BoT unlikely to cut rates in December – UOB

The BoT should stay ‘on hold’ at its December monetary policy meeting following the interest rate cut in the previous month, noted Lee Sue Ann, Economist at UOB Group.

Key Quotes

“The BoT lowered the policy rate by 25bps to 1.25% in November, the second reduction in policy rate in the last three months. We think the BoT will likely maintain the policy rate at 1.25% in its December’s meeting to gauge the transmission mechanism of monetary policy and the easing of rules on capital outflows first before considering the next move”.