Bank of Thailand
March 23, 2016
Thailand’s monetary policy interest rate was left at 1.5% as widely expected. Such was also the result of the previous six Monetary Policy Committee meetings. In 2015, the rate was cut by 25 basis points each in march and April. Six earlier reductions of that magnitude were implemented from November 2011 to March 2014. A released statement today mentions a weakening of economic momentum and revises projected growth lower. Inflation is still negative, and inflation risks are skewed to the downside. Nevertheless, “monetary conditions remained accommodative, and the policy space should be preserved.” In other words, policymakers are keeping their powder dry just in cast economic conditions deteriorate further.
Copyright 2016, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Thailand