PUBLISHED: 4 October 2023 at 4:00 p.m.
Despite having a negative effect on the cost of imported strength, the poor baht is helping Thailand’s imports and tourism, according to Prime Minister Srettha Thavisin.
He made a comment yesterday regarding the baht’s drop to an 11-month small against the US dollars at 37.095.
According to Mr. Srettha, who is also the finance minister, the depreciation wasn’t all bad because it helped the nation’s exports and tourism, which typically account for 50 % and 20 % of the gross domestic product ( GDP, respectively ).
While the Bank of Thailand is carefully monitoring and handling the situation, there is currently no need for the government to step in regarding the value of the baht, according to the PM. Since Thailand still heavily relies on imported power, the poor baht may have a negative effect on the price of imported oil and other associated costs. However, Thailand cannot do much to prevent the effects of high prices in the near future.
Additionally, Mr. Srettha denied that the government’s strategy of cutting costs for” unneeded” projects singled out the Defense Ministry. He was in response to claims that he had curtailed military spending for the financial season 2024.