Currencies
Baht’s Biggest Rally Since 1998 Risks Thai Tourism, Exports
- 10% surge in Thai currency triggers calls for BOT intervention
- Strong baht seen to hit foreign tourists ahead of high season
This article is for subscribers only.
Thailand’s baht is on course for its biggest quarterly gain since the Asian financial crisis, threatening to derail a recovery in the nation’s key tourism and export industries.
The currency’s 10% surge against the dollar since the end of June, the most since the first quarter of 1998, has prompted calls from the tourism and hotel sectors, and business chambers to temper the rally. Commerce Minister Pichai Naripthaphan and Deputy Finance Minister Paopoom Rojanasakul this week urged the Bank of Thailand to take steps to rein in the currency and stem its volatility.