Expats feeling the pinch as GBP sinks to an all time low against the THB

[RichardColeman]

This is exactly why it's good to have a Thai wife - 1000 quid was a while back was 47,000 baht. Now its 37,000. Send my wife out to work - 10,000 min salary,  makes up the difference, Job done.

[Bangkok Barry]

5 hours ago, PremiumLane said:

What you get when the nation (UK) gets hoodwinked and taken over by a bunch of right wing lunatics, who have no idea what they are doing and rely solely on hyperbole, bluster and outright bs

 

This isn't really a thread about Brexit so I appreciate it might be removed, but it is of course related. David Cameron should never have left the decision of such an historic and far-reaching move in the hands of the people, most of whom were ignorant of the details of what it would mean to leave, and all of whom were mislead about what the consequences might be by politicians who had little or no idea themselves.

 

The fact that there was a vote to leave clearly caught many people by surprise, hence the immediate large drop in the pound once the result was announced. Cameron was totally ignorant or totally ignored the NI border problem which was and is insoluble without the strong possibility of grave consequences, and he also failed to set a minimum level for a majority needed to make the change.

 

The fall of sterling since, and especially now as a no-deal comes closer, simply reflects what most business people in the UK feel, that it will severely damage the economy. It has already cost billions in preparation. Even more than bending 'to the will of the people', a governments job is surely to protect the security and wealth of the country, and it is failing.

 

And Brexit hasn't even happened yet.

[john west]

5 hours ago, stillhereandlovinit said:

Great for going back to the UK for an holiday though ✈️

Well, yes partly but one still has to pay THB from this end to pay for flights and the very little amount I have full stop in Sterling and yes 1 pound would equal one pound, but probably buy a lot less.

[marcusarelus]

4 minutes ago, Thaidream said:

I would be interested in what would be the driving force behind such a thing and  what level do you see the US Dollar-Baht level while this is going on.  IMO a Brexit deal will help the Pound and Dollar and Euro but  unless Thailand  allows it's central bank independence- it can only get worse.  The Thai Central bank is doing nothing  to help /

You want the Thai central bank to bail out the UK?

[john west]

3 minutes ago, RichardColeman said:

This is exactly why it's good to have a Thai wife - 1000 quid was a while back was 47,000 baht. Now its 37,000. Send my wife out to work - 10,000 min salary,  makes up the difference, Job done.

That is not easy for sure and that much. You very lucky if you can.

[gearbox]

1 hour ago, peterb17 said:

Sadly- it is not a small amount of money by Western standards- even though the UK is the fifth largest economy- 25% of adults have no savings .

£30000 is a vast amount of money to many many families in the West.

All Western countries ( and absolutely including the USA ) have swathes of their populations who live just about from week to week- many rely on cheap credit just to survive .

 

One presumes that you are a member of the 1% ? 

I haven't tried to classify myself in any percentage, but I thought at least for the Aussies there would be rarely anyone above 55 which has less than 1 mil AUD net worth. 800k baht out of 1 mil would be 4%,  surely not a big amount of money to lose sleep about?

 

Having said that I would say I'm Cheap Charlie and would try to avoid to put in 800k baht for a visa here. So far O-A obtained in Australia seems for me the way to go. 

[mrfill]

20 minutes ago, Percy P said:

Is a cow born in a stable is not a horse.

English, Irish Scottish and Welsh people are British no connection with Europe except that were white skinned .

The English call themselves proud Anglo-Saxons. That's Angles from Northern Germany and Saxons from Southern Germany. The Scots, Welsh and Irish are Celts and Norse who originate from Northern Europe and Scandinavia respectively. Up to 8000 years ago the UK was physically joined to the European mainland.

Brexit - where dreams and reality get very confused....

[dunroaming]

20 minutes ago, maddermax said:

I can remember when it was Baht 70 to the GBP. But then again, I'm an old fart!

I can remember when it was higher than that and I am an old fart too!

[MarkyM3]

29 minutes ago, Percy P said:

Is a cow born in a stable is not a horse.

English, Irish Scottish and Welsh people are British no connection with Europe except that were white skinned .

Possibly one of the stupidest comments I've ever seen on this forum and that's saying something for ThaiVisa lol.

[dunroaming]

4 minutes ago, mrfill said:

The English call themselves proud Anglo-Saxons. That's Angles from Northern Germany and Saxons from Southern Germany. The Scots, Welsh and Irish are Celts and Norse who originate from Northern Europe and Scandinavia respectively. Up to 8000 years ago the UK was physically joined to the European mainland.

