The Bank of Thailand eased the foreign income repatriation rules

Thailand has eased rules on retaining foreign income to alleviate pressure on the baht. This may positively affect exporters, international businesses, and foreign-owned companies operating in the country.

In mid-January, the Bank of Thailand (BoT) raised the threshold for overseas income that can be brought into the country from US$1 million to US$10 million per transaction. The change applies to both Thai individuals and businesses.

According to the central bank, transactions below the new threshold account for around 92% of Thailand’s total export value. With the revised policy, exporters and businesses can retain foreign income abroad for a longer period without converting it into baht.

The new measures are expected to ease pressure on the local currency, lower cross-border transaction costs and give businesses greater flexibility in managing foreign-currency income.

In addition to the above measures, the central bank continues to implement new rules for the online gold market amid concerns about the market’s impact on the currency.

The BoT’s new proposal, currently subject to public consultation, will limit online gold trading transactions that dominate the baht. Daily caps are expected to range from 20 million to 100 million baht per user per platform, with some exceptions.