British Pound Down The Sink

[Naam]

The exchange rate now is about the same as it was in 1990/1, I really don't see the problem. Better off here than in the UK in so many ways.

add that prices in UK skyrocketed whereas in Thailand everything became cheaper since 1990/91...

[Baerboxer]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

Sorry, but according to your argument, Thailand's economy should be suffering now with the EU and US problems and previous Chinese problems. Instead Thailand's economy has boomed. Can't see it getting worse as it prospered when the world was in recession. Thailand is a good place for investment because there aren't that many other places outside Asia to park the cash.

What are the foundations for the Thai economic miracle? Cheap uneducated labour and very protected home markets and industries. AEC will blow this away. Thailand does not have the fundamentals to respond to the changes to become an innovative, higher technology knowledge economy. There are some very choppy waters ahead.

Investors take advantage of the good interest rates and stock yields here. How long before a correction? Who knows.

You mean YOU don't know. The last few years has proven you wrong already.

Yeh - right. Please elaborate.

[Swiss1960]

I keep asking for suggestions for decent currency bets in that timeframe beyond Norway, Switzerland, Australia and Singapore, so far no one's piped up with any specifics.

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

Sounds like Switzerland. Not wanting to join the EU and take the positives and negatives - but "part of the economic zone" to try to cash in on any benefits.

Must be comforting to the Eurozone countries to know the Swiss banks are busy trying to manipulate the Euro for the benefit of Switzerland. Still got to manipulate something now they can't do the Libor, face pressure from the US on tax evaders, have to occasionally pay back some of the assests deposited by Nazi criminals.

I wonder if there is a S E Asian predatory country like this, just waiting to manipulate the ASEAN currencies to its own advantages??

You obviously have no idea about nothing, right?

* Switzerland is paying billions to the EU, EU Eastern Development, Schengen, EU research programs, just a few...

* Switzerland is paying to save the EU through the IWF (IMF International Money Fond) and facing loss of that money...

* Libor is a worldwide crime and (as one expample) loads of British banks have been involved... the Swiss banks only admitted pretty fast and paid the fines already, others are still negotiating...

* What the Swiss National Bank does is nothing less than the EZB (European Central Bank) does with buying all the crappy government bonds and printing money all day long in order to keep the Euro from collapsing. Protecting the economy is the main task of every Central Bank and has nothing to do with manipulation, as it was clearly stated...

* And of course Nazi money... show me one other country beside Switzerland and Germany, who did clear up their dark history the way those two countries did... then you can come back and discuss...

[mikebell]

This thread feels like deja vu all over again .....

I knew you were going to say that.

[super22k]

One of the problems is the British state pension.It is not index linked,so when we pensioners come to Thailand our pensions stay the same forever.Our pensions never go up as the cost of living rises.Pension officials say Britain has no agreement with Thailand to do this. So whatever your pension was when you entered Thailand,it will always be the same.Not rising as it does in the UK.

Most other countries have have an agreement that British pensions rise like they do in Britain.But not in Thailand.I think this is disgraceful.We are discriminated against by the British government because we live in Thailand.

Check it out.

[Card]

I keep asking for suggestions for decent currency bets in that timeframe beyond Norway, Switzerland, Australia and Singapore, so far no one's piped up with any specifics.

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

Sounds like Switzerland. Not wanting to join the EU and take the positives and negatives - but "part of the economic zone" to try to cash in on any benefits.

Must be comforting to the Eurozone countries to know the Swiss banks are busy trying to manipulate the Euro for the benefit of Switzerland. Still got to manipulate something now they can't do the Libor, face pressure from the US on tax evaders, have to occasionally pay back some of the assests deposited by Nazi criminals.

I wonder if there is a S E Asian predatory country like this, just waiting to manipulate the ASEAN currencies to its own advantages??

You obviously have no idea about nothing, right?

* Switzerland is paying billions to the EU, EU Eastern Development, Schengen, EU research programs, just a few...

