The exchange rate forecast for the Singapore Dollar (SGD) against the Thai Baht (THB) reflects a myriad of recent economic developments and market trends. As of September 9, 2025, the SGD/THB exchange rate has been evidencing a downward trend, currently sitting at around 24.61 THB, which is 2.5% lower than its three-month average of 25.24 THB. This rate has seen stability within a range of 24.61 to 25.58 THB, indicating a somewhat consolidative phase in the currency pairing.
Analysts attribute the SGD's recent performance to the Monetary Authority of Singapore (MAS) maintaining its monetary policy settings amidst a backdrop of modest economic growth of 1.4% in Q2 2025. While the decision to keep the rate of appreciation unchanged indicates confidence, concerns persist regarding a potential slowdown in growth as earlier export frontloading wanes. Core inflation has decreased significantly to 0.6%, which may afford MAS some leeway in maintaining current policy. Despite this, economists remain divided on whether further easing may be necessary heading into 2026 if economic conditions deteriorate.
On the other hand, the Thai Baht is reacting to significant political developments with the appointment of a new Prime Minister, Anutin Charnvirakul, who is expected to introduce short-term economic stimulus measures as he aims to bolster public sentiment and growth. The continued decline in Thailand's inflation rates, now lower at 0.79% per year, raises discussions about potential interest rate cuts by the Bank of Thailand to combat persistent economic challenges. Such macroeconomic maneuvers emphasize the necessity for flexible monetary policies as highlighted by the central bank's deputy governor.
The broader market also plays a critical role in influencing the SGD/THB exchange rate. Recent trends in oil prices, currently trading at USD 66.99, show volatility and are 2.9% beneath the three-month average of 68.98. Given that Thailand is a notable oil importer, fluctuations in oil prices may directly impact the THB, further complicating the exchange dynamics with the SGD.
In summary, the forecast for the SGD to THB remains cautious, with the potential for further shifts influenced by both domestic monetary policies and external market factors, including oil price trends. Stakeholders should remain vigilant to the interplay of these developments, as they could provide opportunities for optimized currency transactions if insights are well-timed.
