Central Banks

Thailand Heads for Third-Straight Modest Rate Hike as GDP Recovers

  • Elevated inflation, economic recovery make case for rate hike
  • Central bank may revise its key economic assumptions

Workers unload flowers from a truck at a market in Bangkok.

Photographer: Luke Duggleby/Bloomberg
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Thailand is set to raise its key rate by a quarter point for a third straight meeting as an accelerating economic growth aided by tourism revival risks stoking prices.

The Bank of Thailand will increase the benchmark one-day repurchase rate by 25 basis points to 1.25% on Wednesday, according to all but one of 21 economists in a Bloomberg survey. One expects the central bank to hold the rate.