FTI, BOT discuss impacts of stronger baht

BANGKOK, January 29 (TNA) - Executives of the Federation of Thai Industries (FTI) held talks with Bank of Thailand (BOT) Governor Prasarn Trairatworakul on Tuesday afternoon on impacts from the fast appreciation of the Thai baht. During the discussion, the FTI team, led by Chairman Payungsak Chartsutthipol, proposed seven measures to ease the impacts of the strengthening Thai baht on local business operators, especially small and medium-sized enterprises (SMEs). They include containing the fluctuation of the Thai baht, taking care of the Thai currency so that it will not become stronger than other rival countries in the region, easing regulations on people's holding of foreign currencies, reducing service fees on risk management, separating foreign investment accounts from those of speculative purpose, promoting more overseas investment of Thai business operators and accelerating more private and public investment projects in the country. Meanwhile, Achana Limpaitoon, President of the Thai Auto-Parts Manufacturers Association, asked the government to keep the exchange rate at 30 baht a US dollar, pointing out that the fast appreciation of the Thai currency made it difficult for local manufacturers to settle prices with their overseas buyers. Achana estimated, however, that the value of Thai auto parts exports should stand around 15 billion baht this year, remaining intact from last year, cushioned by continual orders from overseas markets and the expanding domestic automobile industry, with pickup trucks and eco-cars being the product champions. According to the Thai Auto-Parts Manufacturers Association chief, Thailand exported about 2.45 million vehicles last year, making the Kingdom become the world's 7th largest automobile exporter and the world's 10th largest automobile manufacturer, up from the 13th ranking, while emerging as an automobile production hub of the 10-member Association of Southeast Asian Nations (ASEAN) as well. (TNA)