BANGKOK, Dec. 18 (Xinhua) — The Bank of Thailand (BoT) has on Wednesday announced that it has maintained its policy rate at 1.25 percent, as well as revising the 2019 GDP forecast to 2.5 percent.
The BoT has decided to keep the policy interest rate unchanged, said Titanun Mallikamas, secretary of the BOT’s Monetary Policy Committee (MPC).
Titanun said that at the BoT meeting, the MPC had assessed the Thai economy and had acknowledged that the economy had expanded at a lower rate than the previous forecast as a result to declining exports, affecting employment and the domestic market.
Titanun said that therefore the committee members voted unanimously to maintain the policy rate.
The MPC projected private consumption to decline due to lower household income and employment, particularly in export-related manufacturing sectors, he added.
In regards to the currency rates, the MPC expressed concerns over the baht possibility to fluctuate and may strengthen against currencies of Thailand’s trading partners.
The BoT will monitor exchange rates and capital flows amidst external uncertainties, Titanun said at the press meeting.
The Committee also revised its GDP forecast this year down from 2.8 to 2.5 percent, given the shrinking exports.
As for 2020, the MPC predicted a 2.8 percent GDP growth, down from the previous 3.3 percent forecast.
LINK ORIGINAL: Xinhuanet