MPC completes review on inflation target
The Monetary Policy Committee had a special meeting yesterday, to review the 2012 inflation target which will be submitted to the Finance Ministry, said Bank of Thailand Governor Prasarn Trairatvorakul.
He said that the new target would be ready for submission in early October. He declined to reveal further details on the inflation target while insisting global economic risks were not discussed at the meeting.
The MPC will convene its next regular meeting on Oct 19.
Atchana Waiquamdee, a deputy governor, said that the new inflation target contains a "significant" change from the current target of 0.5-3 per cent.
Aside from the inflation target, the BOT will also submit its proposals over other three issues as asked by the Finance Ministry at the same time, he said.
Finance Minister Thirachai Phuvanatnaranubala earlier raised concerns on four issues including the massive issuance of bills of exchange (B/E) and the establishment of a sovereign wealth fund.
The BOT board of directors convened today to discuss on the sovereign wealth fund. On the B/E issue, the Financial Institutions Policy Committee recently agreed that proceeds from B/E must be included in deposits, and more rules and regulations are being considered in cooperation with the Securities and Exchange Commission.
