Pichai’ points out that discussing the inflation framework with the governor of the Bank of Thailand is not dependent on the MPC meeting on Oct 16, admitting that Thailand’s inflation is lower than expected, refusing to propose an inflation framework of 1.5-3.5%
Deputy Prime Minister and Finance Minister Pichai Chunhavajira revealed that this week there may be a discussion on the inflation framework with the Governor of the Bank of Thailand (BOT). As for when that will be, we will have to wait and see. When reporters asked if there was a need to discuss after the Monetary Policy Committee (MPC) meeting on October 16, Pichai replied that it was not necessary. The discussion could be held before or after. He also admitted that Thailand’s inflation rate was lower than expected.
As for the news that the inflation framework is proposed at 1.5-3.5%, Mr. Wichai stated that he personally would like to see a higher framework, but does not know how the figure was derived. In comparison with neighboring countries, th
e inflation framework is around 2-3%. He emphasized that it is necessary to accelerate the economy if the inflation rate is high, because Thailand is in a region where the economy is growing. As for the economic stimulus measures, handing out 10,000 baht, will it affect Thailand’s inflation rate or not? Mr. Pichai viewed that it was still a small part when compared to the economy.
As for the meeting of the Economic Stimulus Policy Committee, which has been postponed many times, Mr. Pichai expects that the Prime Minister will call a meeting soon because he is currently busy with urgent tasks to help people affected by the floods.
Source: Thai News Agency