Quotes from Standard Chartered
- A second month of negative headline inflation in February has raised market expectations of a BoT rate cut at the 11 March policy meeting.
- The BoT has asserted that the current negative inflation rate does not signal a deflationary environment.
- It sees the decline as a result of falling global oil prices, which will boost the economy via higher purchasing power.
- Most importantly, the BoT has said repeatedly that the current policy rate of 2.0% is accommodative enough to support a continued economic recovery.
- The BoT forecasts that the Thai economy will expand at faster pace of 4.0% in 2015, up from 0.7% in 2014.