BOT attributes baht depreciation to risk factors

BANGKOK, August 5 (TNA) - The Bank of Thailand (BOT) has attributed the weakening Thai baht to both internal and external risk factors but noted that capital inflows and outflows remain balanced. BOT Governor Prasarn Trairatvorakul told journalists on Monday that the ongoing baht depreciation is caused by a slowdown in the world economic recovery and domestic political rallies. According to the BOT chief, if the domestic political demonstrations were not prolonged, there would not be any serious problem and the BOT and other concerned agencies have kept monitoring the updated situation. The BOT chief acknowledged that capital inflows and outflows have been balanced with no signals of any unusual capital outflow. The baht value opened the domestic currency market this week at 31.25-31.28 baht a US dollar on Monday morning. Permanent Secretary for Finance Areepong Bhoocha-oom affirmed that Thailand's economic fundamentals remain strong and all sectors of the national economy will continue their functions if the ongoing demonstrations remain peaceful. (TNA)