The Bank of Thailand raised the rate to 3.50% at its previous meeting, and increased the interest rate in July this year by 25 basis points to 3.25%, continuing a string of monetary policy tightening measures, with the repo rate now 150 basis points higher than the start of the year. Thailand reported core inflation of 2.92% in September, compared to 2.6% in June, 2.48% in May, and 2.07% in April, according to the Commerce Ministry. Headline inflation was 4.29% in August, 4.08% in July, 4.1% in June, compared to 4.19% in May, and 4.04% in April. The Bank of Thailand has an inflation target range of 0.5% to 3.0%.
The Thai economy contracted -0.2% in the second quarter, after growing 2% in the March quarter, placing annual GDP growth at 2.6% (3.2% in the previous quarter). The Thai baht (THB) has weakened about 2% against the US dollar this year, the USDTHB exchange rate last traded around 31