Thai Inflation 6%?

[av8r 0]

Reading on Stick the other day that they are using 6% to figure inflation in LOS. Is that correct? That seems a little high.

[jacko 8,822]

Government inflation figures are like all statistics, massaged.

 

I would bet 6% is on the low side, particularly around Pattaya. My weekly BJ went up 16% last month!

[Eneukman 1]

Last figure I saw was a bit over 5% so I reckon 6% isn't far off the mark. Problem I don't think my income increases by the same amount.

 

Alan

[Shilo 371]

Something to remember: there is inflation, then there is Thai inflation.... but most importantly there is your personal inflation.

 

We all know and understand the concept of inflation, in the simplist terms it's the rise in prices. But here in the states we tend to look at a "basket" of goods, price them each month and then look for the increase in prices. However, we will also "remove" energy and food from the basket to get what we call the "core" inflation.

 

But then there is your own personal inflation. If the cost of gas and autos is going up it doesn't effect a person who doesn't drive unless the price of public transportation goes up. My kids are all grown so if the cost of education goes up then again it's doesn't effect my "personal' rate of inflation.

 

We can't know what impact the Thai inflation will have on us till we understand what they use in their "basket" of goods and services. I still book my room at my favorite hotel at the same rate I had 5 years ago, I tend to pay the girls the same rate, barfines are a moving target (going up and down from time to time) but as long as I avoid party nights when they get just plain silly then there hasn't been much of a change, and even drinks seem to stay in a somewhat tight range.

 

I think there has been more "punter" inflation in Bangkok then in Pattaya.

 

.

[jacko 8,822]

Something to remember: there is inflation, then there is Thai inflation.... but most importantly there is your personal inflation.

 

We all know and understand the concept of inflation, in the simplist terms it's the rise in prices. But here in the states we tend to look at a "basket" of goods, price them each month and then look for the increase in prices. However, we will also "remove" energy and food from the basket to get what we call the "core" inflation.

 

But then there is your own personal inflation. If the cost of gas and autos is going up it doesn't effect a person who doesn't drive unless the price of public transportation goes up. My kids are all grown so if the cost of education goes up then again it's doesn't effect my "personal' rate of inflation.

 

We can't know what impact the Thai inflation will have on us till we understand what they use in their "basket" of goods and services. I still book my room at my favorite hotel at the same rate I had 5 years ago, I tend to pay the girls the same rate, barfines are a moving target (going up and down from time to time) but as long as I avoid party nights when they get just plain silly then there hasn't been much of a change, and even drinks seem to stay in a somewhat tight range.

 

I think there has been more "punter" inflation in Bangkok then in Pattaya.

 

.

 

Well my regular GO-GO has put up my beer to 105 from 85. Wasn't so long ago when all beers were under 100 in Pattaya, now 110 and 115 is common. Even beer bars that charged 50 baht now ask 60+

 

There was a meeting of Pattaya Hotel owners reported on the news recently, ostensibly to discuss supplying non-smoking room as a guest option......but increasing room rates for 2007 was slipped in there.

 

Barfines were always 500 in the GGs. now 600 is common.

 

Yes inflation is impacting me in Pattaya.

Edited November 6, 2006 by jacko

[nidnoyham 30]

The other consideration, is the exchange rate of the currency you are transfering to LOS to live on. When the GBP/Baht went from 70+ to low 60's my mate had a pension cut.

You do get used to living at one rate, which becomes a problem if it changes at the wrong time.

Edited October 26, 2006 by nidnoyham

[Gary 4,119]

The British pound is damn sure holding up better than the dollar. The exchange rate just dropped to 36.92 to a dollar. I was waiting for the exchange rate to get to at least 39 to a dollar before I made a wire transfer. I sure fucked that up.

[torrenova 644]

A valid point was made there about personal inflation versus overall inflation.

 

Electricity is way up over the last few years, perhaps nearly 100%. I suppose foodstuff has increased but I would not know how much as I don't monitor it. Inward costs for alcohol purchases is up significantly.

 

I know that costs for the girls is up. Their rent has increased, as have their daily food costs. Perhaps insignificant amounts to tourists but very significant to them.

 

Some rents have fallen but others have risen. Generally it takes more work to find places at good rentals. Hotel rooms have generally risen but some have been held back due to lack of investment and refurbishment.

 

Of course, the greatest factor is the exchange rate and the length of time you are here as it matters little on a short visit and rather more the longer you stay.

 

Overall, the cost of coming here or living here has increased but how much depends on the individual.

[jacko 8,822]

The British pound is damn sure holding up better than the dollar. The exchange rate just dropped to 36.92 to a dollar. I was waiting for the exchange rate to get to at least 39 to a dollar before I made a wire transfer. I sure fucked that up.

 

Bloomsberg are just discussing the strength of the Thai baht, the best performing currency in the region relative to the $, but also the Rupiah doing well.

 

Currently 36.88 baht/$ and 1.89 $/£....Not sure where the £ is going, seems to cycle between 1.89 and 1.86 depending on the time of month. Probably up today as US interest rates have been held, UK ones are expecting a hike. I lost a chunk of money a few years ago by transferring into $, as the £ slid...I think I suffered a 1.48-1.6 movement the wrong way, and shitty USA interest rates on top of that.

 

Since I have retired in Thailand, exchange rates, inflation and interest rates are my obsession!

Edited October 27, 2006 by jacko

[Gary 4,119]

I don't think the inflation rate is that high unless you are just talking about whoremonger's inflation. The exchange rate of 36.7 is another thing. It SUCKS!

[dacah 0]

Looking at inflation rates of about 6 %...does that mean 530 ST and 1060 LT

 

 

Same same ...up to u

[jacko 8,822]

Looking at inflation rates of about 6 %...does that mean 530 ST and 1060 LT

 

 

Same same ...up to u

 

Get real, 530 will be rounded up to 600, and LT rounded up to 1500. The 'taxi' will be 60 baht not 50 now.