Russia's economic crisis will have only a limited effect on the Thai economy due to minimal bilateral trade, but Russia's ailment could still affect capital flows to emerging markets, says a Bank of Thailand official.
Central bank spokesman Chirathep Senivongs Na Ayudhya said an indirect effect of Russia's weakening economy would be a decline in visits to Thailand by Russian tourists, particularly in Pattaya and Phuket.
Exports to Russia make up an estimated 0.5% of Thai shipments, while Russians constitute 6.6% of foreign tourists coming to Thailand, he said.
The central bank will closely monitor the economic impact on related businesses in Thailand such as the property sector and foreign direct investment from Russia.
The Russian economy has suffered from economic sanctions imposed by Western countries and a slump in oil prices.
This has contributed to the rouble's sharp depreciation and prompted the Russian central bank to raise its benchmark interest rate dramatically to 17% from 10.5%.
Although the Russian crisis could affect emerging markets, it is difficult to assess the current effect since investors have not been active during the year-end period, Mr Chirathep said.
"The Russian case could affect investors' sentiment, but investors will have to wait until January, as markets currently have thin trading volume," he said.
"Regarding concerns about emerging markets, fluctuations will occur as usual, but the Asian market is not a concern due to its strong stability."
Mr Chirathep said volatility in foreign exchange rates and capital flows would probably continue based on each country's economic fundamentals or those of the relevant region.
Asian economies have less to worry about thanks to sound fundamentals and policies aimed at managing private consumption internally, he said.
Russia has had problems with its economic management, leaning towards state-run policies rather than fully incorporating market forces, Mr Chirathep noted.
Besides the emphasis on state-run policies, the Russian economy has plunged due to sanctions imposed by a group of developed economies after the incursion into Ukraine and fallout from a decline in global crude prices.