October 19, 2021

Thai rate-cut backers fret over economic slowdown risks – c.bank minutes

BANGKOK, Aug 18 (Reuters) – Two members of Thailand’s monetary policy committee who pushed unsuccessfully for a rate cut earlier this month argued preemptive action was needed because of the risks of an economic slowdown in the period ahead, minutes of the meeting showed.

On Aug 4, the committee voted 4-2 to keep the Bank of Thailand’s one-day repurchase rate here at a record low of 0.50%, with most members feeling financial measures would be more helpful than a further rate reduction.

The two dissenters, who voted for a 25 basis point cut, cited limitations over financial and fiscal measures and noted that monetary policy would take time to impact on the economy, the minutes said.

Reporting by Orathai Sriring Editing by Ed Davies

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