The UK government has suspended financial aid to Myanmar's military amid "ongoing violence" in the country, formerly known as Burma.
Violence in the Rakhine state has seen more than 400,000 Rohingya Muslims flee to neighbouring Bangladesh.
The Ministry of Defence said it had suspended £300,000 of funding until the current situation was resolved.
The UN's human rights chief has said the violence "seems [like] a textbook example of ethnic cleansing".
The £300,000-a-year was used to fund educational courses for the country's military.
On Monday Foreign Secretary Boris Johnson said: "I have spoken to [Ms Suu Kyi] several times since this whole disaster began, and it is barbaric what is happening to the Rohingya, there can be no doubt about it.
"I think, what everybody wants, we want the killing to stop, number one, and that's a message I've given her."
Access to the Rakhine region is restricted by the state, meaning that journalists are only allowed into the area on government-controlled trips.
In a speech to Myanmar's parliament on Tuesday, Ms Suu Kyi said Rakhine would allow refugees back in to the region, after a "process of verification".
Rohingya Muslims are referred to as Bengali Muslim's by the government, and are denied citizenship and equal opportunities by the government.