Thai Economy and the Baht: A Pressing Call to the Bank of Thailand

Monday, 16 September 2024, 00:11

The Thai economy is experiencing challenges as the baht strengthens, prompting calls for action from the Bank of Thailand. Commerce Minister Pichai Naripthaphan emphasized the need for timely interventions to support exporters and stimulate economic growth. With interest rates at a historic high, the new government's pressure on monetary policy could reshape Thailand's economic landscape.
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Thai Economy and the Baht: A Pressing Call to the Bank of Thailand

Thai Economy's Struggle Amidst Baht's Strength

The Thai economy is grappling with significant challenges as the baht has remarkably strengthened, raising concerns among exporters and igniting discussions at the Bank of Thailand (BoT). In a recent briefing, Commerce Minister Pichai Naripthaphan candidly expressed that the central bank's strategies appear outdated and are hindering economic growth.

Bank of Thailand's Role in Economic Recovery

Pichai highlighted the necessity for the BoT to adopt measures to manage the currency's strength, which has been detrimental to exporters, particularly those operating on narrow margins. With the baht appreciating over 10% this quarter, it currently ranks as Southeast Asia's best-performing currency.

  • Support for Thai companies in international expansion
  • Pursuit of free trade agreements to enhance trade and investment
  • Implementation of protective measures against cheap imports from China

The minister's call for interest rate cuts marks a significant shift, as the new administration aims to ease borrowing costs that have surged to their highest levels since 2013. Pichai is scheduled to meet with the BoT Governor to address these pressing economic issues.

Reviving Thailand's Economy in a Global Slowdown

As the global economic slowdown poses challenges, the minister reinforced the urgency of revitalizing the Thai economy, urging coordinated efforts to sustain growth and protect local manufacturers.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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