Single ASEAN currency idea revisited

Although the cost of travel in Thailand is significantly lower than in many parts of the world, one of the biggest problems faced by many travellers is constantly having to work out the conversion rate to find out exactly how much they are spending.With the Baht converting at a rate of 35 to the US dollar and 55 to the UK pound or 40 to the Euro, it becomes difficult to figure out the price of things for those used to budgeting in their home currency.

However talks are currently underway that could change all that and the Chiang Mai Initiative has proposed a revolutionary new solution. Signed in May 2000 by 13 Asian countries including Thailand, the Chiang Mai Initiative is intended to improve trade and tourism throughout Asia.

Recently that Finance Ministry advisor Dr Olarn Chaipravat  predicted that the collaboration between that leading Asian nations might well result in a single Asian currency.

This is one of the main topics for discussion in the Asia-Europe Meeting Summit, in which a number of leaders are meeting in Beijing to discuss how best to improve relations between the nations.

If a single Asian currency is achieved it could have a big impact on the tourism industry and certainly save those travelling between Asian countries a lot of time and trouble in converting currency and trying to figure out the cost of items.

However, there is still much work to be done as currency exchange rates, monetary policies and economic strengths vary wildly across the region, from prosperous Singapore to communist run Laos.