Thailand Land of Smiles» The Thai Baht

Foreign Currency on the Rise Again in Thailand

Talen — Wed, 04 Jun 2008 01:59:34 +0000

With rumors of a coup and continued protesting in the capitol The Thai government doesn’t seem to have a handle on the serious implications these factors have on the Thai economy and it’s rising inflation. Central banks across Asia were betting on a global slowdown to slow price increases. With U.S. and European export demands slowing down domestic consumption is rising steadily pushing inflation rates as high as 26% across Asia.

Bloomberg Reports show benchmark borrowing costs are lower than the rate of inflation resulting in negative real interest rates in Thailand, China, and the Philippines. Thailand has held it’s main rate at 3.25% for the past year while inflation has tripled to 6.2 %. There has been a strong boom in the Asian economy the past few years with all Asian currencies gaining on the dollar but investors have good reason to worry after the boom bust cycle of the 1980’s and early 90’s which led to a stampede of investors pulling money out of Asia plunging currency from Bangkok to Beijing. The longer Thailand and it’s neighbors delay anti-inflation action the greater the risk for another bust.

Whats bad for the Asian Economy has a small silver lining for those of us taking our foreign currency to the kingdom. The dollar has been gaining on the baht over the last week and now stands at 32.29 and rising to the dollar. Even though prices are increasing in Thailand you’ll still get more bang for your buck.

The Thai government is only feeding the fire with its political infighting which really boils down to the same problem it’s had for the past few years…Thaksin. Although he is no longer Prime Minister and his Party, Thai Rak Thai, was disbanded the majority party of the new government , Peoples Power Party, is the same Thai Rak Thai in sheeps clothing.

The current round of protests are due to the new Prime Minister SamakSundaravej’s meddling in the recent 2007 military drafted constitution trying to amend it with changes that would protect corrupt politicians and Keep former Prime Minister Thaksin from being prosecuted on charges of corruption.

Someone better start minding the store if they don’t want to re-live the economic crash of 1997.

To tip or not to tip in Thailand?

Talen — Mon, 15 Oct 2007 03:50:32 +0000

To tip or not to tip? As an American I was brought up in a tipping culture and therefore tip service wherever I go. Many people will tell you that Thailand isn’t a tipping culture or at least wasn’t till us Americans ruined the place leaving tips everywhere.

So, some people tip when they go to Thailand and some don’t and the argument rages on.

I had the chance to eat in some small Thai restaurants on my last trip and I watched what the Thai people did and oddly enough most of them left a tip for their waitress, not much but a tip all the same. They all seemed to leave just the change from the bill…maybe 5 to 10 baht each. When I asked my girl she said ” yah always leave tip…they work hard make little baht”.

One thing is for sure whether the Americans started it or not….Thais in the service industry expect something. Believe me, I’ve heard the term cheap Charlie thrown around on quite a few occasions when a non tipper left the scene of the crime.

Not everyone expects a tip. The street cart vendors or baht bus drivers you don’t tip. The taxi’s I usually round up the meter charge as a tip but for the maids, waitresses, and bartenders I tip well. You don’t have to give huge tips but what you give is appreciated and usually remembered. I usually leave the maid 20-50 baht a day tip and at the restaurant or bar leave a 20 – 50 baht tip….sometimes more as the restaurant and bar staff usually pool their tips. If I want to make sure that the person I want to get the tip gets it ‘ll slip it to them on the sly….more times than not they’ll split it with the others anyway.

Some people argue that they are already getting paid to do their job and shouldn’t get any more but for me I can’t see things that way, especially in a country where the average Thai earns between 3-6 thousand baht a month ($100-$200). Yeah, the cost of living is way cheaper in Thailand but that’s easy for a foreigner to say when we are spending the equivalent of a Thai’s yearly salary in a week or two on vacation.

The Thai people are very accommodating to begin with, taking care of the people taking care of you only makes for a better vacation and thats never a bad thing.

So, do you tip or not? Let’s here what the five of you think.

Thai Baht and taking money to Thailand

Talen — Sun, 14 Oct 2007 19:54:58 +0000

Pictures of all Thailand currency can be found in the Thailand Currency Gallery

The Baht is the currency in Thailand and is found in the following denominations:

20 Baht note Green

50 Baht note Blue

100 Baht note Red

500 Baht note Purple

1000 baht note Brown

25 Satang coin small brass coin

50 Satang coin small brass coin

1 Baht coin silver and slightly larger than a US cent

5 Baht coin silver & slightly smaller than the 10 Baht coin

10 Baht coin silver ring with a brass center

There are also 1,5, and 10 Satang coins you will occasionally run into along with the 25 and 50 Satang coins but normally you’ll only get these as change in a supermarket, chain stores, or sometimes a seven eleven. Most other places deal in whole baht denominations. If you do find yourself with a pocketful of Satang you’ll probably be bringing some home as souvenirs.

All Thai currency has the image of the king on it. It’s considered disrespectful to keep Thai money in your back pocket as you would be sitting on the king. Likewise if you should drop a note or coin don’t step on it to stop it as that is very disrespectful.

Never change your currency at home before traveling to Thailand as your home country exchange rates will be bad. There are many places to change currency in Thailand almost every bank has money changers on every corner in the tourist areas as well as their branch locations. Hotel and airport money changers typically give a bad rate as well so stick to the banks for the best rate. Although, it is a good idea to exchange a small amount at the airport when arriving just so you have money to get where you are going.

Due to the fluctuations of the Thai baht over the last several years there has developed a split exchange price one being offshore exchange rates and one being on shore (in Thailand). Be careful using exchange rate calculators such as XE provides as they give the offshore rate and many others do as well. Check the daily rates at Thai banks online like

Siam Bank

Kasikorn Bank

Bangkok Bank

or just come here and check the Bangkok Bank rate on the side bar which is updated daily.

ATM’s are everywhere in the tourist areas and they give the in country rate as well but beware your banks fees on withdraws and currency conversions from your currency to Baht because most of the time these fees will drop the rate considerably especially considering most banks will convert currency at the off shore rate. If you live in Great Britain open a Nationwide Flex Account and if you live in America open an ING Orange checking account both of these banks don’t charge fees for withdraws or convert your currency at the off shore rate.

Travelers checks are always the best option even though you’ll pay a percentage fee you always get the good rate on them. You also have the added security that if they are lost or stolen they will be replaced within 24 hours. Remember you will have to show your passport whenever changing Travelers checks.

Cash as they say is always king but unless you are bringing only large bills then the rate varies per denomination and the rate is only fractionally better than Travelers checks. Taking a large sum of cash anywhere these days is a bad idea and not worth the risk.

Your best bet is to have a mix of travelers checks and a credit/debit card so you’ll be covered in all cases.

Note: using your credit/debit card at ATM’s is usually very safe but don’t use them in stores or shops to buy goods because credit card fraud is rife in Thailand. The only time I’ve used them other than ATM’s is at the hotel but I felt comfortable with the owners/management before I did.

Thailand Land of Smiles» The Thai Baht

Foreign Currency on the Rise Again in Thailand

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To tip or not to tip in Thailand?

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Thai Baht and taking money to Thailand

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