From USD/THB to the Bigger Picture
For most people, the baht means USD/THB. It is quoted daily, tracked by exporters, tourists, and investors around the world. Over the past decade it has fluctuated in a visible band between 30 and 37 per dollar — which looks relatively “stable” at first glance.
But the dollar is just one partner. Thailand trades as much with China, Japan, and ASEAN as with the US. Inflation differences also matter. That is why economists use the Real Effective Exchange Rate (REER) — a broader scoreboard of Thailand’s competitiveness.
REER: What the Data Shows
When we place REER next to USD/THB (2015–2025), the paradox is clear: