Coins and Banknotes in ThailandĪs of 2020, coins in the Thai baht are minted in denominations of 1, 5, 10, 25, and 50 satangs. As of 2020, the exchange rate is roughly 30 baht per US dollar. The USD/THB exchange rate subsequently rose as high as 56 baht to 1 USD. During the Reagan presidency, when the US economy enjoyed a period of rapid growth and a strong US dollar, the peg was adjusted upward to 25 baht = 1 USD.įollowing the Asian Financial Crisis that started in 1997, the Bank of Thailand chose to allow the baht to freely float in the foreign exchange market, as opposed to setting a fixed exchange rate value. The initial dollar peg translated to 20 baht = 1 USD. The Thai central bank pegged the baht to the US dollar from the mid-1950s until 1997. The baht was also pegged briefly to the Japanese yen, and following World War II, to the price of gold, with a fixed exchange rate of one baht per 0.25974 gram of gold. The exchange rate range over a period of approximately 20 years fluctuated between 11 baht per one British pound and 22 baht per one pound. In the early 20 th century, the currency was pegged to the British pound sterling, with the exchange rate being periodically adjusted. Over the years, the Thai baht has been pegged to several currencies, as well as to gold. At that time, Thailand switched its currency to the current decimal-based system, dividing the baht into 100 satangs.
The baht remained linked to silver until the end of the 19 th century. The value of 1 baht was equal to 15 grams of silver, and all baht coins were composed of solid silver of a designated amount. Like the British pound sterling, the baht was originally based on a unit of mass – specifically, 15 grams. For example, the exchange rate of the baht and the British pound is stated as GBP/THB. Its trading symbol in the forex market is THB. Thai baht is one of the oldest currencies in circulation, dating back approximately 800 years, to the 13 th century. Thailand is one of Southeast Asia’s strongest and most rapidly growing economies.Thailand’s central bank, the Bank of Thailand, authorizes all minting of Thai coins and printing of Thai banknotes.Thai baht is the official legal currency of the Kingdom of Thailand.But in a 4-3 vote, the three dissenters favoured a quarter-point hike, citing continued recovery and rising inflationary risks. On June 8, the BOT left its key rate at a record low of 0.50 per cent, where it has been since May, 2020. Last week, BOT Governor Sethaput Suthiwartnarueput said delaying rate hikes would not be good for the economy as inflation climbs. dollar.īut he said he had asked the BOT to keep baht moves stable. With the baht at its weakest level in more than five years, Arkhom said the currency was difficult to manage because of external factors, including a fast-rising U.S. Headline inflation hit a near 14-year high of 7.1 per cent in May. The BOT forecast Southeast Asia's second-largest economy will grow 3.3 per cent in 2022 after last year's 1.5 per cent expansion, which was among the lowest in the region.
The central bank said it would manage inflation while ensuring the economic recovery is not disrupted, Arkhom said. "Tackling inflation will be inevitable as every country has also faced the same problem," he said. 10 to tame surging inflation.įinance Minister Arkhom Termpittayapaisith told reporters he had asked the BOT to talk to banks to help mitigate the impact of a hike in the policy rate on borrowers. His comments came as most economists expect the Bank of Thailand (BOT) to raise the key interest rate at its next meeting on Aug. BANGKOK : Thailand's finance minister said on Tuesday he had asked the central bank to minimise the impact of any interest rate hike, ensure enough liquidity in the banking system and maintain a stable baht currency.
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