Thai central bank clamps down on baht speculation

The Bank of Thailand clamped down further on baht speculation on Monday, telling local banks it would start strictly enforcing a ban on one-day, tom/next and forward dollar/baht deals with offshore parties if there was no underlying commercial purpose.

The central bank said that for a three-day grace period from November 27 to November 29, Thai banks would be allowed to conduct one-day non-commercial deals with offshore players but would have to sell dollars obtained through such transactions