Thailand's central bank (BOT) unanimously held the policy interest rate at 1.0%, deeming current conditions adequate to support a fragile, narrowly-focused economic recovery (concentrated in tech/AI exports). SCB EIC forecasts the rate will remain frozen at 1% through 2027. The BOT emphasizes that rate cuts alone cannot solve SME and household cash-flow stress; targeted financial measures are more effective. Low inflation and a real rate that remains above regional peers support holding, despite economic growth projected at just 2.1% and persistent vulnerability in small business and household segments.
← Back to all articles