Thailand sees small impact on inflation after Saudi attacks

 

FILE PHOTO: A woman walks at the Maeklong market next to the train tracks, on the outskirts of Bangkok, Thailand September 21, 2016. REUTERS/Jorge Silva

 

BANGKOK (Reuters) - Thailand expects little impact from surging oil prices on its inflation rate and exports following attacks on Saudi oil facilities, a commerce ministry official said on Monday.

 

Saturday's drone assaults on Saudi oil facilities shut 5% of global crude output and caused the biggest surge in oil prices since 1991 after U.S. officials blamed Iran and President Donald Trump said Washington was "locked and loaded" to retaliate.

 

But the situation is not expected to drag on and should lift Thailand's inflation by just 0.01 percentage point, official Pimchanok Vonkorporn said in a statement.

 

The ministry is maintaining its 2019 headline inflation forecast of 0.7%-1.3%, she said, adding that the impact of oil prices on inflation is less than that of a strong baht <THB=TH>, Asia's best performing currency this year.

 

The strengthening baht, which has gained 6.7% against the dollar so far this year, might keep inflation less than 1% this year, Pimchanok said.

 

In January-August, headline inflation was 0.87%.

 

Oil-related exports may improve only slightly and the ministry is sticking to the government's annual export growth target of 3% in the second half of 2019, Pimchanok said.

 

-- © Copyright Reuters 2019-09-16

Follow Thaivisa on LINE for breaking Thailand news and visa info

22 minutes ago, snoop1130 said:

The strengthening baht, which has gained 6.7% against the dollar so far this year, might keep inflation less than 1% this year, Pimchanok said.

 

......inflation less than 1% this year. That's a huge load off. Great news the strengthening baht will keep inflation low. 

The Officers Mess economic wizardry is paying off. 

No worries folks, PM Prayut and the Generals have everything under control.

 

Alluha akabar alluha akabar, the chant for drone  flyers, who succeeded in hitting the pipe line.

here is clear evidence that the future warfare of these drones are where the Thailand military can spend their cash, instead of 90 armour personnel carriers , tanks, submarines etc, the savings for the country are enormous. 

It doesn't matter what happens in the world, tourism, currency, export or oil, Thailand never has negative feedback!

High oil prices will really affect Thailand, especially the exporters who are already getting hammered by the baht

How is at all possible to register Inflation over a period of just 3 Days

Amazing Thailand