Thailand central bank chief says no need to raise rates now

[BANGKOK] Thailand’s central bank chief said on Friday (Jun 26) it will not raise interest rates if it is not necessary to do so.

There is no need to raise rates for now, Bank of Thailand governor Vitai Ratanakorn told reporters. At a policy review on Wednesday, the BOT held policy rates steady and raised its economic growth forecast for this year.

Inflation should stay within the target range of 1 per cent to 3 per cent this year and next year, he said.

He said he was not worried about inflation spikes in the coming months, adding that the weakness of the baht was in line with market trends.

The central bank has not found any unusual outflows from stocks and bonds, he said.

Vitai also said that the central bank will allow banks to issue baht stablecoins this year. REUTERS