Comparison Of The Competitiveness Of RMB And Baht 's Currency Region

In recent years, with the development of economy and the advance of economicglobalization, the international monetary competition is fierce. At the same time,China’s economy gradually develops, foreign trade gradually expands, the RMB alsostarted to go abroad, performing the function of international currency in thesurrounding countries. It is obvious that the internationalization of the RMB willconform to the trend. In the near future, it will also participate in the internationalcurrency competition. Therefore, it is of significance to study of the internationalmonetary competition and seek factors influencing the international monetarycompetition. The regionalization of the currency is one of the premises forinternationalization.Compared with the other countries in the Great MekongSubregion,China has a certain advantage in economy and trade volume. At the sametime,Thailand is a very important country with the more developed economy. It takespart in the international cooperation actively, promotes the export-oriented economyand influences on both economy and culture of other members. Also, the Thai baht isaccepted widely in the area and it is a powerful competitor for the RMB. Theregionalization of the RMB and the Thai baht has its own advantages anddisadvantages. The article is analyzing the currency competitiveness of RMB andThai baht from the aspects of economic strength, currency elasticity, financial marketsand international business. After building the table of currency competitivenessevaluation of RMB and THB, the article reaches the conclusion that the RMBrelatively stronger than THB and gives the suggestions.