ID :
140500
Fri, 09/03/2010 - 09:43
Auther :
Shortlink :
http://m.oananews.org//node/140500
The shortlink copeid
PM confident of Bank of Thailand’s ability to cope with stronger baht
BANGKOK, Sept 3 – Prime Minister Abhisit Vejjajiva on Thursday expressed confidence that the Bank of Thailand (BoT) will be able to cope with the stronger baht, saying he had instructed the central bank to closely monitor currency speculation.
He said the baht had appreciated in consistency with other currencies in the region. What the bank should do now , he advised, is to prevent the baht from being overly volatile. In particular, it had to keep a special watch on currency speculation.
“We still see nothing wrong in the baht's movement. Even so, we have set up a mechanism to [monitor] speculation and believe the central bank is in a position to manage it,” he said.
Asked whether it is necessary to impose measures to oversee the flow of foreign capital into the country, the premier said the central bank is well-prepared to deal with it.
He allowed the expectation of further appreciation of the baht led to speculation by some groups of people.
However, the strengthening of the baht to the current level reflected its fundamentals and the government would not allow the national currency to be inflated by speculation.
Regarding the inflation rise to the range of 3.3-3.4 per cent now, Mr Abhisit said the figure remains not worrying and does not put any pressure on the economy. The central bank told the Cabinet earlier this week that the inflation rate is still under control. (MCOT online news)
He said the baht had appreciated in consistency with other currencies in the region. What the bank should do now , he advised, is to prevent the baht from being overly volatile. In particular, it had to keep a special watch on currency speculation.
“We still see nothing wrong in the baht's movement. Even so, we have set up a mechanism to [monitor] speculation and believe the central bank is in a position to manage it,” he said.
Asked whether it is necessary to impose measures to oversee the flow of foreign capital into the country, the premier said the central bank is well-prepared to deal with it.
He allowed the expectation of further appreciation of the baht led to speculation by some groups of people.
However, the strengthening of the baht to the current level reflected its fundamentals and the government would not allow the national currency to be inflated by speculation.
Regarding the inflation rise to the range of 3.3-3.4 per cent now, Mr Abhisit said the figure remains not worrying and does not put any pressure on the economy. The central bank told the Cabinet earlier this week that the inflation rate is still under control. (MCOT online news)