* Switzerland is paying to save the EU through the IWF (IMF International Money Fond) and facing loss of that money...

* Libor is a worldwide crime and (as one expample) loads of British banks have been involved... the Swiss banks only admitted pretty fast and paid the fines already, others are still negotiating...

* What the Swiss National Bank does is nothing less than the EZB (European Central Bank) does with buying all the crappy government bonds and printing money all day long in order to keep the Euro from collapsing. Protecting the economy is the main task of every Central Bank and has nothing to do with manipulation, as it was clearly stated...

* And of course Nazi money... show me one other country beside Switzerland and Germany, who did clear up their dark history the way those two countries did... then you can come back and discuss...

Agree with you on most of these points except the secret bank accounts that have made the Swiss Banking Industry so powerful. It still tries to keep too many secrets and has only opened up a bit due to international pressure by countries (USA, Germany etc) who want to get at the tax dodgers and criminals. The Swiss government has a lot to answer for trying to maintain that secrecy.

[chiang mai]

One of the problems is the British state pension.It is not index linked,so when we pensioners come to Thailand our pensions stay the same forever.Our pensions never go up as the cost of living rises.Pension officials say Britain has no agreement with Thailand to do this. So whatever your pension was when you entered Thailand,it will always be the same.Not rising as it does in the UK.

Most other countries have have an agreement that British pensions rise like they do in Britain.But not in Thailand.I think this is disgraceful.We are discriminated against by the British government because we live in Thailand.

Check it out.

In fact there's an entire thread dedicated to this very point in this forum, check it out.

[Swiss1960]

I keep asking for suggestions for decent currency bets in that timeframe beyond Norway, Switzerland, Australia and Singapore, so far no one's piped up with any specifics.

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

Sounds like Switzerland. Not wanting to join the EU and take the positives and negatives - but "part of the economic zone" to try to cash in on any benefits.

Must be comforting to the Eurozone countries to know the Swiss banks are busy trying to manipulate the Euro for the benefit of Switzerland. Still got to manipulate something now they can't do the Libor, face pressure from the US on tax evaders, have to occasionally pay back some of the assests deposited by Nazi criminals.

I wonder if there is a S E Asian predatory country like this, just waiting to manipulate the ASEAN currencies to its own advantages??

You obviously have no idea about nothing, right?

* Switzerland is paying billions to the EU, EU Eastern Development, Schengen, EU research programs, just a few...

* Switzerland is paying to save the EU through the IWF (IMF International Money Fond) and facing loss of that money...

* Libor is a worldwide crime and (as one expample) loads of British banks have been involved... the Swiss banks only admitted pretty fast and paid the fines already, others are still negotiating...

* What the Swiss National Bank does is nothing less than the EZB (European Central Bank) does with buying all the crappy government bonds and printing money all day long in order to keep the Euro from collapsing. Protecting the economy is the main task of every Central Bank and has nothing to do with manipulation, as it was clearly stated...

* And of course Nazi money... show me one other country beside Switzerland and Germany, who did clear up their dark history the way those two countries did... then you can come back and discuss...

Agree with you on most of these points except the secret bank accounts that have made the Swiss Banking Industry so powerful. It still tries to keep too many secrets and has only opened up a bit due to international pressure by countries (USA, Germany etc) who want to get at the tax dodgers and criminals. The Swiss government has a lot to answer for trying to maintain that secrecy.

Actually it is not the Swiss governement who has to answer any questions. It is the Swiss citizens who want their banking secrecy. It is the Swiss Banks who were heavily fined for actively helping people to bring money into Switzerland in order to avoid paying the ridiculous taxes in their home countries...

And we can continue this discussion, when the Channel Islands (Guernsey, Jersey), Cyprus (for the Russians), Greece (nobody pays taxes at all when rich), the Bahamas or the US state of Delaware start to open up their financial industry and get transparent...

[malcolminthemiddle]

"I keep asking for suggestions for decent currency bets in that timeframe beyond Norway, Switzerland, Australia and Singapore, so far no one's piped up with any specifics."

