Thailand c.bank to hold fire on rates, wait for economy to gather steam

<a href=”https://apac1.apps.cp.thomsonreuters.com/Apps/cb-polls?RIC=THCBIR%3DECI poll data”></a>
All 22 economists polled see rate left at 0.50% on Dec. 22

BENGALURU, Dec 20 (Reuters) – Thailand’s central bank will hold interest rates at a record low on Wednesday, and through next year, to bolster a tourism-dependent economy still struggling to get back on track as the global coronavirus pandemic continues, a Reuters poll found.

After more than a year of strict entry restrictions, southeast Asia’s second-largest economy reopened for vaccinated tourists last month. However, an expected low influx of foreign visitors will likely delay the economic recovery.

All 22 economists in the Dec. 13-17 poll unanimously predicted the central bank would hold its one-day repurchase rate (THCBIR=ECI) at 0.50% at its Dec. 22 meeting. Medians showed two 25 basis point rate hikes in Q2 and Q4 of 2023, taking the benchmark rate to 1.00%.