# Strong baht pits bank of Thailand against government | The ASEAN Post

> The Finance Ministry is pressing the Bank of Thailand to cut its benchmark rate from 1.5 percent to support growth, citing baht strength and low inflation. The central bank has resisted, intervening in the currency market and curbing short-term bond supply to limit the baht's gains. The baht is up more than 8 percent against the dollar this year.

- Date: 2016-12-29 · published 2016-12-29T12:00:00.000Z
- Category: macro · region Thailand · magnitude low
- Page: https://feedsoft.ai/events/73741-strong-baht-pits-bank-of-thailand-against-government-the-asean-post
- Commodities: [Thai Baht (THB per USD)](https://feedsoft.ai/c/USDTHB.md)

## Why it matters

A stronger baht erodes the competitiveness of Thai exports and the policy dispute raises uncertainty over the currency path. For feed buyers, a firmer baht marginally lowers the local-currency cost of imported feed ingredients.

## Read by commodity

- USDTHB: bearish ▼

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.