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Thai economic recovery will be visible from Q3 onwards: UTCC
“The inflation will peak at 7.6 per cent in the third quarter as manufacturers will gradually raise their prices to cope with rising costs from surging energy prices. However, this will come down to around 5.5-6.5 per cent in the last quarter,” he said.
Thanawat, meanwhile, estimates that the Monetary Policy Committee will up the policy rate three times this year from July onwards to tackle inflation. By yearend, Thailand’s policy rate should be 1.25 per cent.
UTCC also said that Thailand’s Consumer Confidence Index (CCI) rose to 41.6 in June, up from 40.2 in May and the highest in six months.
“Our survey shows that consumers are starting to feel a slight revival of the economy as the Covid-19 situation is improving and restrictions are being lifted, especially for foreign arrivals,” Thanawat said.
“Consumers are, however, concerned about the rising price of fuel…
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