Thai central bank chief revises GDP growth forecast up to 2.1% for this year

BANGKOK: The chief of Thailand’s central bank said on Thursday that the country’s GDP is expected to grow 2.1% this year, up from a previous forecast of 1.5%, and rise to 2.6% next year. The upward adjustment was partly due to the government approving a 400 billion baht ($12.39 billion) loan decree earlier this week, Bank of Thailand Governor Vitai Ratanakorn told reporters. The previous GDP forecast was based on a 300 billion baht loan, he added. Inflation will be higher in the third quarter as a result of a subsidy package, he said. Thailand will let energy prices move in line with market forces, plans support measures The package is due to be launched in June, according to Finance Minister Ekniti Nitithanprapas. Thai headline inflation rose 2.89% in April, the highest in more than three years as a result of higher energy costs, according to the Commerce Ministry. For the full year, the Commerce Ministry forecasts inflation in the range of 1.5% to 2.5% this year, inside the central bank’s target range of 1% to 3%. ‑Reuters

Go to News Site