The Affect of Currency War

In the last three month of 2010, Asian country is going to face the appreciation of currency[1] causing from pumping US dollar in economic system. Thai Baht raise 11% against US Dollar, It is strongest level since 1997 .Thai exporters need to reduce the price to compete exporters of other countries .Thai central bank will remove the tax exemption for foreigners on income from domestic bonds in order to reduce the intensive inflow and hold or cut the key interest rate. Some Thai expert aware that the capital influx is not real invest, it comes to make illusion in stock exchange and disappear in the short time .It may affect the economic crisis.[2]

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[1] Condition which make  currency of one country more value comparing with US dollar or other currency of countries

[2] Bloomberg Business week, ‘Thailand May Avoid Higher Rate as Strong Baht Threatens Exports’

<http://www.businessweek.com/news/2010-10-18/thailand-may-avoid-higher-rate-as-strong-baht-threatens-exports.html> accessed on 25 October 2010