Bank of Thailand Keeps 1.25% One-Day RP Rate and Calls Accommodative Stance Appropriate
December 2, 2009
After reductions of 100 basis points in early December 2008, 75 bps in mid-January 2009, 50 bps in late-February, and 25 bps last April 8th, the Bank of Thailand has kept its benchmark interest rate at the very low 1.25% level ever since. A statement from monetary officials released after today’s meeting suggests that the central bank leaders will probably wait a couple of more quarters before implementing any exit strategy from this accommodative yet “appropriate” stance. A gradual pace of positive growth is foreseen in Thailand, but it is one that will “require sustained policy support.” Core inflation is near zero, and price pressures are subdued for now.
Copyright Larry Greenberg 2009. All rights reserved. No secondary distribution without express permission.
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