The ongoing feud between Prime Minister Srettha Thavisin and Bank of Thailand Governor Sethaput Suthiwartnarueput regarding interest rates remains the focus of media attention. Meetings of the Monetary Policy Committee (MPC) have been closely watched as elements of the government and business sector believe the central bank needs to reduce the policy rate. The MPC is set to meet six times in 2024, with the first meeting on Feb 7 concluding with the decision to keep the rate at 2.5%.
In anticipation of the next session on April 10, the government is advocating for an urgent, unscheduled meeting to reduce the rate, citing an economic crisis. This sentiment is echoed by several businesses that feel the impact of higher interest rates over the past year. Nevertheless, the central bank and some economists maintain that the process should not be…
