Thai Minister: Dong Devaluation Won't Affect Thai Econ Much
BANGKOK -(Dow Jones)- Vietnam's decision to devalue its currency will have
little impact on the Thai economy, Thai Finance Minister Korn Chatikavanij said
Thursday.
He told reporters that the move by Vietnam's central bank--which also signaled
higher interest rates--may have only a slight impact on Thai exporters, adding
that it is unlikely to prompt the Bank of Thailand to hike rates.
The State Bank of Vietnam on Wednesday said it will raise the tightly
controlled dollar-dong exchange rate, and will next month hike its benchmark
interest rate to 8.0% from 7.0%. The move was seen as bowing to market forces
that have pressured the dong and as an attempt to curb inflation and reduce a
drain on Vietnam's foreign-exchange reserves.
-By Bangkok bureau, Dow Jones Newswires; 66-2266-0744; djnews.bangkok@
dowjones.com
(END) Dow Jones Newswires
11-25-092338ET
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