That was the front page headline in yesterday’s Bangkok Post. The baht hit a two-year high against the dollar. That’s a problem for the Thai exporters but not one for this American.
Thai exports are sensitive to the USD exchange rate so the government buys dollars to keep the rate within the desired range. Thirty baht to the dollar seems to be a line they don’t want to cross. Most of the time it’s 31 or 32 point something. My financial projections are based on 30 but I’m prepared for worse.
The last few years have seen big swings in the exchange rates between the British Pound and both the Baht and the Philippine Peso. I heard and read tales of woe from Brits who had dealt with a 40% drop in their purchasing power. They hunkered down and survived it but it doesn’t look like anything I’d want to go through but I don’t have much choice about that.
One good side effect of having to open a Thai Baht savings account to get the long stay visa is that I’m immune to current exchange rate while taking living expenses from the Thai account.