Thailand holds rate as Fed hike pressures Asian currencies

Bangkok

THAILAND held its key interest rate near a record low for a 13th straight meeting, opting for stability as the prospect of higher US borrowing costs weighs on Asian currencies and clouds the outlook for growth.

The Bank of Thailand (BOT) kept its one-day bond repurchase rate at 1.5 per cent, with monetary policy committee members voting unanimously in favour, the central bank said in Bangkok on Wednesday. All but one of 25 economists surveyed by Bloomberg predicted the decision.

Emerging nations are contending with capital outflows after the Federal Reserve last week raised rates by a quarter-point and signalled three more increases may be warrant…