December's inflation drops 0.9 percent, the lowest in six years

[webfact]

December's inflation drops 0.9 percent, the lowest in six years

BANGKOK, 5 January 2015 (NNT) – The Ministry of Commerce’s Trade Policy and Strategy Office director Somkiat Trirattanaphan disclosed that the Consumer Price Index in December 2015 amounted to 105.74, accounting for a 0.39 percent decrease largely due to the lowered domestic retail prices of fuel, fresh vegetables, fruits, pork and eggs.

That marked a 0.9 percent decrease in the inflation in December 2015, the lowest in six years since 2009 while the consumer price index rose by 0.68 percent. The Trade Policy and Strategy Office has predicted that the inflation in 2016 will grow in a range of 1 and 2 percent.

However, the Ministry of Commerce will do inflation analysis only once in a three-months time, beginning on March 1. The inflation of 2016's first quarter is likely to show a positive growth while the authorities are yet to monitor the fluctuation of prices of world crude oil and agricultural products.


-- NNT 2016-01-05

[JOC]

Please inform my local shops !!

[webfact]

Inflation rate falls to lowest in six years



BANGKOK: -- Inflation rate fell to the lowest in six years, thanks to the oil price declines, and assistance packages rolled out by the government to help the people cope with high cost of living.

Trade Policy and Strategy Office (TPSO) director Somkiat Trirattanaphan said inflation in the month of December stood at 105.75, a decline of 0.85 per cent, when compared to the same period last year.

The inflation contraction resulted in the inflation rate for the whole year or 2015 to fall to 0.9 per cent, the lowest in six years since 2009.

Factors contributing to the inflation fall were attributed to lower gas prices, as well as prices of meats, eggs, and vegetables which have been lowered due to a surplus of stock in the markets.

Nonetheless, the inflation rate could still grow by 1-2 per cent in 2016 starting right in the first quarter of the year, if fuel prices remained stable and do not lower again.

The director further added some produce prices must also be closely monitored, which would prompt for new inflation evaluation in every quarter.

Source: http://englishnews.thaipbs.or.th/inflation-rate-falls-to-lowest-in-six-years


-- Thai PBS 2016-01-05

[trogers]

How come my bowl of noodles along the sidewalk still cost Bt35?

[Pib]

How come my bowl of noodles along the sidewalk still cost Bt35?

They haven't read the govt inflation announcement yet...been too busy cooking noodles.. Print out a copy...give it to them...that should get them to lower their price.

[phoenixdoglover]

There is no way "assistance packages" contributed to a drop in inflation.

Of course the article provides no rationale or evidence. Government assistance spending is stimulative and would be expected to add a slight inflationary effect.

By the way, very low inflation can be a sign of a stalled economy. On this matter, best listen to the bankers rather than The Ministry of Silly Walks.

[Prbkk]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

[Manu75]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

You look like to be an economist

[phoenixdoglover]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

You look like to be an economist

Hey! What about me? Just because I have brown fur and choose to celebrate Christmas year round, you would skip right over my cogent analysis?

Lol! He does look like a somewhat jaded professional, doesn't he? (Economics, the dismal science)

Come on Prbkk, out with it. Economist or retired plumber? :-)

[phoenixdoglover]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

^^^ alert

[Manu75]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

You look like to be an economist

Hey! What about me? Just because I have brown fur and choose to celebrate Christmas year round, you would skip right over my cogent analysis?

Lol! He does look like a somewhat jaded professional, doesn't he? (Economics, the dismal science)

Come on Prbkk, out with it. Economist or retired plumber? :-)

Lol

It's seems Prbkk know nothing about economy. For him all world economic problem come from actual Thai government

[somo]

How come my bowl of noodles along the sidewalk still cost Bt35?

They haven't read the govt inflation announcement yet...been too busy cooking noodles.. Print out a copy...give it to them...that should get them to lower their price.

Not a chance but the PM ordered street lottery vendors to charge only 80 Baht. Perhaps he could instruct all noodle

vendors to charge just 30 Baht or even 25.

[Srikcir]

What we have here is an economic trend:

"The negative inflation in January 2015 was short-term and impermanent" - Finance Minister Sommai, 2015-02-02

"The lower-than-expected inflation should not be construed as deflation as this is a temporary phenomenon caused by the drop in oil price." 03/21/2015

"Deflation is a result of negative inflation of at least six consecutive months" - Director of the Center of Economics and Business Forecast of the Thai Chamber of Commerce University Mr Thanawat Polwichai, 2015-04-15

"deflation would have to continue for another 5-6 months in order to establish a trend." Deputy Prime Minister MR Pridiyathorn Devakula 2015-05-06

Thailand is in a deflationary economy and has plunged into a "liquidity trap." That means that an increase in money supply will not stimulate economic growth. The baht will likely suffer further deflation while foreign investment capital continues to flee. This is particulalrly bad timing for Thailand with the commencement of the ASEAN partnership.

[elgordo38]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

You look like to be an economist

I guess they have not calculated in the increase in EMS rates in the cost of living index. It they calculate the postal workers as government officials wow did they ever get a nice Christmas gift. I could make a slingshot out of all these rubber numbers. Like most things here they sure snuck that EMS increase in the back door. The EMS rates now must be on a par with couriers now as well as the inspection aspect

[Dumbastheycome]

...and yet the govt contemplates wage increases for public servants of 6% pa? Voodoo economics and populist, Bangkok-elite serving nonsense.

You look like to be an economist

Hey! What about me? Just because I have brown fur and choose to celebrate Christmas year round, you would skip right over my cogent analysis?

Lol! He does look like a somewhat jaded professional, doesn't he? (Economics, the dismal science)

Come on Prbkk, out with it. Economist or retired plumber? :-)

Economist or ( retired) plumber? Chalk and cheese! One deals with uptaketake, the other with......!