Running with the hare, hunting with the hound, Thailand looks at strengthening Baht Yuan ties

[webfact]

Bank of Thailand Governor Sethaput Suthiwartnarueput announced in recent days that talks are taking place between the central bank and its Chinese counterpart, the People’s Bank of China, about stronger ties between the Baht and Yuan in relation to settlement arrangements between China and Thailand. 

 

by Joseph O' Connor

 

The rising clamour of a world heading into conflict is making its presence felt on media channels with talk of de-dollarisation as the coming conflict is portrayed to be a battle for dominance between the existing US-led world order that has kept the peace since 1945 while trying to foster a better world and another bloc of authoritarian or troubled states who sense American weakness while being challenged by a principled international foreign policy being pursued ardently by the Biden White House that puts democracy and human rights ahead of business as usual while insisting on upholding the international rule of law. Sooner or later Thailand must choose between the two. 

Thailand’s Bank of Thailand announced this week that it will hold talks with the People’s Bank of China about a stronger Yuan Baht settlement arrangement as speculation grows about de-dollarisation in an agenda being openly and aggressively pushed by China and Russia through their propaganda networks as the world hurtles towards either a geopolitical conflict or at the least, a world economy divided between two blocs.

 

Thailand has long played a game of ‘running with the hare and hunting with the hound’ between great powers but the time is drawing near when a choice will have to be confronted as the United States pursues an economic policy in the Indo-Pacific which is actively political in nature with external circumstances, especially concerning Taiwan and China’s more assertive posture, pointing to increased potential for conflict and economic disruption.

 

Full story: https://www.thaiexaminer.com/thai-news-foreigners/2023/05/01/thailand-closer-baht-yuan-ties-dedollarisation-world-conflict-china-us/

 

-- © Copyright Thai Examiner 2023-05-02

 

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[pegman]

The USA's bullying routine is as old and worn out as Biden is. This story looks like it was written by the USA State Dept. Pot calling kettle black as far as propaganda goes. 

[Pique Dard]

1 hour ago, webfact said:

as speculation grows about de-dollarisation in an agenda being openly and aggressively pushed by China and Russia through their propaganda networks

"aggressivelly pushed.., propaganda networks"? yeah for sure, meanstreams mass media would never aggressivelly pushed ...and never would they  add themselves to propaganda

[Gknrd]

Curious to see how this goes. With Japan having the most advanced fleet in the region and allied with the US , Australia letting the US use its soil for B-52's and intel. China rattling its sabers. Last time I heard China is threatening Australia with Armageddon.  Wow.  The US and China are building up for a full scale war.  

Which ever side Thailand goes with you retiree's better hope they pick the right side for your nationality.

Edited May 1, 2023 by Gknrd

[hotchilli]

3 hours ago, webfact said:

Thailand’s Bank of Thailand announced this week that it will hold talks with the People’s Bank of China about a stronger Yuan Baht settlement arrangement as speculation grows about de-dollarisation

Thailand changing camps?

[topt]

3 hours ago, hotchilli said:

Thailand changing camps?

You mean as opposed to sitting in the middle and trying to make money off both sides.......

[hotchilli]

10 minutes ago, topt said:

You mean as opposed to sitting in the middle and trying to make money off both sides.......

Thailand does a great job of sitting on the fence,and coming down on one side or the other when it suits.

As for China becoming the next economic super power within this decade I think it's a reality.

They've been setting up the master plan for the last 30 years while USA has been busy doing other stuff abroad, and destroying themselves at home.

Biden must have been a god send for Xi... he must be laughing his head off.

[h90]

Wasn't it USA who froze Russias Dollar assets and excluded them from the Swift network....and did the same with the Iran before?
So the USA is pushing the de-dollarization by excluding large parts of the world, which than trade differently

[h90]

23 minutes ago, topt said:

You mean as opposed to sitting in the middle and trying to make money off both sides.......

which is a wise thing to do for a small country

[h90]

9 minutes ago, hotchilli said:

Thailand does a great job of sitting on the fence,and coming down on one side or the other when it suits.

As for China becoming the next economic super power within this decade I think it's a reality.

They've been setting up the master plan for the last 30 years while USA has been busy doing other stuff abroad, and destroying themselves at home.

Biden must have been a god send for Xi... he must be laughing his head off.

Biden is extreme on it, but more or less the USA is doing the same for decades...only wiser presidents didn't use the Dollar as weapon as you can do it only once....better your enemy trade with Dollar than with their own money....It is not all Bidens fault....Only he handles it as great as the Afghanistan withdraw.....
Historical when empires loose their power they also get such bad politics.

[topt]

1 hour ago, h90 said:

which is a wise thing to do for a small country

Unless they then get swallowed up by a neighbouring country............

But otherwise probably.

[Burma Bill]

9 hours ago, webfact said:

about a stronger Yuan Baht settlement

One Yuan - Chinese "junk" money???

 

[h90]

2 hours ago, topt said:

Unless they then get swallowed up by a neighbouring country............

But otherwise probably.

Austria did that very successful for decades, Switzerland for centuries. If you play it right the other side helps you when one tries to get too much influence.
But with the warmongering it get more dangerous. If Thailand get boycott from one side it is done....

