BOT says Thai Baht appreciation is manageable

[webfact]

BOT says Thai Baht appreciation is manageable

 

   

BANGKOK (NNT) - The Bank of Thailand’s (BOT) Deputy Governor on Monetary Stability, Mathee Supapongse, revealed that the BOT has been discussing the strength of the currency with the Prime Minister Gen Prayut Chan-o-cha, saying that the BOT confirmed it can still manage the currency’s stability without requiring quantitative easing (QE), as the economy is not facing a crisis and cashflow is still sufficient. The central bank is however prepared to enforce additional measures if required.

 

Meanwhile, the BOT has announced a reduction in the inflation rate target in 2020 to be variable within 1-3% margin, from the previous projection of a fixed 2.5% target with a plus and minus 1.5% buffer which has been followed since 2015. The BOT is expected to adjust this target every 3-5 years and hold discussions with the Minister of Finance every six months to ensure the target is reached.

 

The new inflation rate target will comply with the current economic conditions which are showing a slower inflation trend due to technological changes that have helped in reducing manufacturing costs, the expansion of e-Commerce that raises competition and prevents sellers from increasing product prices, and the transformation to an ageing society where the increasing population of elders receive less income, resulting in lower consumption of goods and services.

 

The conversion to a variable inflation rate target will provide greater flexibility in monetary policy, which will help maintain pricing stability, economic growth, and monetary stability during a time when the Thai and global economies face high uncertainties from the trade war, geopolitical issues, and a prolonged low-interest rate policy.

 

-- © Copyright NNT 2019-12-26

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[HuskerDo]

"BOT says Thai Baht appreciation is manageable"...… for who? Certainly not the retirees and tourists.

[ukrules]

6 minutes ago, HuskerDo said:

"BOT says Thai Baht appreciation is manageable"...… for who? Certainly not the retirees and tourists.

Oh yeah, they've been 'managing it' alright, that's why we ended up where we are right now. It's no accident.

Edited December 25, 2019 by ukrules

[RichardColeman]

1 hour ago, HuskerDo said:

"BOT says Thai Baht appreciation is manageable"...… for who? Certainly not the retirees and tourists.

................or exporters !

[legend49]

Lots of hot air never seen a plan or strategy communicated.

[alant]

I think they are doing a wonderful job of increasing the value of the Thai Baht, a true hub of strong currencies.

[fruitman]

They're saying that for months now but it's still at the strongest point....

[Mosha]

Tell that to Mazda, who've moved their SUV production back to Japan costing how many jobs.

[hotchilli]

5 hours ago, webfact said:

as the economy is not facing a crisis and cashflow is still sufficient. The central bank is however prepared to enforce additional measures if required.

Many Thais might disagree with that statement, especially the thousand just made unemployed !

The ministers should take a longer stroll around the streets to witness the reality... not get ushered around all the cronies and see only what they are shown.

[SMEinBangkok]

And now the dueling currency narrative....

 

"The baht is too strong..."

"We will control the strengthening baht...."

"The baht's ok...."

 

Country run by children for children.

[tomazbodner]

Australia and California wildfires are also manageable. Who cares that they destroy half the country, in the end there'll be nothing left to burn and they'll be gone. If that's what comes under "manageable", then THB might well be very well manageable. Just unfortunately the economy would be the part that burns down in the meantime. And when there's none left to talk of, it will wind down by itself.

 

Firefighting (managing fires) generally focuses on containing the fires, before extinguishing them before the whole thing burns down.

[Moo 2]

Mr/Ms BOT, please stop using the war trade as your excuse for the baht disaster, until 5 years ago the Baht

was doing quite well, thankyou very much, but then the militaries decided that life as citizen was a better

option as Thailand is not at war with anyone after all! 

And stop insulting people's intelligence by telling us that this is not a Thai problem, that the other countries

are wrong!

 

 

"All the money I earned through cheating, I lost it by earning it honestly".

[Is this real]

When has anything ever been "manageable" in Thailand?

 

Flooding, drought, traffic, elections, graft, tourism, economy, rice, rubber, ..........

 

 

[Isaan sailor]

And how about today’s flash crash on western currencies vs the Baht?  USD hit 29.50.  Did anyone else see how the Chinese Yuan jumped way up—with the exact same pattern, in reverse?

I’d wager hot money dump at Bank of Thailand, and they just couldn’t handle the ChiCom volume.  So that’s hardly what I’d call managing the Baht...

[Srikcir]

9 hours ago, webfact said:

BOT says Thai Baht appreciation is manageable

TRANSLATION:

BOT Governor is manageable.

[Cake Monster]

8 hours ago, HuskerDo said:

"BOT says Thai Baht appreciation is manageable"...… for who? Certainly not the retirees and tourists.

Or the average Thai Family, who are stopping sending their Kids to School because they cannot afford the fees, and eat only one meal a day.

[emptypockets]

6 hours ago, SMEinBangkok said:

And now the dueling currency narrative....

 

"The baht is too strong..."

"We will control the strengthening baht...."

"The baht's ok...."

 

Country run by children for children.

Which is why many came here to play. But it seems it may have become too expensive for some. So sad, too bad.

[emptypockets]

1 hour ago, Cake Monster said:

Or the average Thai Family, who are stopping sending their Kids to School because they cannot afford the fees, and eat only one meal a day.

Nonsense.

[30la]

13 hours ago, webfact said:

The Bank of Thailand’s (BOT) Deputy Governor on Monetary Stability, Mathee Supapongse, revealed that the BOT has been discussing the strength of the currency with the Prime Minister Gen Prayut Chan-o-cha, saying that the BOT confirmed it can still manage the currency’s stability without requiring quantitative easing (QE), as the economy is not facing a crisis and cashflow is still sufficient. The central bank is however prepared to enforce additional measures if required.

In simple words, friends have not yet finished their speculation!
The bubble is about to explode, save who can!

[chama]

15 hours ago, webfact said:

BOT has been discussing the strength of the currency with the Prime Minister Gen Prayut Chan-o-cha, saying that the BOT confirmed it can still manage the currency’s stability

Why? He won't have any idea what they are saying to him. Unless he can shoot it he won't worry about it.

[mickey rat]

We’re a long way from 1997, but it’s fair to wonder how long the currency can defy the pull toward a slowdown. If I were a betting man I might be betting on BOT incompetence and a crash like 97.  But I'm confident that in the end the market will prevail. 

[kevin612]

Talking is useless, take action.

[mikebell]

22 hours ago, SMEinBangkok said:

Country run by children for children.

Only the rich children.

[Grumpy John]

"It's only when you look into the darkness of the abyss do you find the way back to safety." But I might add 'You need to look first'! 

[Nong Khai Man]

On 12/26/2019 at 5:48 AM, HuskerDo said:

"BOT says Thai Baht appreciation is manageable"...… for who? Certainly not the retirees and tourists.

But They Don't CARE About Us.......Biting The Hand Off That FED You !!!

[miamiman123]

1997...the thaitanic 

[seajae]

On 12/26/2019 at 1:47 PM, Srikcir said:

TRANSLATION:

BOT Governor is manageable.

more like just saving face before the thai economy crashes and burns

 

 

Edited December 27, 2019 by seajae

[Sonhia]

Would you trust a banker? 

 

Look at the mess the world is in, mainly due to religion, politics and banking.