State banks are increasing their interest rates following the Bank of Thailand’s policy rate hike.
Both the Government Savings Bank (GSB) and the Bank for Agriculture and Agricultural Cooperatives (BAAC) have raised interest rates for both loans and deposits, with deposit rates higher than loan rates.
Vitai Ratanakorn, president and chief executive of GSB, said after the central bank raised the policy rate by a quarter percentage point from 1.75% to 2% on May 31, GSB raised fixed deposit rates to a maximum of 0.35% per year.
The bank also launched high-yield deposit campaigns, such as special deposit products and savings lotteries that increase the amount of both interest and prizes.
On a gradual basis, GSB increased all types of loan rates by 0.25% per year, effective June 8,…
