Growth forecast for 2023 cut to 2.8%
The Bank of Thailand’s Monetary Policy Committee (MPC) voted unanimously yesterday to raise the policy rate by a quarter percentage point from 2.25% to 2.50%, effective immediately, the highest level since October 2013.
MPC secretary Piti Disyatat said the economy is continuing to recover this year, albeit at a slower pace because of soft external demand. He said if the Thai economy maintains its projected pace, the committee expects to keep rates steady for a while.
Given the weak demand, the committee cut its growth forecast for 2023 from 3.6% to 2.8%.
Growth this year softened somewhat from a delayed recovery in merchandise exports and tourism, as growth is subdued in China and the global economy is stagnant.
The committee also cut its estimate for foreign arrivals…
