Thailand Unexpectedly Cuts Rate for First Time Since 2020

  • Bank of Thailand voted 5-2 to cut the one-day repurchase rate
  • Central bank had long resisted government call to ease policy

BOT Governor Sethaput Suthiwartnarueput.

Photographer: Valeria Mongelli/Bloomberg
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Thailand’s central bank cut its benchmark interest rate for the first time in more than four years, a surprise move given it has long resisted the government’s calls to ease monetary policy.

The Bank of Thailand voted 5-2 to cut the one-day repurchase rate by a quarter of a percentage point to 2.25% at Wednesday’s meeting, as predicted by only five out of the 28 economists surveyed by Bloomberg. The last time it cut rates was in May 2020.