17.10.201204:39:00UTC+00Thai Central Bank Cuts Key Rate By 25 Bps

Thailand central bank on Wednesday unexpectedly decided to cut its key rate by 25 basis points as majority of members deemed that monetary policy easing was warranted to shore up domestic demand.

The Monetary Policy Committee voted 5 to 2 to reduce the policy rate to 2.75 percent from 3.00 percent, with immediate effect. The bank was widely expected to leave the rates unchanged.

Meanwhile, two members voted to maintain the policy rate at 3.00 percent per annum deeming the current growth momentum to be adequate and that further policy action could await greater clarity in the economic outlook.