Thai Cabinet Endorses Keeping 1%-3% Inflation Target for 2025

  • Decision to keep inflation target is victory for central bank
  • Bank of Thailand pushed back at calls for a higher band

Inflation has undershot the central bank’s target this year, averaging 0.3% in the first 11 months.

Photographer: Andre Malerba/Bloomberg
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Thailand’s cabinet endorsed a deal to keep the official inflation target unchanged in 2025, a victory for the Bank of Thailand after it resisted calls for a higher goal that would have paved the way for more rate cuts.

Cabinet endorsed an agreement between the central bank and Ministry of Finance to keep the inflation target in a range of 1% to 3%, Deputy Finance Minister Julapun Amornvivat said after a cabinet meeting chaired by Prime Minister Paetongtarn Shinawatra in Bangkok on Tuesday.