Seesaw Supervision

Thai exchange controls imposed late last year and due for retraction in March may have achieved their aim of halting the rapid appreciation of the baht - at least temporarily. But at what cost to the country's reputation? By Christopher Jeffery

The initial response to the bloodless military coup in Thailand in September last year that ousted prime minister Thaksin Shinawatra was reasonably muted. Perhaps, in part, that reflected the positive sentiment pervading the financial markets at the time.Things didn't look too bad. The military swiftly introduced an interim government - which was ostensibly approved by king Bhumibol Adulyadej - and promised to hold a referendum to approve a new constitution, along with free and fair elections by