Thailand Acts To Aid Its Currency

[kokothemonkey]

Another great reason to invest in LOS? I think not....

thanks but I'll keep my money offshore where I have access to it, instead of where a bunch of corrupt military clowns dictate the rules

1) junta

2) bombings

3) Bank regulators in Thailand on Monday required banks to lock up 30 percent of new foreign currency deposits for a year in an effort to stop investors speculating on gains in the baht.

http://www.iht.com/articles/2006/12/18/business/baht.php

[TLloyd]

Another great reason to invest in LOS? I think not....

thanks but I'll keep my money offshore where I have access to it, instead of where a bunch of corrupt military clowns dictate the rules

1) junta

2) bombings

3) Bank regulators in Thailand on Monday required banks to lock up 30 percent of new foreign currency deposits for a year in an effort to stop investors speculating on gains in the baht.

http://www.iht.com/articles/2006/12/18/business/baht.php

[TLloyd]

I have just decided that I will move to LOS this summer. Will get a retirement visa. I am aware of the requirement for ~ $23,000 in a Thai bank 3 months prior to app. Does anyone have a recomendation on off shore banks, that may have offices in Thailand, where I can keep the rest of my funds? I am also looking for good interest rates, not just a safe place to stash it. I want to transfer my funds out of the US & away from the greedy hands of the new congress.

[alexth]

Is the already on? Can they do that? I am not sure I understand...if I transfer, for example US 10000$ into my thai bank account, I can not withdraw them unless I pay US 3000$? If this is the case, I'd better transfer my money in Singapore from now on and travel anytime I need cash, it would be cheaper...

[kokothemonkey]

Is the already on? Can they do that? I am not sure I understand...if I transfer, for example US 10000$ into my thai bank account, I can not withdraw them unless I pay US 3000$? If this is the case, I'd better transfer my money in Singapore from now on and travel anytime I need cash, it would be cheaper...

Yes, but actually it is 33% any investment in as of Tuesday Dec 19 as per the article. LOS....does that stand for Land of Stealing?

Edited December 18, 2006 by kokothemonkey

[alexth]

It seems to be true...Take a look here , it's the press release from the BOT. This time they're really out of the line.

[britmaveric]

Explains the surge in $.

[alexth]

Wait, I still can't believe it, I mean, who in the world would bring money into Thailand in these conditions? Again, Let's say tomorrow I am waiting for 10000$US, the money are coming into my thai baht saving account converted into baht, right? And what they are saying here is that I will not be able to withdraw these money as thai baht? It says:

Financial institutions are required to withhold 30 percent of foreign currencies bought or exchanged against the Thai baht...

Does this mean that I do not have full access to the funds as US dollars or as thai baht or neither of them?

[britmaveric]

Expect currency traders are their targets, not your everyday lad.

[kokothemonkey]

I have just decided that I will move to LOS this summer. Will get a retirement visa. I am aware of the requirement for ~ $23,000 in a Thai bank 3 months prior to app. Does anyone have a recomendation on off shore banks, that may have offices in Thailand, where I can keep the rest of my funds? I am also looking for good interest rates, not just a safe place to stash it. I want to transfer my funds out of the US & away from the greedy hands of the new congress.

Are you sure you want to do that?

As from Tuesday, 30 per cent of all foreign currency inflows of more than $20,000 will be held on deposit – interest free – by the central bank, unless it relates to a trade in goods or services.

http://www.ft.com/cms/s/6073a4f4-8ec7-11db...00779e2340.html

[wasabi]

Explains the surge in $.

Today's surge is not just BHT:USD, it seems to be some strength with the USD in general

[paulsmithson]

I am due to retire to Thailand in the new year and was going to transfer all my capital there on the basis that if I am going to live there I should have some loyalty to the country.

All going offshore now.

Bloody hel_l they are such thieves I think they have been talking to Tony Blair here

[kokothemonkey]

I am due to retire to Thailand in the new year and was going to transfer all my capital there on the basis that if I am going to live there I should have some loyalty to the country.

All going offshore now.

Bloody hel_l they are such thieves I think they have been talking to Tony Blair here

dont forget they will alos devalue the baht to 38 to prop up exporters so assume 30% plus anouther 6% (2/36 to 38)

LOS = Land of Stealing

[TLloyd]

Am I sure I want to do that?.....No I don't want to do it, but if I am going to live there on a retirement visa I don't have much choice. I have to have approx $23,000 US in a Thai bank 3 months prior to getting the visa.

