BANGKOK: Thailand’s policy interest rate remains low and further tightening will be gradual to curb inflation risks as the economy continues to recover, a deputy central bank governor said on Sunday (Jun 25).
The Bank of Thailand raised its main interest rate six times since August to 2 per cent to tame inflation and policymakers have pledged a gradual return to normal levels consistent with long-term economic growth prospects.
However, the rate is still “low and probably the lowest” in Southeast Asia, which will help future investment, the central bank’s Mathee Supapongse told a business seminar.
“There won’t be any fast and aggressive rate hikes like in other countries.”
The central bank has said that a gradual tightening strategy will help to ensure continued recovery in Southeast Asia’s second-largest economy, driven by tourism and private consumption.
It has forecast…
