More cozying up to China as Thailand becomes the latest to distance from the dollar.
The Bank of Thailand is in discussions with China's central bank over supporting the use of yuan-baht settlement to mitigate foreign exchange risk amid ongoing US dollar volatility.
According to central bank governor Sethaput Suthiwartnarueput, the Bank of Thailand and the People's Bank of China have held talks over additional cooperation to encourage businesses to use yuan-baht settlement for trade between the two countries.
The Bank of Thailand plans to meet its Chinese counterpart next month to talk about the issue.
In 2021, both central banks renewed their yuan-baht Bilateral Currency Swap Arrangement (BSA) with the aim of boosting trade and investment in local currencies and strengthening financial cooperation between the two countries.
The BSA is also meant to build private sector confidence in using local currencies for cross-border operations.
https://www.bangkokpost.com/business/25 ... e-payments
Thai banks eye yuan-baht trade payments
Thai banks eye yuan-baht trade payments
Who is the happier man, he who has braved the storm of life and lived or he who has stayed securely on shore and merely existed? - Hunter S Thompson
Re: Thai banks eye yuan-baht trade payments
Yuan overtakes dollar to become most-used currency in China's cross-border transactions
The yuan became the most widely-used currency for cross-border transactions in China in March, overtaking the dollar for the first time, official data showed, reflecting efforts by Beijing to internationalise use of the yuan.
Cross-border payments and receipts in yuan rose to a record $549.9 billion in March from $434.5 billion a month earlier, according to Reuters calculation based on data from the State Administration of Foreign Exchange.
The yuan was used in 48.4% of all cross-border transactions, Reuters calculated, while the dollar's share declined to 46.7% from 48.6% a month earlier.
https://www.reuters.com/markets/currenc ... 023-04-26/
The yuan became the most widely-used currency for cross-border transactions in China in March, overtaking the dollar for the first time, official data showed, reflecting efforts by Beijing to internationalise use of the yuan.
Cross-border payments and receipts in yuan rose to a record $549.9 billion in March from $434.5 billion a month earlier, according to Reuters calculation based on data from the State Administration of Foreign Exchange.
The yuan was used in 48.4% of all cross-border transactions, Reuters calculated, while the dollar's share declined to 46.7% from 48.6% a month earlier.
https://www.reuters.com/markets/currenc ... 023-04-26/
Who is the happier man, he who has braved the storm of life and lived or he who has stayed securely on shore and merely existed? - Hunter S Thompson