June 12, 2024 07:12 GMT
Bank of Thailand Keeps Policy Rate On Hold
THAILAND
The Bank of Thailand's (BoT's) Monetary Policy Committee voted 6-1 to leave the key policy rate unchanged at 2.50%, in line with expectations.
- The only dissenter unsuccessfully sought a 25bp cut. This represents a hawkish shift in the vote split, as the April meeting saw two members call for a rate cut.
- The central bank unveiled updated macroeconomic forecasts:
- 2024 GDP +2.6% Y/Y
- 2025 GDP +3.0% Y/Y
- 2024 CPI +0.6% Y/Y
- 2025 CPI +1.3% Y/Y
- 2024 core CPI +0.5% Y/Y
- 2024 core CPI +0.9% Y/Y
- The Bank of Thailand said that it expects headline inflation to return to the target from 4Q24, adding that it will continue to monitor exports, manufacturing recovery, and the impact of stimulus in 2H24.
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