Thailand is reportedly considering imposing taxes on physical gold trading to slow down the appreciation of the Thai Baht.

Thai authorities are considering imposing taxes on physical gold trading to slow down the appreciation of the Thai baht. According to informed sources, the Bank of Thailand and the Ministry of Finance are discussing taxing gold traded through various online channels and settled in Thai baht. As the information has not been made public yet, the sources requested anonymity. The sources indicated that such taxes may exempt gold traded in US dollars, on futures exchanges, or purchased in gold shops. The purpose of the taxation is to reduce gold exports, increase the cost of holding gold for Thais, and it was also mentioned that the inflow of dollars related to gold transport is one of the factors contributing to the strength of the Thai baht. Representatives of the Thai Ministry of Finance and the Bank of Thailand did not immediately respond to requests for comment.