[John Drake]

I believe Xi is closing off China gradually. He doesn't care about FDI. He no longer cares about stealing foreign designs. He has enough already. His concern is to prepare for expansion, armed or otherwise. Thailand may be buying a pig in a poke. Wouldn't be the first time.

[aussienam]

Social media influencers being paid for and/or pro CCP influencers (CCP shills) have been saturating social media sites with the 'De-dollarisation' narrative. 

 

It is being heavily promoted of course by CCP and Russia (surprise surprise).  

 

Chinese Yen is currently only 2.6% of global currency trade.  Even the Aussie dollar has a higher exchange at 3.38%!  USD is over 44%. 

 

So, despite the Chinese economy being the second largest in the world by GDP, the Yuan only makes up 2.6% of global currency trade.  The vast majority of commodities are traded in USD.  USD is still preferred as a safe haven over Chinese Yuan.  

 

The Chinese propaganda machine is at play here IMO and the opinion of many others.  If you say something enough, then people start to believe it's true, even if it isn't.  (Pro CCP or the usual anti-US posters I expect some vitriolic outburst here from you, maybe a 'Sheeple' comment LOL).  

 

I'd rather keep and trade via USD than trust it in a currency where it's governed by a rogue, non-transparent, communist government, where they shut down overly successful businesses, where there has been a mass exodus of foreign companies since COVID.  And look at their ghost cities, collapsing buildings, bankrupted construction companies. Smoke and mirrors. 

 

US is far from perfect.  But at least it is democratically run and more transparent.  

 

If Thailand want to follow in footsteps of developing nations like Brazil, then so be it.  I am hoping if it does that I will benefit from a better exchange rate in the future. 

 

Interesting perspective on YouTube Laowhy86. 

[Gknrd]

2 hours ago, aussienam said:

Social media influencers being paid for and/or pro CCP influencers (CCP shills) have been saturating social media sites with the 'De-dollarisation' narrative. 

 

It is being heavily promoted of course by CCP and Russia (surprise surprise).  

 

Chinese Yen is currently only 2.6% of global currency trade.  Even the Aussie dollar has a higher exchange at 3.38%!  USD is over 44%. 

 

So, despite the Chinese economy being the second largest in the world by GDP, the Yuan only makes up 2.6% of global currency trade.  The vast majority of commodities are traded in USD.  USD is still preferred as a safe haven over Chinese Yuan.  

 

The Chinese propaganda machine is at play here IMO and the opinion of many others.  If you say something enough, then people start to believe it's true, even if it isn't.  (Pro CCP or the usual anti-US posters I expect some vitriolic outburst here from you, maybe a 'Sheeple' comment LOL).  

 

I'd rather keep and trade via USD than trust it in a currency where it's governed by a rogue, non-transparent, communist government, where they shut down overly successful businesses, where there has been a mass exodus of foreign companies since COVID.  And look at their ghost cities, collapsing buildings, bankrupted construction companies. Smoke and mirrors. 

 

US is far from perfect.  But at least it is democratically run and more transparent.  

 

If Thailand want to follow in footsteps of developing nations like Brazil, then so be it.  I am hoping if it does that I will benefit from a better exchange rate in the future. 

 

Interesting perspective on YouTube Laowhy86. 

From the little I have read about it. The CCP has a very closed monetary system. No matter what the propaganda is you have to open up to be a world currency. Last time China tried that, money flowed out of China so fast they has to stop it. Until China opens up its currency it will never be a world currency. Period!  And I personally never see that happening. 

[Adumbration]

I have been warning of this conflict for years on this forum.  I was ridiculed endlessly.

 

When the conflict kicks off at best expat visas will be cancelled and at worst we will be rounded up.

 

It is perflectly clear that the current regime will side with China.

[zzaa09]

So many, currently, jumping on the very solid and secure BRICS bandwagon......wouldn't surprise me to see Thailand joining in. 

[Adumbration]

13 hours ago, hotchilli said:

As for China becoming the next economic super power within this decade I think it's a reality.

Lots of smart people are predicting total economic collapse of China in the same period.  The country has an inverted population pyramid and that means there is no one to do the work required to keep things running let alone become an economic super power.

 

https://www.populationpyramid.net/china/2023/

 

[garyk]

6 hours ago, zzaa09 said:

So many, currently, jumping on the very solid and secure BRICS bandwagon......wouldn't surprise me to see Thailand joining in. 

 

I agree, I think bitcoin will be their currency.  And the next world currency. 

Actually I heard from a very credible source that FTX was going to be the company, and Samuel Benjamin Bankman-Fried  was going to spear head the operation.

 

 

 

Edited May 2, 2023 by garyk

[sidneybear]

9 hours ago, zzaa09 said:

So many, currently, jumping on the very solid and secure BRICS bandwagon......wouldn't surprise me to see Thailand joining in. 

Thailand sent its minister of finance to a recent BRICS summit and has expressed interest in joining. 

 

https://www.silkroadbriefing.com/news/2022/11/09/the-new-candidate-countries-for-brics-expansion/