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Thai rate cut was likely to have minimal impact: central bank minutes

Thailand's central bank slashed its export growth projection for 2015 to a 5.0 per cent decline from a 1.5 per cent fall seen earlier.

[BANGKOK] Thailand's central bank decided to hold interest rates this month as further easing was likely to have had a marginal impact on the economy while contributing to financial stability risks, minutes from its last meeting showed on Wednesday.

The central bank's monetary policy committee (MPC) unanimously voted to keep the one-day repurchase rate unchanged at 1.50 per cent for a third straight meeting on Sept 16, just above the record low of 1.25 per cent.

The committee agreed that monetary policy at this juncture should give due weight to maintaining stability and most members viewed overall monetary conditions, including the exchange rate, continued to remain conducive to the ongoing economic recovery, the minutes said.

The MPC surprisingly cut the rate in March and April to try to boost Southeast Asia's second-largest economy, which has yet to regain traction after the May 2014 army coup due to stubbornly weak exports and domestic demand.