Thai central bank holding key rate at record low 0.50%

Kobsidthi Silpachai, head of capital market research at Kasikornbank, said the BOT might ease the rate sooner than thought, if it assessed that the resurgence in Covid-19 would aggravate a shaky economic recovery and liquidity concerns.

BANGKOK: Thailand’s central bank is widely expected to leave its key interest rate at a record low to preserve its policy options as the tourism-reliant economy deals with a fresh wave of coronavirus infections, a Reuters poll showed.

However, the new outbreak, the strength of the baht, below-target inflation plus protracted political protests could pressure the central bank to take action sooner than expected, analysts said.