PATTAYA, Thailand – The Thai baht opened slightly stronger on Monday at around 32.40 per US dollar, but analysts say the currency still faces pressure and could weaken further — a development that may ultimately benefit tourism hubs such as Pattaya.
According to analysts at Krungthai Bank’s Krungthai GLOBAL MARKETS unit, the baht opened at 32.40 against the dollar on March 17, strengthening slightly from the previous close of 32.44. Since overnight trading, the currency has moved without a clear direction, fluctuating in a range of roughly 32.23–32.54 per dollar.
The slight recovery came as the US dollar softened after reports that some oil tankers had resumed transiting the Strait of Hormuz, easing some global supply concerns and allowing investors to cautiously increase risk exposure.
Over the next 24 hours, the baht is expected to trade within a range of 32.30–32.55 per dollar as investors wait for signals on the US economic outlook and the monetary policy direction of the Federal Reserve. Key indicators expected soon include private-sector employment data from ADP and pending home sales figures.
Despite the current stability, analysts say the baht still carries downside risks. If geopolitical tensions in the Middle East escalate or persist longer than expected, the currency could weaken toward the next resistance zone of around 32.80–33.00 per dollar.
While a weaker baht can raise import costs and add pressure to Thailand’s economy, tourism-driven cities such as Pattaya could see a longer-term upside. A softer currency improves purchasing power for international visitors, potentially making hotels, restaurants, and entertainment venues more attractive to foreign travelers.
In recent years, some long-term visitors and tourists have complained that Thailand has become relatively expensive as the baht strengthened. A gradual weakening of the currency could help restore some of that value perception, encouraging visitors to stay longer and spend more.
Foreign investor flows will also play a role in currency movements. Continued selling of Thai assets could pressure the baht further, though analysts note that rising Thai bond yields may attract renewed interest if global tensions ease and investors seek higher returns.
Much will also depend on the monetary policy outlook of the Bank of Thailand, with expectations that the central bank could maintain its policy interest rate at around 1.00 percent throughout the year.
