The Thai baht fell below 32 against the US dollar, the lowest level in three years, following concerns about the outflow from investors and the stock market also sank at one point to its lowest intraday level since last November.
Capital outflows were rising after a US Federal Reserve (FED) meeting last month showed support for a stimulus to help the US economy improve.
During the past month, the baht has done this, compared with the benchmark US dollar. The inset shows the closing value of the baht on August 22 evening, a Thai newspaper reported.
The local currency slid to its weakest level since August 2010, the first time it dipped below 32 since July 2012. The baht fell to 32.09/32.13 to the greenback and has dropped about 5 percent this year.
Thai stocks were also in the negative territory in line with foreign markets after the FED signaled the termination of quantitative easing.
Pongpen Ruangveerayuth, deputy governor at the Bank of Thailand, said that capital has begun to flow out of emerging markets, including Thailand , leading to the weakening of currencies across Asia .
If the baht continues to depreciate at a faster pace, the central bank might have to take necessary steps, she added.
Concerns over growing fund outflows was one reason that the central bank's Monetary Policy Committee maintained its interest rate policy at 2.5 percent even as economic growth is slowing.-VNA
Capital outflows were rising after a US Federal Reserve (FED) meeting last month showed support for a stimulus to help the US economy improve.
During the past month, the baht has done this, compared with the benchmark US dollar. The inset shows the closing value of the baht on August 22 evening, a Thai newspaper reported.
The local currency slid to its weakest level since August 2010, the first time it dipped below 32 since July 2012. The baht fell to 32.09/32.13 to the greenback and has dropped about 5 percent this year.
Thai stocks were also in the negative territory in line with foreign markets after the FED signaled the termination of quantitative easing.
Pongpen Ruangveerayuth, deputy governor at the Bank of Thailand, said that capital has begun to flow out of emerging markets, including Thailand , leading to the weakening of currencies across Asia .
If the baht continues to depreciate at a faster pace, the central bank might have to take necessary steps, she added.
Concerns over growing fund outflows was one reason that the central bank's Monetary Policy Committee maintained its interest rate policy at 2.5 percent even as economic growth is slowing.-VNA