Japan Yen or China Yuan? Asian currencies currently weak.

Edited March 27, 2013 by malcolminthemiddle

[chiang mai]

Solar flares are having a negative effect on crystal balls currently, suggest revertig to ouiji board or similar.

[HardenedSoul]

The exchange rate now is about the same as it was in 1990/1, I really don't see the problem. Better off here than in the UK in so many ways.

What do you mean you really don't see the problem?

It's fairly obvious to anyone with a couple of working braincells.

Not every Brit has been here since 1990/1 so they came when it was 70 baht+ to the pound.

Was that simplified enough for you?

[thaileader]

With great difficulty is the short answer.

My income has dropped over the last five years from 320,000 to 190,000 a week.

I have cut down to 4 virgins a week because of the falling pound its no joke.

[chiang mai]

Many folks getting stressed and feeling threatened, maybe even scared, agreed that the choices are not real good right now with the UK in a real mess but decisions have to be made and lived with. For my part I've set myself a loss limit and if/when that point is reached, the next steps are set out, like it or not.

[attento]

I think it is time for a pinned thread about exchange rates, as there is one for British pension... would really give back space to other threads and questions...

"I think it is time for a pinned thread about exchange rates..."

It could be combined with all the threads in which random European posters lecture Thais on economics, politics and financial management, because they (still live with the delusion that they) are so much better at all of that than economists, politicians and business managers in Thailand.

Does the computer have enough memory to store all that ?

[yoshiwara]

One of the problems is the British state pension.It is not index linked,so when we pensioners come to Thailand our pensions stay the same forever.Our pensions never go up as the cost of living rises.Pension officials say Britain has no agreement with Thailand to do this. So whatever your pension was when you entered Thailand,it will always be the same.Not rising as it does in the UK.

Most other countries have have an agreement that British pensions rise like they do in Britain.But not in Thailand.I think this is disgraceful.We are discriminated against by the British government because we live in Thailand.

Check it out.

One assumes that you factored in the adjustment when you made your decision to stay.

[attento]

Exchange rates are only part of the story. What is important is the relevant purchasing power in different countries.

Can you purchase the same items for 1 € in the eurozone as you can with 37 Baht in BKK?

[mccw]

Exchange rates are only part of the story. What is important is the relevant purchasing power in different countries.

Can you purchase the same items for 1 in the eurozone as you can with 37 Baht in BKK?

Good point.

Clearly Thailand has much more purchasing power.

I think the incomes also- although less, the desposable thai income is more

[mccw]

Exchange rates are only part of the story. What is important is the relevant purchasing power in different countries.

Can you purchase the same items for 1 in the eurozone as you can with 37 Baht in BKK?

Good point.

Clearly Thailand has much more purchasing power.

I think the incomes also- although less by euro value, the desposable thai income is getting people more

[Card]

Exchange rates are only part of the story. What is important is the relevant purchasing power in different countries.

Can you purchase the same items for 1 in the eurozone as you can with 37 Baht in BKK?

Good point.

Clearly Thailand has much more purchasing power.

I think the incomes also- although less by euro value, the desposable thai income is getting people more

Depends what you buy. Imported foods are often more expensive than the country of origin. Last time I went back to the UK, I was surprised how cheap food and drinks were in Lidl, Morrisons, Aldi etc and very good quality. International brand quality electronic goods are usually about the same (international) price. Accommodation and travel are cheaper here but depends where u stay. It all depends on your lifestyle, I guess, and the advantage of Thailand is that there are so many alternatives if your money starts to run out - you can slow it down by moving to a lower economic level or out of the city where prices change much more than in the UK.

Edited March 27, 2013 by Card

[mccw]

Exchange rates are only part of the story. What is important is the relevant purchasing power in different countries.

Can you purchase the same items for 1 in the eurozone as you can with 37 Baht in BKK?

Good point.

Clearly Thailand has much more purchasing power.

