The private sector has voiced concerns about the stronger baht, which recently hit a 31-month high, saying it could hurt exports and tourism as well as the overall Thai economy.
The baht has risen 9.9% this year to 32.50 baht per US dollar, hitting a 31-month high.
Mr Kalin said the JSCCIB predicts exports this year to grow 6.5-7.0%, up from a previous forecast of 3.7-4.0%.
The Commerce Ministry forecasts export growth approaching 10% this year.
Exports totalled US$20.1 billion (658 billion baht) in October, up 13.1% year-on-year, while the 10-month figure reached 95.5 billion, up 9.7% year-on-year, according to the Commerce Ministry’s data.
But the private sector and the Commerce Ministry believe that while exports will continue growing next year, such growth could be muted by the high-base effect, Mr Kalin said.
Some businesses have demanded new measures from the Bank of Thailand to curb the baht’s rise. The Thai National Shippers’ Council (TNSC) estimates that the stronger baht could cut export revenue by as much as 345 billion baht for 2017.
Kalin Sarasin, chairman of the Thai Chamber of Commerce and the Thai Board of Trade, said the baht is rising too fast and it will have a negative impact on exports, making shipments miss the chamber and government target of 6-8% this year.
He said the Bank of Thailand should issue measures to help curb the rise of the baht before it starts eroding exports, which account for more than 60% of the country’s GDP. Strong baht sparks fears | Bangkok Post: news
Thai baht becoming the region’s worst-hit currency in COVID pandemic
According to data from its tourism ministry as well as the World Bank, Thailand had only a little over 34,000 tourist arrivals as of May 2021, compared with over 39 million in 2019, before the pandemic. Fewer tourists also means lower demand for the Thai baht.
3 Reasons to Be Optimistic About the Baht Right Now
Probably one of the most important factors for the rise of the Baht is the continued weakness of the US dollar, which most experts agree is going to continue declining throughout the rest of the year.
The Thai Baht, our beleaguered currency, has had something of a difficult few years. Successful debt and inflation crises have eroded the value of the Baht numerous times, not least the events of 2015-16, which saw the Baht plunge to some of the lowest levels against the Dollar in history.(more…)
Acclaimed MICHELIN Guide Thailand gets 5-year extension from 2022-2026
Bangkok, 2 December, 2021 – The Ministry of Tourism and Sports and the Tourism Authority of Thailand (TAT) are pleased...
Thailand’s Ministry of Finance expects 3.5 to 4.5% economic growth in 2022
For next year, the Ministry of Finance is projecting an economic growth of 3.5-4.5% from effective pandemic control measures, incentives,...
This is what global tax reforms could mean for Asia’s tech giants
A new set of agreed global tax reforms will change where tech giants and other global giants pay taxes, explain...
Bank of Thailand warns of risks of cyber theft when using cryptocurrencies
The future looks promising for cryptocurrencies in Thailand after Siam Commercial Bank Pcl - Thailand's oldest private bank- invested 17.85...
The Bachelor Japan Season 4 showcases Thailand
Bangkok, 2 December, 2021 – The Tourism Authority of Thailand (TAT) is pleased to report that Thailand features as the...