The United States on Wednesday imposed sanctions on Myanmar’s protection ministry and two banks utilized by the ruling navy junta to purchase arms and different items from overseas sources.

The U.S. Treasury Department mentioned in a press release the navy has relied on overseas sources, together with Russian entities below sanctions, to buy and import arms, gear and uncooked supplies to fabricate weapons to assist its “brutal repression”.

Washington accused the protection ministry of importing items and materiel value no less than $1 billion because the 2021 coup during which the navy leaders seized energy.

State-owned Myanmar Foreign Trade Bank (MFTB) and Myanma Investment and Commercial Bank (MICB), had been additionally hit with sanctions. The Treasury mentioned they allowed revenue-generating state-owned enterprises, together with Myanma Oil and Gas Enterprise (MOGE), entry to worldwide markets.

The banks obtain and transmit foreign currency for Myanmar’s authorities.

“Burma’s military regime has leveraged state-run access to international markets to import weapons and materiel, including from sanctioned Russian entities, to continue its violence and oppression,” the Treasury’s Under Secretary for Terrorism and Financial Intelligence, Brian Nelson, mentioned within the assertion.

The United States and different Western nations have imposed a number of rounds of sanctions on Myanmar’s navy leaders since they seized energy in a coup in 2021, overthrowing the democratically elected authorities led by Aung San Suu Kyi and killing 1000’s of opponents in a crackdown.

A spokesman for Myanmar’s navy junta forward of the announcement mentioned it was not fearful about any new sanctions.

Zaw Min Tun informed the state media channel MWD on Tuesday the nation has skilled sanctions earlier than and they won’t face losses if there are new ones on Myanmar state-owned banks.

He mentioned the United States was “just doing this to cause difficulties in economics and politics”.

“These kinds of things will cause unnecessary delays while we walk towards the multi-party democratic system.”

The Bangkok Business News, cited Thai sources as saying the sanctions would hit Thailand and different nations within the area financially due to their connections with native banks.

The U.S. Embassy mentioned it had common conversations with the Thai authorities on Myanmar together with easy methods to mitigate the influence of any sanctions on Thailand or different nations.

Experts say the sanctions on the banks, whereas wanting concentrating on gasoline initiatives which might be a giant income for the junta, may have an effect on the junta’s skill to fund its conflict towards ethnic teams and insurgencies.

A February report by marketing campaign group EarthRights International mentioned the 2 banks had been the Myanmar authorities’s “foreign currency treasuries” and had been now below junta management.

It mentioned the junta relied on overseas forex to purchase jet gas, components for small arms manufacturing, and different provides that might not be purchased with the Myanmar kyat, EarthRights mentioned.

“As a result, sanctions against MFTB and MICB could contribute substantially to cutting off the junta’s access to foreign currency, especially if combined with strong enforcement,” it mentioned.