Macroeconomics

Chatrudee Theparat

PM says: It’s time to reduce the policy rate

Prime Minister Sreetha Thavisin has called for the Monetary Policy Committee to reduce the policy rate of 0.25% to 2.25% because the rate is currently quite high and has affected the borrowing costs.

Prime Minister Sreetha Thavisin said the Monetary Policy Committee should make a decision to reduce the policy rate by 0.25% to 2.25%. The decision should be made before an occurrence of deflation, which could impact on people with more burden.

He said the inflation rate in January contracted by 1.11% as four consecutive months of its contraction. The Finance Ministry’s the Fiscal Policy Office has already talked to the Bank of Thailand Governor Sethaput Suthiwartnarueput on the latest economic situation.