Thailand to cool inflows with 15 % bond tax

Discussion in 'Wall St. News' started by ASusilovic, Oct 12, 2010.

  1. Thailand is introducing a 15 per cent withholding tax on interest payments and capital gains on bonds held by foreign investors to curb capital inflows which are driving up the value of its currency.

    The move comes amid an increasingly bitter international debate over currency policy. Other countries, most notably Brazil, South Korea and Indonesia, have taken lesser measures to control inflows. But Thailand’s move sends a clear signal that the country’s monetary authorities are willing to take unpopular and controversial measures to curb so-called “hot money” inflows.

    We don´t want "hot money"...hum, fiat money...hum, USD... :D