Bangkok (VNA) - The Bank of Thailand (BoT) cut its key interest rate by a quarter point for a second consecutive meeting on April 30, in a move to support an underperforming economy facing uncertainty over steep US tariffs.
As reported by the Bangkok Post, the BoT’s Monetary Policy Committee voted 5-2 to reduce the one-day repurchase rate by 25 basis points to 1.75%, the lowest level in two years.
“It’s quite clear that the storm is coming from the trade war,” BoT Governor Sethaput Suthiwartnarueput said in a speech a day earlier as quoted by the news site. “The need to focus on stability is high.”
In a statement released after the April 30 meeting, the central bank said the Thai economy is projected to expand at a slower pace than anticipated, with more downside risks due to uncertainty in major economies’ trade policies and a decline in the number of tourists.
The economy would grow by 2% at best, down from an earlier forecast of 2.5%, it said.
Southeast Asia’s second-largest economy has suffered twin blows, first from a deadly 7.7-magnitude earthquake in March, while confidence has been shaken by the prospect of 36% tariffs for exports to the US./.
