Photo: Winline The shadow government of Myanmar The Government of National Unity of Myanmar (NUG), a democratic group opposed to the February 1 military coup and subsequent military rule in the country, is seeking to raise US$1 billion through “government bonds”. “It plans to issue through foreign banks, Nikkei Asia wrote. According to NUG’s announcement on November 4, raising funds will support it to become Myanmar’s “legitimate government” because the military is currently facing large-scale international sanctions. Economic issues,…
The shadow government of Myanmar The Government of National Unity of Myanmar (NUG), a democratic group opposed to the February 1 military coup and subsequent military rule in the country, is seeking to raise US$1 billion through “government bonds”. “It plans to issue through foreign banks, Nikkei Asia Write.
According to NUG’s announcement on November 4, raising funds will support it to establish its status as the “legitimate government” of Myanmar, because the military is currently facing huge economic problems caused by international sanctions, local currency devaluation, and freezing. Shortage of bank accounts and foreign currency, coupled with the poorly managed Covid-19 crisis.
NUG said that in addition to issuing bonds, it will also start selling “national lotteries” and collect income tax and corporate taxes from citizens and businesses. Officials pointed out that funds raised through bond issuance and other methods will be used to support those who have lost their jobs due to participation in the resistance movement.
Two-year zero bond
The US dollar-denominated notes with a total value of US$1 billion will be issued in the form of zero bonds in mid-November, with a redemption period of two years, mainly for influential investors among the Burmese diaspora. NUG did not mention which foreign financial institutions will participate in the transaction.
NUG urges citizens and businesses to pay taxes to NUG online instead of paying taxes to military authorities. Of the expected income, US$800 million is earmarked for health care, education, and humanitarian assistance.
Lottery as a means of funding opposition
The planned sale of NUG-supported lottery tickets is another sign of civil disobedience, as the people of Myanmar are encouraged to stop buying government-issued lottery tickets, which will raise funds for the military.
The Burmese military government has designated NUG as a “terrorist organization”, but this has not weakened the strong resistance of the country’s citizens seeking democracy.
