Thread: 56 baht to the GBP ....i'm sorry, excuse me???

Originally Posted by lom

So basically that means that you are not so vulnerable when your trading partners are not European or American.
Right?

how much is the RMB against the THB ? and do they export to China ?

Thailand is the reverse of ICELAND, at least until recently, they were a big net exporter, so that means they get a lot of foreigner currency to buy their THB (exporters have to convert after payment)

If Thailand export were low, and yet the local community was having a wild party with everything from Europe, or the US, they would need to import all that shit, and that means dumping your THB in exchange of the other currency to pay for the imports. That's basically ICELAND, no local resources so everything was imported. Eventually, your currency crash. You could keep it high by attracting foreigner capital with some local high interest savings, but if you are a small country with no real income, it could get dangerous eventually. That's the example of Argentina if I remember right, and now ICELAND.

Originally Posted by Butterfly

If Thailand export were low, and yet the local community was having a wild party with everything from Europe, or the US, they would need to import all that shit, and that means dumping your THB in exchange of the other currency to pay for the imports. That's basically ICELAND, no local resources so everything was imported. Eventually, your currency crash. You could keep it high by attracting foreigner capital with some local high interest savings, but if you are a small country with no real income, it could get dangerous eventually. That's the example of Argentina if I remember right, and now ICELAND. Butterfly is offline Add to Butterfly's Reputation Report Post

Yes, I agree and that is one of the reasons why I think Thailand (and most of its neighbour countries) are better off in this crisis.
It is also much easier for a developing country, which still has a major agriculture production, to feed its people without having to import.
And it is easier for a developing country to slow down their economy..
So with that in mind, is the Thai baht really overvalued?

The donated gold reserves are fast running out for the BOT.

How long before the crash is anyone's guess but I would expect that something major will happen to the Thai Baht value within the next few months.

Fingers crossed!

Next week would be even better!!

Originally Posted by lom

You can as well wish that your home currencies recover.

My home currency is the baht and the coffers are almost empty at the BOT.

Not unless we have another plate pass around like we did in 1998.

Originally Posted by Loy Toy

the coffers are almost empty at the BOT.

That is a very sweeping statement which I have seen here a couple of times during the last week.
I suppose you can back that up by telling how much there normally is in the coffer and how much there is today?

Ok, I will answer my own question.

The international reserves of BOT was ~ 14 billion USD a year ago.
Today they are down to ~ 12 billion USD.

Originally Posted by lom

Today they are down to ~ 12 billion USD.

bugger, no crash this week then....

Originally Posted by lom

Today they are down to ~ 12 billion USD.

Not bad for a country with 60 odd milion people and with hardly or no social benefit systems set up and to support them.

Wonder when they will stick their hand out for IMF money again but shit I forgot their got Toxins billions have they not........?

Luv the blokes who pull out government figures and actually believe them.

Believe me mate this place is really in the shit and especially when you work everyday at the grass roots of commodity product manufacturing here.

If a company in LOS is running at 50% capacity at the moment then they are doing really, really well.

Aah, I shouldn't believe government figures but I should believe your sweeping statements?

BOT will eventually have to adjust the price for the Thai baht.
Export figures are down and so is tourism, so is the annual growth.
But I don't for a second believe that we are heading for a baht crash.
It will be much easier for Thailand to adjust their costume than it will be for countries in the industrialized western world.

My pensions are all in GBP

Originally Posted by lom

So with that in mind, is the Thai baht really overvalued?

well yeah it's not overvalued, exports are still there, and farangs are still wiring money for their expenses here.

Originally Posted by lom

That is what you wish but do anyone of you have a substantial reason to believe that?

You can as well wish that your home currencies recover.

correct, it's mostly wishful thinking at this stage, would be nice though

Happy, don't worry about it unless you're retiring very soon.

As it's going to happen anyway surely the best time is right now, with the markets in turmoil and the baht effectively supported by other weak currencies, rather than later when the world's dusting itself off and looking for something to swat as the baht runs the gaunlet alone.

Originally Posted by benlovesnuk

what a shock at the bank, there is nothing more i can add, apart from fuuuuuuuuuu[at]##[at]$#$#[at]$!!!!!!!!!!!!!

lets hope that the crash happens now, now now now

i see the dollar still doing okay............

Lucky you ain't holding Aussie dollars mate.

Originally Posted by Thormaturge

Exports are certainly holding up, but imports are rocketing.

there were, but if we head for a global slow down with the current financial crisis, then those import should also slow down,

cheap exports are always a success, even in a recession, but not expensive imports

Originally Posted by EmperorTud

When I first got here it was around 50THB!

First trip to Thailand the Aussie was 18. If it don't go to that I'm happy.

GBP is going down the pan when you let a one eyed Presbyterian Scot well qualified in American history ru(i)n the econonmy! Uk manufacturing without much support from central goverment and poor management is on it,s knees, all that kept the Uk economy going was the City, now that,s on it,s arse, so what we got left? not very much that,s why the money men dislike the pound moer than other currencies!

was 30 in may this year and now on a free fall like all coin. life hey

Originally Posted by TSR2

GBP is going down the pan when you let a one eyed Presbyterian Scot well qualified in American history ru(i)n the econonmy!

It's always nice to see the opinion of illiterate English bigots on Teak Door.

How is your Arabic coming? Hope you're teaching your kids the future language of your country too.

Originally Posted by thehighlander959

Hey TSR I take it you are from south of Gods

Sorry born in Dundee, Jimmy