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Worried BOT says it has more ammunition to rescue economy


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Worried BOT says it has more ammunition to rescue economy

By The Nation

 

800_cff027f892a042b.jpeg?v=1570726404

Titanun Mallikamas (second to right)

 

The Bank of Thailand (BOT), the central bank, foresees continued economic slowing and declining interest rates, but insists it’s ready to take action to support the economy.

 

The bank’s monetary policy committee (MPC) is confident that its reduction in the interest policy rate in August will support economic expansion and help return headline inflation to its targeted framework, the assistant governor of the Monetary Policy Group said after a meeting on Thursday between BOT executives and analysts representing financial markets.

 

“The MPC will closely monitor risk factors, especially the effects of escalating trade protectionism, and is ready to use policy tools if needed,” Titanun Mallikamas said.

 

It will also closely follow via several channels exchange rates and capital flow and their impact on the baht, he said.

 

“The MPC will introduce additional measures in suitable circumstances, including some on which the central bank could take action right away, such as relaxing the rules on capital outflow and encouraging Thais to invest overseas,” said Titanun. 

 

He said the BOT needs to collaborate with other agencies, like the Board of Investment, to promote investment in the country and thus reduce the current-account surplus, which remains high.

 

To offset the slowing economy and low interest rates, the bank must improve efforts to regulate financial institutions via micro-prudential measures and maintain financial stability via macro-prudential measures, Titanun said.

 

It should also collaborate with other agencies to tackle high household debt and business debt, which demand separate strategies since they dealing with different groups of clients, he said.

 

He noted that some people are financially sound, some with high debt and some who lack financial discipline. The central bank and other agencies have to jointly promote financial discipline, debt restructuring, household savings and responsible lending by financial institutions, he said.

 

Source: https://www.nationthailand.com/business/30377296

 

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-- © Copyright The Nation Thailand 2019-10-11
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They like talking about what they can and usually leave it till the last minute or to late to do it and the economy and the people are the ones that take the brunt of their inaction . I see shops that are usually open 7 days a week closed at least 1 or 2 days now simply because people either don't have the money to spend with all the increases in the costs of food etc .

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They do like all other countries have done for centuries. They try to save, until it´s not possible no more. Everybody knows that the bubble bursts and that they pay more for it the longer they wait. When is a country going to learn to take the downs, cut their losses as quick as possible instead of making them grow, and prepare for the ups instead?

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6 hours ago, webfact said:

The Bank of Thailand (BOT), the central bank, foresees continued economic slowing and declining interest rates, but insists it’s ready to take action to support the economy.

If you are ready ... what are you waiting for? A sign from above or that the speculators let you know that you can it now?

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Thailands good times have gone

For 40+ Years or  so Thailand has been propped up by Foreign Governments with Aid , Help with Infrastructure Etc

The USA, France Japan Etc have poured Mega Money into Thailand over the Years, and all its spawned is Greed and Corruption

Now these Countries do not give, and the Country is struggling to manage its own affairs correctly, as they have never had to do this before. 

Within the BOT statement is the reason they are unable to do anything with the Baht

" HIGH HOUSEHOLD DEBT AND BUSINESS DEBT "

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14 minutes ago, neeray said:

“An ounce of prevention is worth a pound of cure” BOT. 

Act now, don’t wait until the ship is sinking. 

 

Be patient, they are waiting for the most auspicious time!

aus·pi·cious

giving or being a sign of future success.
"they said it was an auspicious moon—it was rising"
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21 hours ago, kevin612 said:

Talking about investment, you need to let foreigners to own the company. I am back off because of the 49%.

Totally agree.  I fell for the Company House buying scam perpetuated by Estate Agents/Lawyers/Auditors.  It cost me and my children a good chunk of their inheritance.

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22 hours ago, webfact said:

promote investment in the country

Dream on.  cha cha's first order of business was to make doing business here more difficult.   Other countries are far better to do business in.  Many expatriate jobs are gone.  All signs of stagnation or a downward spiral. 

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23 hours ago, webfact said:

Worried BOT says it has more ammunition to rescue economy

But Prayuth says he's got the economy under his control.. so what rescue is needed?

The truth is starting to come out slowly as the economy tanks.... Prayuth is going to have to get some real experts in.

The baht strength has screwed tourism and exports which affects many local businesses, and the economy in general is suffering... 

The elite are like the Titanic bosses, they think Thailand is unsinkable... well guess what!

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49 minutes ago, hotchilli said:

But Prayuth says he's got the economy under his control.. so what rescue is needed?

The truth is starting to come out slowly as the economy tanks.... Prayuth is going to have to get some real experts in.

The baht strength has screwed tourism and exports which affects many local businesses, and the economy in general is suffering... 

The elite are like the Titanic bosses, they think Thailand is unsinkable... well guess what!

That's why they are buying copious amounts of military hardware!

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what interest rate cut, reality was some idiots raised it then put it back so no real change, should of dropped another 0.25.

easing outflow should also been done 2 months ago, they might do more early 2020 ! hopefully as things be much worse by then globally .

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