The Thai Baht, represented by the currency code THB and the symbol ฿, is the official currency of Thailand. The Bank of Thailand issues and manages the Thai Baht.
The Thai Baht, originally known as "tical", has been the currency of Thailand since the 19th century. It was originally a unit of weight for precious metals and was adopted as the country's currency with the creation of a decimal system in 1897.
Exchange rate regime:Floating
Thailand's Monetary Policy
The primary objective of Thailand's monetary policy, as implemented by the Bank of Thailand, is to maintain price stability. The Bank uses the 1-day bilateral repurchase rate, similar to the policy rate or interest rate used by other central banks, as its main policy tool.
The Bank of Thailand also plays a crucial role in maintaining the stability of the Thai Baht. While the Baht is floated freely in the foreign exchange market, the Bank sometimes intervenes to prevent excessive volatility that could disrupt economic stability.
Key Features of THB
The Thai Baht is subdivided into 100 satang. Coins are issued in denominations of 1, 2, 5, and 10 Baht, and 25 and 50 satang, while banknotes come in denominations of 20, 50, 100, 500, and 1,000 Baht.
Thai Baht banknotes and coins feature images of the country's monarchs, reflecting Thailand's deep respect for the monarchy. For instance, current banknotes bear the portrait of King Maha Vajiralongkorn, who succeeded King Bhumibol Adulyadej.
Financial experts regard the Thai Baht as a stable currency in the ASEAN region, backed by Thailand's relatively strong economic fundamentals and substantial foreign reserves. However, as an export-dependent economy, Thailand and its currency can be sensitive to global economic trends, trade conditions, and commodity prices.
The Thai Baht has also been under the spotlight due to its consistent strength in recent years, which has raised concerns about the competitiveness of Thai exports. The Bank of Thailand's measures to manage the Baht's strength and support the economy, such as interest rate cuts and relaxed regulations on capital outflows, are key points of interest for analysts.
The Bank of Thailand is responsible for regulating the Thai Baht. It oversees the country's monetary policy, manages foreign reserves, and ensures the stability and efficiency of the country's financial system.
As part of its regulatory role, the Bank of Thailand has implemented measures to prevent financial crimes. These include stringent Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations that financial institutions must follow.
Key considerations to bear in mind
Payment instructions should contain the beneficiary's IBAN, name, and address.
Payment Processing Time
The time taken for a payment to reach the recipient's bank account can vary. Domestic transfers within Thailand are typically processed quickly, while international transfers may take a few business days. Consider the processing time when planning your payment to ensure timely delivery. The iBanFirst Payment Tracker can help you track those payments, and ensure a smooth and efficient payment experience.
Fees and Charges
Banks and financial institutions may apply fees and charges when processing international payments. These fees can vary, so it is advisable to check with your bank to understand the charges associated with your transaction. Check out iBanFirst’s Savings Calculator to estimate how much you could save on your next international payment.
New Year's Day
Chakri Memorial Day
Birthday of King Maha Vajiralongkorn
Makha Bucha Day
Visakha Bucha Day
Asahna Bucha Day
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