No further rate cuts, says Thai finance minister

Bangkok

THAILAND'S finance minister said on Wednesday that there was no need for further monetary policy easing as two recent interest rate cuts were already sufficient to help the struggling economy. "Our interest rate is the lowest in Asean," Sommai Phasee told reporters. "If it comes down too much, it will affect savers. The past two cuts have helped exports to some extent. There is no need for further reduction."

The Bank of Thailand's monetary policy committee unexpectedly cut the benchmark rate in March and April, by 25 basis points each, taking it to 1.5 per cent, to try to bolster slow growth. The committee next meets on June 10. Most analysts expect no policy change.