Bangkok, Jan 26 (IANS) Thailand’s central bank has decided to raise its key policy rate for the fourth consecutive time by 25 basis points in an effort to curb high inflation and support economic recovery.
The Bank of Thailand monetary policy committee voted unanimously to raise the policy rate from 1.25 per cent to 1.50 per cent, effective immediately, reports Xinhua news agency.
“The Committee deems that a continuing gradual policy normalization is an appropriate course for monetary policy consistent with the growth and inflation outlook,” the central bank said in a statement published on its website.
The move came after 25-basis-point rate hikes announced at the monetary policy committee meetings last year on November 30, September 28 and August 10, the country’s first rate increase since late 2018.
According to the statement, Thailand’s economic recovery has gained traction, with private consumption and tourism remaining key economic drivers, thanks to the return of tourists, while the financial system is resilient.