The Bank of Thailand kept its key interest rate steady at 2.5% in its November 2023 meeting as expected, the first pause in its tightening cycle after eight consecutive interest hikes which pushed borrowing costs to the highest since late 2013. Policymakers said the current policy interest rate is conducive to keeping inflation sustainably within the target range, while supporting growth. Growth is expected to be more balanced in 2024 and 2025, supported by domestic demand, tourism sector, and a recovery in merchandise exports. GDP growth forecasts were cut to 2.4% from 2.8% for 2023 and to 3.2% from 4.4% for 2024. Also, inflation should increase next year in line with the economic recovery and El Niño-related supply pressure. The central bank also revised its inflation forecasts to 1.3% for this year (vs 1.6%) and to 2% (vs 2.6%) for next year. Consumer prices in Thailand fell 0.31% year-on-year in October. source: Bank of Thailand
The benchmark interest rate in Thailand was last recorded at 2.50 percent. Interest Rate in Thailand averaged 1.94 percent from 2000 until 2023, reaching an all time high of 5.00 percent in June of 2006 and a record low of 0.50 percent in May of 2020. This page provides - Thailand Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Thailand Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on January of 2024.
The benchmark interest rate in Thailand was last recorded at 2.50 percent. Interest Rate in Thailand is expected to be 2.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Thailand Interest Rate is projected to trend around 2.00 percent in 2024 and 1.25 percent in 2025, according to our econometric models.
Thailand Interest Rate
In Thailand, interest rates decisions are taken by The Bank of Thailand’s Monetary Policy Committee. The main interest rate is the 1-day repurchase rate.
| Actual | Previous | Highest | Lowest | Dates | Unit | Frequency | ||
|---|---|---|---|---|---|---|---|---|
| 2.50 | 2.50 | 5.00 | 0.50 | 2000 - 2023 | percent | Daily |
News Stream
Bank of Thailand Pauses Rate Hikes
The Bank of Thailand kept its key interest rate steady at 2.5% in its November 2023 meeting as expected, the first pause in its tightening cycle after eight consecutive interest hikes which pushed borrowing costs to the highest since late 2013. Policymakers said the current policy interest rate is conducive to keeping inflation sustainably within the target range, while supporting growth. Growth is expected to be more balanced in 2024 and 2025, supported by domestic demand, tourism sector, and a recovery in merchandise exports. GDP growth forecasts were cut to 2.4% from 2.8% for 2023 and to 3.2% from 4.4% for 2024. Also, inflation should increase next year in line with the economic recovery and El Niño-related supply pressure. The central bank also revised its inflation forecasts to 1.3% for this year (vs 1.6%) and to 2% (vs 2.6%) for next year. Consumer prices in Thailand fell 0.31% year-on-year in October.
2023-11-29
Thailand Unexpectedly Hikes Interest Rate to 2.50%
The central bank of Thailand unexpectedly raised its key interest rate by 25 bps to 2.50% during its September 2023 meeting, marking the eight straight hike and pushing borrowing costs to the highest level since late 2013. Policymakers deemed the current decision appropriate to support long-term sustainable growth, keep inflation within the target range of 1% to 3%, and ensure sufficient policy space given the uncertain outlook. The economic growth projection was lowered for 2023 (2.8% vs. 3.6% previously) due to a delayed recovery in exports and tourism, but it is expected to advance in 2024 (4.4% vs. 3.8%), boosted by domestic demand. Meanwhile, headline inflation is expected to remain within the target range for both this year (1.6% vs. 2.5%) and the upcoming year (2.6% vs. 2.4%), supported by government living-cost subsidies and a high base from last year.
2023-09-27
Thailand Hikes Policy Rate to Over 9-Year High
The central bank of Thailand raised its key interest rate by 25 bps to 2.25% during its August 2023 meeting, bringing borrowing costs to the highest levels since early 2014, as it aims to maintain policy space amidst a highly uncertain outlook. The Thai economy has been showing signs of improvement, bolstered by tourism and private consumption. However, merchandise exports declined, partly due to a slowdown in Chinese demand and the global electronics cycle. Meanwhile, the country's inflation slowed due to falling energy prices, cost-of-living subsidies, and a high base from a year earlier, altough it is expected to pick up again in H2 2023 as the effects of temporary factors dissipate. Additionally, core inflation has decreased but is projected to stabilize at a higher level than previously anticipated. Looking ahead, officials stated that they will consider the economic and inflation outlook, as well as associated risk assessments, in their deliberations for further policy hikes.
2023-08-02
