Bank of Thailand lifts 2022 growth and inflation forecasts

September 29, 2021

BANGKOK -- The Bank of Thailand (BoT) today kept its policy rate unchanged at 0.50% in a unanimous decision, a shift from the previous meeting when there were two voters in favour of a cut.

Notably, the BoT raised both its growth and inflation forecasts for 2022, amid significant progress in its vaccination drive and an earlier-than-expected relaxation of containment measures.

Although emphasising that economic recovery remains a priority, the central bank also reiterated the view that financial measures are more effective in supporting the economy than a further reduction in the already-low policy rate.

ANZ Bank said it was maintaining it forecast for the policy rate to stay at its current low until at least 2023. (ATI).