The weaker baht of recent weeks cannot be sustained, as monetary easing by major economies is still prompting funds to flow to anywhere offering higher returns, says the Finance Ministry.
Somchai Sujjapongse, director-general of the Fiscal Policy Office, said recent meetings between the Bank of Thailand and the ministry have created a psychological impact on the currency.
Investors are betting that measures to tame capital inflows and the baht's rise are just around the corner, he said.
The ministry and exporters are ratcheting up pressure on the central bank to impose any measures or slash the policy rate, as they believe the current 2.75% is relatively high and attracts foreign funds to flee to Thailand, particularly in bonds, and pushes up the baht.
The currency rose by 6-7% at one point this year to a fresh 16-year high before weakening to 29.31/29.33 baht to the US dollar on Tuesday as concerns over potential measures stoked demand for the greenback.
Mr Somchai said the central bank's Monetary Policy Committee (MPC), the ministry and the National Economic and Social Development Board will cooperate to closely monitor capital inflows.
The MPC said in a statement issued on Tuesday evening after a regular meeting with the central bank's officials that it is ready to coordinate with the ministry to implement timely policies to stabilise the baht.
Separately, Deputy Agriculture Minister Yuthapong Charassathien blamed the baht's recent appreciation as the reason for the falling rubber price.
Raw rubber sheet is now priced about 80 baht a kilogramme based on the baht being about 29 to the dollar, down from 100 baht in the same period last year when the baht stood at 33.
Mr Yuthapong said even with the decline in the rubber price, farmers are still making a profit, as their costs are 62 baht per kg on average.