Thailand’s annual inflation rate jumped to 3.63 percent in December, up almost one percentage point from November, but core inflation is comfortably within the central bank’s target range, putting it under no pressure to raise interest rates.
Most economists expect the Bank of Thailand (BOT) to keep its policy rate unchanged at 2.75 percent at its next monetary policy meeting on Jan. 9.
December’s inflation rate — the highest since November 2011 — still leaves it with ample room to keep interest rates low but has reduced the chance of any further cuts to help Thailand deal with the bad global economy.
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