The Bank of Thailand plans to relax rules for yuan-baht trade payment supporting local currency settlement, reducing reliance on the US dollar.
The central bank has been studying the barriers to yuan-baht payment and plans to reduce those limits this year, said deputy governor for monetary stability Mathee Supapongse. This should encourage the private sector, including financial institutions and business operators, to use yuan-baht for payment and settlement, said Mr Mathee.
He said business activities and financial exposure between Thailand and China are active compared with other Asean countries, particularly for trade, investment and tourism.
