APRG begins recruiting bankers to launch its own banking system in Rakhine territories it controls

Paw Htun for Mizzima

The Arakan People’s Revolutionary Government (APRG) opened applications on 30 June for 26 banking professional positions — including three township managers, three assistant township managers, and 20 marketing personnel — to launch its own banking system in the areas of Rakhine State it controls, according to a recruitment announcement.

Candidates can apply to the Arakan Public Service Commission until 11 August.

The recruitment marks the latest step in the APRG’s drive to expand self-administration mechanisms across its controlled territory, with the banking system intended to serve as the foundation of a regional financial apparatus.

A source close to the APRG told Mizzima, “A financial circulation system is essential to revive the local economy and trade. Therefore, the banking mechanism is being prepared to stabilize the socio-economic life of Rakhine citizens and support regional development.”

Banking operations under the military junta in Rakhine State were suspended amid clashes in late 2023 and 2024, and the APRG is now working to rebuild the financial system under its own administrative framework.

A local resident from Mrauk-U Township told Mizzima, “Previously, the closure of banks made money transfers and business operations extremely difficult. We hope the restoration of a banking system will greatly benefit locals and merchants.”

However, the APRG has not yet said what services the new system will offer, how deposits will be secured, or under what legal framework it will operate.

The Arakan Army (AA), Rakhine State’s dominant ethnic armed group, currently controls numerous townships in the state and is expanding administrative, judicial, taxation, and other civil governance mechanisms. The move into banking marks another step in extending that administration into the economic and financial sectors.

As of 2026, the AA and APRG administration maintain full control over 15 townships, including Paletwa Township in Chin State and 14 townships in Rakhine State.

While judicial and territorial security have been largely established, economic challenges persist — a tax system is now being applied to commodity flows, transport routes, and business owners.

Border trade along routes connecting Bangladesh and India has dropped well below normal levels due to transportation blockages, forcing reliance on informal routes.

Standard private banking services connected to the central bank are no longer operational in the region, which now relies primarily on mobile financial platforms such as KPay and Wave Money, as well as informal money transfer networks known as hundi, to manage cash flow.

Commenting on a revolutionary government establishing its own banking system, a banking expert said, “For a banking system to operate successfully in the region, in addition to technology and skilled human resources, public trust is paramount.

Systematically recruiting township managers and marketing staff is a promising start. However, central bank policy, exchange rate stability, and the ability to connect and transfer funds with neighbouring countries and other regions will pose major challenges to the sustainability of this banking enterprise.”