Brexit - where dreams and reality get very confused....

I was born and bred in the UK and I am proud to be a European.

[Isaan sailor]

Bank of Thailand keeps high interest rates, to continue attracting foreign hot money.  And it looks like many share the hot money spoils.  They promised to help—but it didn’t work. Say adios to tourism and exports, BoT.

[Nong Khai Man]

5 hours ago, keith101 said:

David id lucky mine has gone from around 50,000 down to just over 36,000 and if it keeps sliding possibly wont make the requirement for immigration the only possible saviour will be the bi-annual increase to the pension in September .

Keith, What's This Bi-Annual Increas in September ?? My U.K State pension has been exactly what I Started on 5 1/2 Years Ago.....I've had NO Increases HERE Whatsoever.....Is That only given to you if you live in The U.K ??

[marcusarelus]

Just now, dunroaming said:

I was born and bred in the UK and I am proud to be a European.

I always thought people who identified with a piece of land had a serious problem.

[IsaanAussie]

The issue here is the usd/thb is almost flat compared to the GBP/USD change. The baht trading volumes are tiny for the GBP and USD, less than 100 compared to 1350 GDP/USD at the right side of the graphs. The attached chart shows the percentage change this week the three crosses. 

So I suggest it is the USD causing the issue here not the baht.

GBP_THB FXStreet.pdf

[Thaidream]

4 minutes ago, Buddha Pist said:

No, the Thai central bank doesn't need to do a damn thing.

It doesn't set monetary policy to help low income foreigners or lure cheap charlie tourists - it sets monetary policy to benefit Thailand.

They're more concerned about household indebtedness than they are about a few million less tourists.

They can recover tourists easily - they can't build a new banking system easily.

Slow and steady, Bank of Thailand, slow and steady

The tourist industry  generates approx 20% of GDP and the  Export  sector  around 39% and thus employs huge numbers of people and thousands of small businesses.

 

While I agree household debt in Thailand is huge that is because  many people are poor and  the banks are allowing loans to people who cannot afford them to pump up the  economy and articicially manipulating the Thai Baht  due to inaction.  

 

The whole smoke and mirrors scheme will collapse once GDP declines; businesses go broke and unemployment hits the tourist and export sector and inflation starts to bite.

 

The Thai Central Bank doesn't need to interven to assist expats - it needs to intervene to assist Thais.

 

 

 

[Nong Khai Man]

5 minutes ago, dunroaming said:

I can remember when it was higher than that and I am an old fart too!

I Know YOU Are !!! Do you remember when it was in the Mid 90's......I Do....

[marcusarelus]

1 minute ago, Isaan sailor said:

Bank of Thailand keeps high interest rates, to continue attracting foreign hot money.  And it looks like many share the hot money spoils.  They promised to help—but it didn’t work. Say adios to tourism and exports, BoT.

So, the bank of Thailand promised to bail out the outlandish policies of the UK.  Well that's a new one, have they told Boris?  Thailand's tourism will be bigger next year than this and exports will be stable and the UK will be a third world country soon.  

 

Why not check google Thai currency floated in 1997 and is a free market currency the same as the pound and both's value is determined on the open market.   

[mrfill]

6 minutes ago, Nong Khai Man said:

Keith, What's This Bi-Annual Increas in September ?? My U.K State pension has been exactly what I Started on 5 1/2 Years Ago.....I've had NO Increases HERE Whatsoever.....Is That only given to you if you live in The U.K ??

No, there are a few countries where it is uprated, however the situation for Thailand is exactly the same as it has been for the last 70 years - no annual increase

[Andrew65]

22 minutes ago, fordguy61mi said:

Of course they won’t be gone, but it will stem the flow of unlimited migration that would ultimately ruin the country, not unlike what the US is experiencing. Keeping liberals out of office is the key to maintaining sovereignty of any country.

Lots have left already due to the weakness of the £ in relation to eastern European currencies.

 

The only thing being that it looks like an FTA with the India could come with mass-immigration from there. Mass immigration being one of the main reasons for the Brexit vote. They never mentioned it in the 1975 referendum on EEC membership. If they had of, as well as the subsequent loss of industry/jobs, people would've voted leave in '75.

[Andrew65]

39 minutes ago, Percy P said:

When I first came 40 years ago it was 45B/£. $ 25B/$

1985, my first time in Thailand it was 40/£ (25/$). A very good night out was had for 1,000-1,500 Baht! (Especially for a 20 year old).

