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Bank of Thailand seen holding its policy rate at 1.00% in August

DBS economists point to uneven growth and still-elevated inflation within the 1–3% target range as reasons the BoT may keep policy accommodative alongside fiscal support.

Reported · Written up by our desk · Central Banks

DBS economists Taimur Baig and Radhika Rao expect the Bank of Thailand to keep its policy rate unchanged at 1.00% in August, extending the pause that began after the central bank’s unanimous June decision.

They cite uneven economic growth and easing, but still elevated, headline inflation that remains inside the BoT’s 1–3% target band, arguing those conditions support a continued wait-and-see approach.

DBS also says the BoT has room to maintain accommodative policy to support the economic recovery, coordinated with fiscal measures.

The view reflects expectations for the BoT’s next decision, with analysts focusing on growth and inflation dynamics ahead of August.

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