Myanmar central bank refutes rumors about bank closure

The Central Bank of Myanmar (CBM) has refuted rumors about impending closure of some banks triggered by withdrawal of saving by large number of customers.

The central bank, in its statement released on Wednesday, denied that it has plan to shut down some banks, pointing out that stories circulating about bank closure are just rumors.

The release assured that the CBM will fully provide necessary assistance in accordance with law if a bank run happens to private banks.

Deputy governor of the CBM U Set Aung reiterated that the CBM would lend money to any bank during a run on deposit if the bank was unable to acquire additional cash elsewhere.

Rumors about the bank closure have been spreading on social media for several days in the wake of leadership changes with the ruling Union Solidarity and Development Party (USDP), leading to rushed withdrawal of saving by some depositors.

Internet rumors about possible bank closure had been frequent since late 2010 following significant events in the country.