Bangkok: The Bank of Thailand (BOT) has clarified that adjustments to the Net Errors and Omissions (NEO) data are routine and unrelated to the baht’s value.
According to Thai News Agency, the BOT announced that the balance of payments data adjustment for 2024 resulted in a $7.3 billion reduction in NEO. This change was due to statistical errors, not new financial transactions that could impact the baht. The BOT emphasized that these adjustments are regular and not prompted by financial irregularities.
Ms. Chayawadee Chaianan, Assistant Governor, Corporate Affairs Group and spokesperson for the BOT, and Ms. Pawinee Jitmongkolsamer, Senior Director, Financial Markets Department, explained that the 2024 Balance of Payments (BOP) update resulted in revised NEO figures. These adjustments adhere to the BOT’s data update standards, established in 2019, which include a major annual update in September and a minor one in March.
The September 2025 update addressed incomplete transactions, revealing factors such as more accurate import-export data, particularly regarding actual oil prices, leading to a $2.0 billion decrease in NEO. Additionally, using actual financial statement data for Foreign Direct Investment (FDI) reduced NEO by $2.7 billion. An extension of the debt repayment period for trade credit decreased NEO by $4.2 billion, while other items slightly increased NEO by $1.0 billion.
The BOT reiterated that the adjusted NEO figures reflect past transactions and do not indicate new funds in the current year. Consequently, they do not impact the baht’s recent appreciation, which was influenced by a nearly 10% weakening of the US dollar, improved domestic economic figures, political confidence, and rising gold prices, prompting increased gold sales and currency exchange into baht.
The preparation and updating of balance of payments data align with International Monetary Fund (IMF) standards, similar to other countries globally. Thailand’s NEO figure represents 1.0 percent of international trade value, lower than the 10-year average of 1.3 percent and the global average of 2.4 percent across 173 countries. This indicates that Thailand’s discrepancies are minimal and consistent with international norms.
The BOT will continue collaborating with relevant agencies, including the Customs Department, the Department of Business Development, and the Anti-Money Laundering Office (AMLO), to improve the accuracy of trade, investment, and financial transaction data. This collaboration will also support digital payment systems and financial identity verification (KYC/AML) measures, enhancing digital footprint verifiability.
While the BOT clarified that the NEO figure does not directly indicate illegal transactions, it acknowledged that some transactions might be inadequately classified, such as tourist cash spending or certain business sector money movements. This requires collaborative monitoring with agencies, particularly AMLO, to prevent the financial system from being exploited for money laundering or illegal fund transfers.
The BOT emphasized that the NEO data update is a standard annual procedure that does not reflect any economic or financial irregularities and aligns with international standards observed by many countries.