Even through the battle of distrust For the government of Gen. Prayut Chan-o-cha, but the big battle that beset and possibly the factor that drags the people’s faith is the economic problem. especially the higher cost of living from the oil price problem and increase in product prices
However, Dr. Sethaput Suthiwatanaruput bank governor Thailand has estimated that the Thai economy in the second quarter of 2022 will grow more than 3%, supported by the supporting factor, the value of Thai exports in the second quarter is expected to grow by 9.7%, while the number of foreign tourists is around 1.5 million people throughout the year, the number of foreign tourists to Thailand is expected to be around 6 million. The Thai economy for the whole year will grow 3.3%, with inflation risk forecast for the year at 6.2%, will reach its peak in the 3rd quarter/ 2022 at 7.5% before revised down to 5.9% in 4Q22 and within the range of 1-3% in 2Q23 at 2.5% and 1.7% in 3Q and 4Q23
In the case of the baht’s depreciation, it was mainly due to the appreciation of the US dollar. and normally, the baht tends to move from external factors which accounted for 86%. Value the asset (Valuation) back in US dollars. This included a change in investment returns and some implementation of the BOT’s currency policy, while other countries’ reserve funds also declined. And many countries do not go to support the currency. Thailand’s reserve fund at $247 billion, accounting for 51% of GDP, is the 12th and 6th highest in the world respectively.
Mr. Kobsak Pootrakool, Executive Vice President and company secretary Bangkok Bank Public Company Limited (BBL) said that Thailand has been setting very low interest rates at 0.50% for a long time. to support the economy during the coronavirus pandemic Compared to the period of the economic crisis in the past The policy interest rate at that time was still at 1.25%, so now the COVID-19 factor has begun to loosen The economy is recovering Especially the foreign tourism sector that has continuously recovered. At the same time, the new factor that comes in more weight is the high inflation rate. The baht depreciated quite a lot. and international reserves that have begun to decline considerably Therefore, it should be an important factor in determining the policy interest rate in the second half of this year.
However, we see that monetary policy must take into account the problems of the people’s pockets and pockets.