Speaking a day after the Thai stock tumbled over two percent, Thai Finance Minister Chalongphob Sussangkarn said the world should boost efforts in tackling volatilities in the stock and currency markets.

"The issue of managing exchange rates and capital flows is one of the most important economic issues facing Thailand today," he said, adding that "a solution to effectively cope with financial volatilities cannot be achieved through separate national policies."

"We need concerted regional and global cooperation," the former World Bank economist said at a central bank conference in Bangkok.

Apart from the volatile stock market, Thailand is trying to curb the baht, which has remained at 10-year highs against the dollar since early July on the back of massive capital inflows.

The strong baht has alarmed Thailand's army-backed government as it put pressure on its export-driven economy, which was already in a slump due to political uncertainty following a coup in September 2006.