Joint Foreign Chambers of Commerce in Thailand JFCCT chairman Nandor von de Luehe said its members will not shift their investment bases to other countries because they remain confident of Thailand’s growth potential, Industry Minister Chaiwuti Bannawat said.

Speaking after meting JFCCT representatives, he said the JFCCT chairman cautioned the Thai government not to be complacent regarding the continued growth of the economic and industrial sectorsWhat foreign investors are concerned about now is the lack of stability of the Thai currency.

They want the government to oversee the baht to boost its stability as much as possible, he said.Mr Chaiwut said the Board of Investment BoI will consider ways to help entrepreneurs deal with the bahts volatility when it meets with Prime Minister Abhisit Vejjajiva and will consider improved privileges to be granted to small- and medium-size enterprises SMEs.

1000 baht bank note
Prime Minister Abhisit Vejjajiva, fearful of the effects of the soaring baht due to massive capital inflows, has proposed the use of the Chinese yuan as a major regional trading currency.

It was the first time he had an opportunity to meet and discuss with BoI and JFCCT after assuming his ministerial post, he said.More than 30 investors joined the discussion focusing on ways to cope with obstacles to business performance of foreign investors in Thailand such as difficulties in applications for temporary visas for tourism and investment, telecommunication problems, and unclear customers and tax systems.

via Foreign chambers: members won’t move investment bases to other countries.

Thai Finance Minister Korn Chatikavanij has said that he did not expect the 600 billion U.S. dollars injection into the U.S. economy to have any immediate effect on the Thai currency and its capital market.

Korn said the Thai government’s existing measures remained effective enough to control the rising baht as the US Federal Reserve’s announcement was in line with the government’s earlier estimate of 500-700 billion dollars, according to local media reports.

The US Federal Reserve announced Thursday that it will buy an additional 600 billion dollars of treasuries through June next year, which could further depreciate the greenback.

Central banks from China to India and Australia have raised interest rates to curb inflationary pressures at a time when Japan and the U.S. are adding monetary stimulus to boost economic growth.

Meanwhile, Thailand’s central bank governor Prasarn Trairatvorakul has confirmed that he has discussed with other central banks in the region, which are ready to impose joint measures to curb further speculative money in-flow.

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Thailand’s Board of Investment approves new Categories for Promotion Strategy

Following the relaxation, feasibility studies will only be required for projects with an investment value of 2.0 billion baht or more (excluding the cost of land and working capital), compared to 750 million baht previously.

The Philippines’ 12th Foreign Investment Negative List: Implications for Foreign Investors

The Philippines’ 12th Regular Foreign Investment Negative List was issued in June…

Lenzing’s New €400 Million Factory Strengthens Thailand’s Status as Regional Bio-Green-Circular Hub, BOI Says

The BOI offers generous tax breaks and other incentives to companies aligned with the BCG goals in sectors such as food pro-cessing, biofuel, bioplastics, biotechnology, renewable energy and recycling.