Govt measures to boost economy next year: new BOT governor
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The government's economic stimulus package would allow the Thai economy to expand at 3.6-3.7 per cent next year, said newly-appointed Bank of Thailand governor.
In his first meeting with the media today, Veerathai Santiprabhob supported the government's focus to boost investment, as the economy needs new strategies to boost demand.
He also expressed his concerns that low commodity prices and high household debt could further dent household demand and consumption.
He believed that the monetary policy could be a tool in supporting the economic recovery. However, the implementation of relaxed monetary policy for a long period of time could introduce undesirable effects, he added.
The Bank of Thailand this year cut the policy rate twice. The rate now stays at 1.5 per cent, near the record low of 1.25 per cent in April 2009.
