Business leaders concerned over baht appreciation

[snoop1130]

Business leaders concerned over baht appreciation

By The Nation

 

The Joint Standing Committee on Commerce, Industry and Banking on Wednesday called on the government to address an appreciation in the value of the baht and expressed concerns about its negative impact on exports.

 

The committee said the baht rose to Bt32. 55 per dollar during late-November, its highest level in 31 months and a 9.7 per cent rise since the end of last year. 

 

“Looking forward, the rising baht could hurt competitiveness of exporters,” the committee said. 

 

The baht appreciation, it added, stemmed from uncertainty caused by US tax reforms and short-term capital flows into the Kingdom. 

 

The government should address the issue of short-term capital inflows, the committee suggested, while small and medium-sized businesses should buy insurance to hedge against the currency appreciation. 

 

The committee, however, still expected exports to expand 9 per cent this year from the 6.5-7.5 per cent projected previously. 

 

The economy, it said, could expand 3.7-4 per cent after higher-than-expected growth of 4.3 per cent in the third quarter of this year.

 

Source: http://www.nationmultimedia.com/detail/Economy/30333327

 

-- © Copyright The Nation 2017-12-6

[darksidedog]

They ought to be concerned over the impact it has on the tourism industry. I know lots of people back home, who won't come here with the Pound and Euro so poorly priced. That is leaving those reliant on tourism bemoaning the fact that the Chinese just don't spend money enjoying themselves the way Europeans, Aussies and Americans do.

[topt]

1 hour ago, snoop1130 said:

Business leaders concerned over baht appreciation

They are not the only ones.........

[connda]

Have they ever considered that it's not necessarily a rising baht but the USD, Euro, GBP falling? 

[yellowboat]

It is funny how Thai history is on an endless loop repeating itself.  The last junta let the same thing happen. 

[tryasimight]

11 hours ago, yellowboat said:

It is funny how Thai history is on an endless loop repeating itself.  The last junta let the same thing happen. 

Not the only thing on an endless loop

[tracker1]

13 hours ago, connda said:

Have they ever considered that it's not necessarily a rising baht but the USD, Euro, GBP falling? 

Please dont forget the Ozzie Dollar the arse is falling out of it also !

[Srikcir]

14 hours ago, connda said:

Have they ever considered that it's not necessarily a rising baht but the USD, Euro, GBP falling? 

Does it really matter as to the cause for monetary inflation?

Yes, exports have been increasing but how much of that increase in export value is related to a more expensive baht? At some point a decrease in export demand could exceed the value of export receipts and slow export growth.

What matters is doing something about the baht appreciation and for almost a year now nothing has been done.

[Grumpy Duck]

Today I was having a discussion with a total stranger from the US. He seemed quite informed about financial business. I studied the causes and effects of the US great depression in college.  

One of the big problems was an artificialy robust stock market, with a starving workforce record products rotting in warehouses as no workers could afford to buy them. 

Banks and corporations were busy consolidating buying each other out. 

 

For some time I have been watching similarities between now and then. 

I notice a similar record high in the stock market now when there shouldn't be. I claim it was artificially stimulated by CEO's manipulating statistics for the profit of themselves and stock holders.  

 

The individual claimed the data was not artificially stimulated but the prices were rising as the value of the US dollar is plummeting. This is affecting currencies world wide. The base for most currencies is the Dollar. When we need money, we just monetize the debt,  (just print more money) He stated  Communist China and other nations holding US debt are preparing a return to the gold standard. 

 

What I see in the poor conversation rates means I have less money to spend. By my calculations I have $188 less to spend each month due to exchange rate alone. I doubt I am the only one so affected. 

[KBsinter]

9 hours ago, Grumpy Duck said:

Today I was having a discussion with a total stranger from the US. He seemed quite informed about financial business. I studied the causes and effects of the US great depression in college.  

One of the big problems was an artificialy robust stock market, with a starving workforce record products rotting in warehouses as no workers could afford to buy them. 

Banks and corporations were busy consolidating buying each other out. 

 

For some time I have been watching similarities between now and then. 

I notice a similar record high in the stock market now when there shouldn't be. I claim it was artificially stimulated by CEO's manipulating statistics for the profit of themselves and stock holders.  

 

The individual claimed the data was not artificially stimulated but the prices were rising as the value of the US dollar is plummeting. This is affecting currencies world wide. The base for most currencies is the Dollar. When we need money, we just monetize the debt,  (just print more money) He stated  Communist China and other nations holding US debt are preparing a return to the gold standard. 

 

What I see in the poor conversation rates means I have less money to spend. By my calculations I have $188 less to spend each month due to exchange rate alone. I doubt I am the only one so affected. 

No you are not, I am on same loss structure as your self................

[morrobay]

9 hours ago, Grumpy Duck said:

 By my calculations I have $188 less to spend each month due to exchange rate alone. I doubt I am the only one so affected. 

OK  this is a quiz : given 32.5 B/$ now and 35 B/$ before what is Grumpy Duck's monthly income in dollars? show work