Ministry issues new measure on strong baht

[webfact]

Ministry issues new measure on strong baht

By The Nation

 

File Photo: Finance Minister Uttama Savanayana

 

Finance Minister Uttama Savanayana said on Thursday (February 6) that exporters could park more of their money abroad as the latest measure to curb appreciation of the Thai currency.

 

Exporters will be allowed to keep a larger amount of their profits in overseas accounts, up to one million dollar from the $200,000 currently allowed, he said.

 

It will lower cost for exporters and at the same time lessen pressure on the baht's appreciation as exporters need not repatriate large sums of money back to the country. 

 

It will also lead to more balance between capital outflows and inflows, he said.

 

The baht gained 8 per cent against the US dollar last year. 

 

The currency was highly volatile in the first month of 2020, moving past the Bt30/dollar level and retreating below Bt31. 

 

It weakened at the outbreak of the coronavirus, but has since regained strength.

 

At the close of trade on Thursday, the weighted-average interbank exchange rate stood at Bt31.078/ dollar, compared with Bt30.110 on January 2, the first day of trade this year, according to the Bank of Thailand. 

 

High current account surplus and slowing investment were blamed for the strong baht.

 

Source: https://www.nationthailand.com/business/30381717

 

-- © Copyright The Nation Thailand 2020-02-07

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[smedly]

3 hours ago, webfact said:

Finance Minister Uttama Savanayana said on Thursday (February 6) that exporters could park more of their money abroad as the latest measure to curb appreciation of the Thai currency.

I'm going to explain this double talk in plain English

 

Buy foreign currency quick because the Thai baht is about to go through the floor

 

and I'm not joking - this is what he is saying

[Emdog]

"Doctor... DOCTOR!... the baht is getting stronger and weaker!"

[Isaan sailor]

Baht up 8% on USD last year.  So now let’s see Baht retreat 8% this year.

Tourism, exports and exports have all suffered greatly.

[30la]

4 hours ago, webfact said:

Finance Minister Uttama Savanayana said on Thursday (February 6) that exporters could park more of their money abroad as the latest measure to curb appreciation of the Thai currency.

Again a great help for the already rich!

[lazygourmet]

19 minutes ago, 30la said:

Again a great help for the already rich!

Reason why Central group is investing massively all around Europe. 

[Matzzon]

8 hours ago, webfact said:

interbank exchange rate stood at Bt31.078/ dollar, compared with Bt30.110 on January 2

How can that be a sign of that the baht regained strength????

[Scott Tracy]

Sometimes I wish they knew what they were talking about. But only sometiimes. I need a chuckle now and then.

[sscc]

Personally thinking that this announcement had came 6 months too late. 

 

The current pointer is high chance of weaker Baht  in year 2020. 

[thaibook]

Are exporters allowed to keep abroad up to $1 million of profits or of sales proceeds. and is this per year (chicken feed) or per transaction?  I am not sure if the utter woolliness of the report is due to the official or simply that the reporter doe snot understand.