogue with Myanmar held in Pattaya
Hated Burmese junta regime seeks peace talks as its grip on power across the country unravels
Bangkok sends delegation to meet Myanmar’s pariah junta regime in its eerie capital Nay Pyi Taw
UN official slams ‘Distorted’ international response to Myanmar after Horrific junta atrocity
Myanmar’s junta crumbles along with Russia’s war in Ukraine as US progresses in the Indo Pacific