Thailand's Economic Recovery

BANGKOK (Reuters) – Thailand's economic recovery is uneven and financial conditions have tightened, according to minutes from the Bank of Thailand's monetary policy meeting held on October 16.

During this meeting, the monetary policy committee (MPC) voted unexpectedly, with a 5-2 decision to cut the one-day repurchase rate by 25 basis points to 2.25%. This marks the first decrease since 2020. Two committee members voted to maintain the rate.

The MPC expressed that the policy rate should remain neutral and foster economic potential, avoiding being too low to prevent long-term financial imbalances, as stated by the Bank of Thailand after the meeting.

The next rate review is scheduled for December 18.