Hotel room rates are increasing as scammers fleeing telecom scam operations, locally known as Zhapian gangs from Karen State’s border areas with Thailand move into hotels and guesthouses in Hpa-An, the state capital.

The junta’s aggressive crackdown on telecom scam hubs in Myawaddy and Shwe Kokko towns in Karen State’s Myawaddy Township between October and November 2025 prompted many scammers to flee to Hpa-An, triggering a sharp rise in hotel rates.

“Those fleeing to Hpa-An include both Chinese nationals and holders of Shan State ID cards. Before this, hotel rooms cost around 150,000 MMK per day, and guesthouses were about 50,000 MMK. Now, prices have roughly doubled,” said a Hpa-An resident.

Most of those currently staying in hotels in Hpa-An are Chinese telecom scam operators, and their presence has made it difficult for tourists without advance reservations to find available rooms during the peak season.

“Domestic tourists from places like Yangon and Mandalay now have to book their rooms at least a week before coming to Hpa-An. If they only start looking after they arrive, it’s very hard to find a room. Most Chinese people rent hotel rooms for an entire month,” said a local hotel owner.

Karen State tourism sources said there are currently about 60 hotels and guesthouses in Hpa-An. Among them, hotels such as Zwekapin and Kantharyar are now hosting large numbers of telecom scam operators. Some hotels are also accommodating suspected scam ringleaders, who have hired armed guards.