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BANKOngoing situation

Baht strengthens as interest rates hold

3 developmentsover 58 days

The Bank of Thailand has maintained its benchmark interest rate at 1%, despite the baht strengthening to a near 3-month high against the US dollar, trading around 23.85. This makes foreign income and remittances worth less when converted to Thai baht, impacting the purchasing power of foreigners in Thailand.

How this developed

  1. Baht strengthens to near 3-month high, may rise further

    The Thai baht hit 23.85 per dollar, its strongest in over two months, amid US debt worries and a weak dollar. Analysts expect the baht to continue appreciating, potentially reaching 23.03 per dollar, making it more expensive for expats converting foreign income.

    Bangkok Post

  2. Bank of Thailand Holds Rate at 1%; Baht Strengthens

    The Bank of Thailand is expected to keep its policy rate at 1% amid better-than-expected GDP growth, while the baht strengthens against the weak US dollar, trading in the 23.53–23.55 range. A stronger baht makes foreign income and remittances worth less in Thailand, while the unchanged rate may affect local borrowing costs.

    Bangkok Post

  3. Bank of Thailand keeps benchmark rate at 1% as baht weakens

    The Bank of Thailand held its benchmark interest rate at 1%, defending the low-rate policy aimed at boosting the economy. The baht continues to slide, which directly affects expats' purchasing power and the value of foreign income remitted to Thailand.

    Thai Examiner