As I read the quote from the article, it applies to transfers greater that $20,000 US. So the answer may be to transfer in amounts less than $20K at a wack to avoid the 30% freeze/hold/whatever. It is similar to a banking reg here in the US. Any cash deposit $10,000 or more must be reported by the bank to the Federal Government, ostensibly to combat money laundering by drug trafficers. Many forms & questions & possibly problems. The solution is to never deposit more than $9500 at a time. Am I thinking correctly on this?

Nevermind...I just read the article. Fund transfers GREATER than $20K US are subject to a freeze of 30 to 33% (exact amount unclear) for time periods LESS than 1 year. Your money stays in the bank 366 days, no freeze/hold. Transfers LESS than $20K US don't appear to be subject to this, no matter what. No problem for me as I will need the funds in the bank each year as I have to renew the retirement visa each year.

Also, back to my previous question, recomendations for offshore banks, possibly with offices in LOS that pay decent interest rate? Hmmmmmm?

Edited December 18, 2006 by TLloyd

[bluedragon]

Well, very interesting.

I wonder what affect this will have on people transferring say $100K into their account to buy a condo??

Do they have to wait a year to use the money?? Regards, BD

[kokothemonkey]

Well, very interesting.

I wonder what affect this will have on people transferring say $100K into their account to buy a condo??

Do they have to wait a year to use the money?? Regards, BD

my question would be,

Why would anyone want to put $100k into a country run by a junta when there are numerous other places to safely palce your dough?

Also, when will the muslims move the bombings from the south to Bangkok? In due time, in due time.

[old wanderer]

Well, very interesting.

I wonder what affect this will have on people transferring say $100K into their account to buy a condo??

Do they have to wait a year to use the money?? Regards, BD

BD

This exactly my problem today. I bought some land (i.e. my wife) and we plan to build a home on it later this year. I also put a deposit on 38 rai of land near by. I need to have 2,000,000b in April and another 1,000,000b in May. and finally 3,000,000b in July for these projects.

I was panniced enough with the strengh of the baht in the past few months. Sould the baht go to 38 GREAT for me, as long as I can get my money in. Right now I am planning on just deposits in Singapore, and then taking $1,000 traveler checks to Thailand and making a day of cashing them at the bank unless I can get the land owner to accept them....(don't think so as it is an old Thai lady, and the Contractor has screwed up every time I have given him dollars).

Ordianrily I would just take the cash, but these amounts would be a bit hard to replace should something happen at this point in my life.

Another thing I have considered is to go to Bangkok Bank in Los Angeles and see if I can make a baht exchange and a deposit from that bank to mine directly. ?? I will talk to them Thursday when I am in Los Angeles.

[pumpuiman]

Well, very interesting.

I wonder what affect this will have on people transferring say $100K into their account to buy a condo??

Do they have to wait a year to use the money?? Regards, BD

The baht fell sharply yesterday as the Bank of Thailand imposed harsh new reserve measures on local banks in a bid to curb short-term capital inflows. Effective immediately, financial institutions must deduct 30% as a reserve requirement from short-term foreign exchange transactions against the baht. Transactions related to trade in goods and services, or repatriation of investments, are exempt.

Perhaps a condo purchase falls under this exemption? One wonders what will be required as proof. Will you get some sort of written guarantee from the bank assuring your exemption ? I would be sure to get something in writing before depositing anything.

I have to send about $4000 next month, and will be sure to get some concrete guarantee my tranfer will be safe.

[sfokevin]

I would assume that our wire transfers in for condo purchases wired directly into the condo developers Thai bank account for the purchase would be exempt from these rules as the transferring of funds are for the purchase of Thai goods (Condo)... And hopefully at a +40 to $1 rate

Edited December 19, 2006 by sfokevin

[Barney_the_Dinosaur]

Well done Thailand, you just blew up your own stock market.

You blew it up when the currency was weakening, ....then, you blew it up when it was getting stronger and GDP was making progess.

In answer to questions, you should have no problem bringing in cash to buy fixed assets....but who would touch Thai assets given this kind of governmental caprice.