29.04.202607:11:21UTC+00Bank of Thailand Holds Key Rate Steady

The Bank of Thailand left its benchmark interest rate unchanged at 1% at its April 2026 meeting, in line with expectations, keeping borrowing costs at their lowest level in nearly four years. The Committee judged that the current policy rate remains appropriate to support a slowing economy and to navigate heightened uncertainty, while stressing that the recent pickup in inflation has been driven mainly by supply-side factors.

Thailand’s economic growth is projected to ease to 1.5% in 2026 and 2.0% in 2027, as the war in the Middle East weighs on activity by pushing up business costs and eroding household purchasing power. Meanwhile, inflation is forecast to average 2.9% in 2026, accelerating from -0.5% in the first quarter of the year, largely due to higher global energy prices and cost pass-through effects. The Committee reiterated that it will continue to closely monitor the impact of the war, along with other relevant factors, on future inflation risks.