The Thai Baht was initially pegged to the British Pound at a fixed rate of 8 TBH to 1 GBP until 1880. Subsequently, this rate underwent several adjustments, linking the Baht to the Japanese Yen at par during World War II. Post-war, it was pegged at 20.8 Baht per 1 US Dollar, transitioning to 20 Baht per US Dollar in 1978 and then to 25 Baht in 1984.

A financial crisis struck Thailand in 1997, causing a 50% devaluation of the Baht and compelling the adoption of a floating exchange rate system. Following this economic collapse, the Thai Baht eventually stabilised.