I think the incomes also- although less by euro value, the desposable thai income is getting people more

Depends what you buy. Imported foods are often more expensive than the country of origin. Last time I went back to the UK, I was surprised how cheap food and drinks were in Lidl, Morrisons, Aldi etc and very good quality. International brand quality electronic goods are usually about the same (international) price. Accommodation and travel are cheaper here but depends where u stay. It all depends on your lifestyle, I guess, and the advantage of Thailand is that there are so many alternatives if your money starts to run out - you can slow it down by moving to a lower economic level or out of the city where prices change much more than in the UK.

I meant for the average uk and Thai workers comparitively what they would be spending on. Say food and dink, socialising activities I suppose. But what you say is quite right.

Although I notice this time gadgets/ electronics are a little bit cheaper some in Thailand than UK. I think maybe to do with the manufacturers have a price but then the tax difference is 7% instead of UK 20%

[mccw]

""Britain's banks have a capital shortfall of £25bn because they have under-estimated the potential losses and fines they face over the next three years.

The Bank of England's Financial Policy Committee (FPC) said regulators will order institutions to fill the capital hole by the end of the year - with further increases required in the future.

But the demand was met with criticism from Vince Cable, who told Sky's City Editor Mark Kleinman that boosting banks' balance sheets in this way would be counterproductive to economic recovery.""

-sky news app

[chiang mai]

""Britain's banks have a capital shortfall of £25bn because they have under-estimated the potential losses and fines they face over the next three years.

The Bank of England's Financial Policy Committee (FPC) said regulators will order institutions to fill the capital hole by the end of the year - with further increases required in the future.

But the demand was met with criticism from Vince Cable, who told Sky's City Editor Mark Kleinman that boosting banks' balance sheets in this way would be counterproductive to economic recovery.""

-sky news app

Interestingly they are not allowed to reduce their loan portfolio's to achieve this target, put another way, the UK mortgage holder must be protected at all costs.

[davejones]

I'm building my passive income to ensure that my income continually goes up. Been doing that for years on end, even when I was in the UK. £1 was 46 baht when I moved here 3 years ago, and it's now 44 baht, so not much difference for me. If it went to 20 baht I's still stay. I like living here and have no desire to move back to the UK.

Edited March 27, 2013 by davejones

[davejones]

The op asks how are Brits coping with the poor GBP/THB rate, well personally I have stopped transferring money from UK to Thailand.

People quote that the rate has changed xx % from some previous date that appears to have been arbitrarily selected.

For info, below is a graph of GPB/THB exchange rates over the last 50 odd years. You can see that it ranges from 27 to 90 in that time.

Hmmm, interesting graph. So, your opinion is that we are back to normal...

Not back to normal, but always been normal. It's been in a 27-90 range for the last 50 years and is still in that range. So nothing's changed. Currencies always go up and down. Are there really people who came to Thailand and thought that the currency would be fixed for their convenience? Judging by this thread there are plenty. Did they miss Economics 101 at school?

In fact, all those that came when it was 27 baht to the GBP are probably still out celebrating. LOL. Not everyone is worse off.

Edited March 27, 2013 by davejones

[JaiLai]

The op asks how are Brits coping with the poor GBP/THB rate, well personally I have stopped transferring money from UK to Thailand.

People quote that the rate has changed xx % from some previous date that appears to have been arbitrarily selected.

For info, below is a graph of GPB/THB exchange rates over the last 50 odd years. You can see that it ranges from 27 to 90 in that time.

Hmmm, interesting graph. So, your opinion is that we are back to normal...

Not back to normal, but always been normal. It's been in a 27-90 range for the last 50 years and is still in that range. So nothing's changed. Currencies always go up and down. Are there really people who came to Thailand and thought that the currency would be fixed for their convenience? Judging by this thread there are plenty. Did they miss Economics 101 at school?

In fact, all those that came when it was 27 baht to the GBP are probably still out celebrating. LOL. Not everyone is worse off.

All those that came when it was 27 would have also experienced when it was 90 - ask them which one they preferred, somehow i do NOT think they will be out celebrating - IF still here.

