Rising Baht Sparks Fears of Another 'Tom Yam Kung' Crisis

[chiang mai]

48 minutes ago, Enzian said:

Is it possible the BOT is not concentrating on inflation, but rather on discouraging borrowing and reducing the amount of household debt--something that the banks themselves should be doing through their underwriting practices but aren't doing very well? Also, higher--or rather, historically normal--rates should encourage saving in preference to consumption, which would improve household balance sheets. I can't see these current rates leading to deflation; I suspect it would take stronger medicine for that.

I think Thai rates weren't cut because doing so would mean even greater capital outflows and further decentivise capital inflows.

[JackGats]

I don't wish for the baht to become too weak. A strong baht keeps the cheap hordes away.

[baansgr]

11 hours ago, chiang mai said:

International Tourism is not Thailand's bread and butter, exports is, Tourism is nothing more than an additional course in the meal that helps with Consumer Spending at the grass roots level. International Tourism is 12% of GDP on a good day, exports is around 60%.

 

Also, can you show us how and where this manipulation of THB takes place, lots of people say it exists but nobody yet in over two decades on this forum has been able to say how and where! On the other hand, the map of USD/THB compared against DXY explains the THB rises and falls nicely.

Tourism GDP has been discussed till death many times and it's really 30%

[3NUMBAS]

12 hours ago, chiang mai said:

It's the nickname for the Asian Crash on 1997

Yeah 100 baht to the pound it was great

[chiang mai]

25 minutes ago, baansgr said:

Tourism GDP has been discussed till death many times and it's really 30%

Domestic and International, 22% combined at best, unless you can prove otherwise.

 

Domestic = 9%

International = 12%