Bank Of Thailand Keeps Policy Interest Rate Unchanged 3%

[webfact]

Bank of Thailand keeps policy interest rate unchanged 3%

BANGKOK, Sept 5 – The Bank of Thailand (BoT) on Wednesday decided to keep the policy interest rate unchanged at 3 per cent.

The Monetary Policy Committee (MPC) voted 3 to 2 to maintain the policy rate at 3.00 percent with two votes in favour of a 0.25 percent decrease, said Mr Paiboon Kittisrikangwan, Secretary of the MPC.

The Thai economy in the second quarter grew at a faster rate than previously projected. Strong momentum in consumption and investment was likely to sustain a positive trend in domestic demand going forward, the BOT said in its statement.

Key supporting factors included strong private sector confidence, favourable labour market conditions, higher household income, and accommodative monetary conditions with private credit growth, in particular, remaining strong.

Government stimulus measures also continued to contribute positively, although overall disbursement was partially delayed. Nonetheless, the impact of slowing global demand on Thai exports would become more apparent and it was possible that export growth this year would be lower than expected.

Economic stability remained sound with further moderation in inflationary pressure and the inflation forecast remaining within the target range.

The MPC viewed that the impact of slower global demand on the Thai economy had increased to some extent.

Nonetheless, domestic demand remained robust and current monetary conditions were accommodative enough to support continued economic expansion. Credit growth in some sectors had been rapid and warranted close monitoring.

The MPC would closely monitor developments in the global economy as well as domestic demand conditions and stood ready to take appropriate action as warranted, the BoT said. (MCOT online news)

-- TNA 2012-09-05

[muchogra]

I went to a bank depositing a few millions in a cashier check. The teller asked my wife if she would like like to open a 12-month fixed at 3.5%. I intervened and asked what the current rate for an ordinary saving account. She told us it was 0.125%. Say what? Really? I said I would come back tommorow and decide since the cashier check needs a one day clearance. I'm moving the money into my brokerage accounts tomorrow since they pay 0.25% more than the banks anyway.

[55Jay]

Are there fixed term accts in a Thai bank where you can access the interest monthly?

Always got the idea, and again looking at BB website, interest is accessible only at end of a fixed term acct.

Was wondering about LOS options, but also not clear on inflow controls USD to THB for non-real estate xaction, and restrictions on repatriating funds at a later date if desired.

3% is certainly attractive, just don't want to get stuck.

[55Jay]

I see the pinned savings account thread now. Tx.