[BahBahBoBo]

coping with it...

For me is wait and see + hope...

​Sold Shares in 2004 and transferred to my account here....... sold about the same amount a few weeks ago, but if I transferred that day would be 2 million baht less then in 2004, so wait and see + hope..

According to the charts 2004 averaged about 74 bhat to the pound and 2 weeks ago was about 44 so thats a difference of 30 bhat into 2 million, goes just under 67000 times, so we can assume then you cashed in 67k pounds of stocks? (67k x 74 = 4958000- 67kx44=2948000 difference of 2 million bhat Mathematics is handy

[NeverSure]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

Sorry, but according to your argument, Thailand's economy should be suffering now with the EU and US problems and previous Chinese problems. Instead Thailand's economy has boomed. Can't see it getting worse as it prospered when the world was in recession. Thailand is a good place for investment because there aren't that many other places outside Asia to park the cash.

What are the foundations for the Thai economic miracle? Cheap uneducated labour and very protected home markets and industries. AEC will blow this away. Thailand does not have the fundamentals to respond to the changes to become an innovative, higher technology knowledge economy. There are some very choppy waters ahead.

Investors take advantage of the good interest rates and stock yields here. How long before a correction? Who knows.

You mean YOU don't know. The last few years has proven you wrong already.

And, the future isn't here yet. If I could bet the future based on the past, I'd be the richest man on the planet.

I lived through this kind of thinking in the US, when everything had been skyrocketing for years, so everyone it seemed believed they'd better get in on it. The next day their home was worth 60% of what it was the day before, if they could find a buyer. The stock market fell by 1/2. People began losing their jobs, their homes, their cars...

If it is true that the past predicts the future, then the past of the West will be the future of Asia. I see exactly the same real estate boom/bubble, exactly the same skyrocketing consumer debt in IPhones, cars, new houses, credit cards, exactly the same skyrocketing government debt, and exactly the same blind optimism that it can only go up, up, up.

Forever up.

[mccw]

""Charities and campaigners are worried that food vouchers replacing cash loans will push Britains most deprived further into poverty and encourage crime, but advocates claim theyre necessary to stop misuse and save money.

On April 1, local authorities in the UK will offer one-off vouchers for goods such as food and diapers, and will stop offering emergency cash loans. The vouchers will be issued in the form of payment cards, which can be blocked and monitored to prevent them be used for alcohol, cigarettes and gambling, the Guardian reported.""

Next they'll be giving a proportion of the main benefits in vouchers - hopefully - and make people do something useful to get it -no more free life on the arse

[Swiss1960]

""Charities and campaigners are worried that food vouchers replacing cash loans will push Britains most deprived further into poverty and encourage crime, but advocates claim theyre necessary to stop misuse and save money.

On April 1, local authorities in the UK will offer one-off vouchers for goods such as food and diapers, and will stop offering emergency cash loans. The vouchers will be issued in the form of payment cards, which can be blocked and monitored to prevent them be used for alcohol, cigarettes and gambling, the Guardian reported.""

Next they'll be giving a proportion of the main benefits in vouchers - hopefully - and make people do something useful to get it -no more free life on the arse

Did you have a look at the date???????????????? What does April 1 tell you?????????????????

[chiang mai]

""Charities and campaigners are worried that food vouchers replacing cash loans will push Britains most deprived further into poverty and encourage crime, but advocates claim theyre necessary to stop misuse and save money.

On April 1, local authorities in the UK will offer one-off vouchers for goods such as food and diapers, and will stop offering emergency cash loans. The vouchers will be issued in the form of payment cards, which can be blocked and monitored to prevent them be used for alcohol, cigarettes and gambling, the Guardian reported.""

Next they'll be giving a proportion of the main benefits in vouchers - hopefully - and make people do something useful to get it -no more free life on the arse

Did you have a look at the date???????????????? What does April 1 tell you?????????????????

Not so, it has been reported widely in the UK press over time and is part of a package of changes to benefits that have been planned for some time.