Post by account_disabled on Jan 1, 2024 21:47:48 GMT -8
Mr. Thitanan Mallikamas, Secretary of the Monetary Policy Committee (MPC), announced the results of the MPC meeting on 7 August 2019. The committee voted 5 to 2 to reduce the policy interest rate by 0.25. % per annum from 1.75% to 1.50% per annum with immediate effect, while 2 votes agreed that the policy interest rate should be maintained at 1.75% per annum. This interest rate reduction is the first time in 4 years and 4 months. (since April 2015) The committee assessed that the Thai economy is likely to expand at a lower rate. As estimated, the contraction in merchandise exports has begun to affect domestic demand. Headline inflation is likely to be below the lower bound of the inflation target framework.
Overall financial conditions remain at C Level Executive List a relaxed level. The stability of the financial system has been partially maintained. But there are still risk factors that need to be monitored. more accommodative monetary policy It will help support the expansion of the economy and allow general inflation to return to the target range. Therefore, the majority of the committee agreed that the policy interest rate should be reduced. In this regard, the committee will monitor foreign risks from trade protectionism conditions.
Higher international Trends in the expansion of the Chinese economy and major industrialized countries that will affect domestic demand. and geopolitical risks It will also follow the implementation of the new government's policies and government spending. as well as the progress of investment in important infrastructure and the consequent effects on private sector investment, which may affect the trend of economic expansion in the next period. As for the exchange rate, the committee is still concerned about the baht's strengthening situation compared to competing trading partners. This may have a greater impact on the economy in an environment where trade protectionism is more severe.
Overall financial conditions remain at C Level Executive List a relaxed level. The stability of the financial system has been partially maintained. But there are still risk factors that need to be monitored. more accommodative monetary policy It will help support the expansion of the economy and allow general inflation to return to the target range. Therefore, the majority of the committee agreed that the policy interest rate should be reduced. In this regard, the committee will monitor foreign risks from trade protectionism conditions.
Higher international Trends in the expansion of the Chinese economy and major industrialized countries that will affect domestic demand. and geopolitical risks It will also follow the implementation of the new government's policies and government spending. as well as the progress of investment in important infrastructure and the consequent effects on private sector investment, which may affect the trend of economic expansion in the next period. As for the exchange rate, the committee is still concerned about the baht's strengthening situation compared to competing trading partners. This may have a greater impact on the economy in an environment where trade protectionism is more severe.