The baht's appreciation is not expected to be as profound as last year's surge because a lower current account surplus is projected thanks to slower growth in exports and tourism, says Asia Plus Securities (ASP). The baht has become the second best performing regional currency after the Indonesian rupiah, with a 4.6% appreciation gauged, according to ASP. Despite the recent rally, the baht is not expected to log a 10% appreciation akin to last year's surge, said ASP. Customs-based exports rose unexpectedly by 2.1% year-on-year in April, highlighted by gold and aircraft exports. A meagre rebound in the tourism industry also contributes to a lower current account surplus as international travel restrictions and progress in developing a vaccine for the coronavirus temper rebound momentum, said ASP.

Source: Bangkok Post June 08, 2020 23:37 UTC