BANGKOK, April 21 – Thailand’s policy interest rate is expected to be maintained at 2 per cent, according to Kasikorn Research Centre (KRC).
It said the Bank of Thailand’s Monetary Policy Committee (MPC) may keep the interest rate unchanged at its meeting Wednesday, after having reduced it by 0.25 per cent on March 12.
The kingdom’s political impasse which has impacted economic expansion and changes in the global monetary market following the US Federal Reserve’s gradual assets reduction are two major factors in the MPC’s decision on the interest rate, the research centre predicted.
The leading thing tank said the relaxed monetary policy will absorb Thailand’s economic risk at a certain level, giving the MPC some time to assess economic development before making any decision in the future.
KRC said the policy interest rate trend will be based on the country’s economic stability including household debt, inflation and capital movement.
