Central Banks
Bank of Thailand Defies Government Over Rates, Seeing Risks
- Decision to hold rates unchanged follows surprise October cut
- Bank keeps 2024 growth forecast, sees future uncertainty
The Bank of Thailand has stressed the importance of maintaining its neutral stance as the economy picks up and inflation slowly rises toward its 1%-3% target.
Photographer: Andre Malerba/BloombergThis article is for subscribers only.
Thailand’s central bank left its key interest rate unchanged after a surprise cut in October, warning of rising future uncertainties as it resists government calls for further policy easing.
The Monetary Policy Committee voted unanimously to keep the one-day repurchase rate steady at 2.25% at Wednesday’s meeting, a decision expected by 21 of the 23 economists surveyed by Bloomberg. The baht was little changed by the decision, which came shortly before neighboring Indonesia held its main rate unchanged at 6%.