[john west]

20 minutes ago, peterb17 said:

My reply was even by Western standards- £30000 is a considerable sum to many retirees- which is the context of this thread - not all of us spend their time pouring over spread sheets - looking for the latest investment opportunities ( probably taking advantage of the poorest on the planet, stripping out rain forests, looking for the latest in climate change crap, investing in very profitable companies who almost slaves sewing garments to feed the demands of the shareholders - let’s not get talking about the Chinese and their Investments who are totally destroying the environment in Laos. ) 

 

The corporations and China are ripping out the heart of SE Asia 

 

The ordinary people - the 1% like yourself - become more smug and richer .

IT  is a huge amount for especially the Thais and somewhat for the Westerners but we bring up Families and it is very expensive and in particular education and the really strong Baht is hitting the Thais very hard too and ordinary things seem to go up 100 per cent on one week alone.
No it is not a substantial amount of money in my view but a fair amount but it goes very quickly with a frozen pension and these pee poor exchange rates and we know why Sterling is so weak, but why is the Thai Baht so very high and yes it is against other currencies too. TOTAL MADNESS.

[dunroaming]

8 minutes ago, Nong Khai Man said:

I Know YOU Are !!! Do you remember when it was in the Mid 90's......I Do....

Yes, wasn't that around the late nineties and early noughties that it hit 90 for a while?  

[Black arab]

50 minutes ago, Percy P said:

Is a cow born in a stable is not a horse.

English, Irish Scottish and Welsh people are British no connection with Europe except that were white skinned .

You sre a true gammon.

[thirdleg]

31 minutes ago, brewsterbudgen said:

Indeed. But if he ends up having to compromise or extend Article 50, watch the £ rise. And if it seems revocation or a 2nd Referendum is on the cards, watch it soar. Be positive!

Sent from my SM-G930F using Thailand Forum - Thaivisa mobile app
 

No chance of a revocation or 2nd ref

[IsaanAussie]

Just now, john west said:

 but why is the Thai Baht so very high and yes it is against other currencies too. TOTAL MADNESS.

As I posted on the last page. The baht is holding its own against the USD. That is the issue, follow your currency against the buck and read the forecasts for a future clue. 

 

[Snow Leopard]

10 minutes ago, Thaidream said:

The tourist industry  generates approx 20% of GDP and the  Export  sector  around 39% and thus employs huge numbers of people and thousands of small businesses.

 

While I agree household debt in Thailand is huge that is because  many people are poor and  the banks are allowing loans to people who cannot afford them to pump up the  economy and articicially manipulating the Thai Baht  due to inaction.  

 

The whole smoke and mirrors scheme will collapse once GDP declines; businesses go broke and unemployment hits the tourist and export sector and inflation starts to bite.

 

The Thai Central Bank doesn't need to interven to assist expats - it needs to intervene to assist Thais.

 

 

 

Well said. The dollar will crash big time, Caused by the FED and QE. They have tried to get back some of the $4 Trillion they printed but cannot do it. The moment they raised interest rates in 2018 Wall Street started to slide. A massive crash is on the horizon that will make 2008 look like a storm in teacup. 

 

A Bank can be bailed out by Wall Street. Wall Street can be bailed out by the FED. The big question is, Who is going to bail out the FED. $ Bills are only paper and backed by nothing only confidence. 

[Odin Norway]

Any currancy is week to the bath,compared to any time before really.Latest time low bath was about 10 years ago.So its not only brits that can feel it now

[Andrew65]

2 minutes ago, Odin Norway said:

Any currancy is week to the bath,compared to any time before really.Latest time low bath was about 10 years ago.So its not only brits that can feel it now

...people from Australia and Euroland would disagree with you!????

 

The Euro is down 12% to the Baht in 1Y.

[marcusarelus]

4 minutes ago, Odin Norway said:

Any currancy is week to the bath,compared to any time before really.Latest time low bath was about 10 years ago.So its not only brits that can feel it now

Any currency has the same relationship with the baht as it did 5 years ago except the currencies that have a poorly operating government or other major problems effecting trade like the UK.  USD or most others are the same with the baht. 

 

The Baht and Pound and Dollar are all free traded.  The Brits are having a hard time coming to terms with Thailand being operated better than the UK in terms of monetary policy.  

Edited July 30, 2019 by marcusarelus

[kensisaket]

6 hours ago, Dmaxdan said:

There are many ways of stretching money to make it go further. You just need to learn and adapt...or go home. Whinging solves nothing.

I'm sure I am not the only one who would like in on your secret formula for "stretching" your income when it falls below the Thai minimum requirement to stay here.