Broad Money Growth Stable Despite Easing Public Disbursements

Economic Research	04 October 2016
Thailand
Economic Highlights
Broad Money Growth Stable Despite Easing Public Disbursements Thailand’s broad money (BM) rose 4.3% y-o-y in August, picking up marginally from its 4.2% gain the previous month. The improvement in money supply came despite declining government disbursement and slowing net foreign position activities. August’s private credit growth expanded by 4.0% y-o-y, unchanged from the month before, as corporate loans rose and offset a similar deceleration in consumer loans. We continue to believe government fiscal spending and private consumption will be sufficient to drive modest economic growth this year and do not expect the Bank of Thailand (BOT) to ease the key policy rate throughout 2016 and 2017. Economist:  Ng Kee Chou  | +603 9280 2179
To access our recent reports please click on the links below: 04 October: Thailand MPI Sees Broad-based Recovery In August 27 September: Thai Exports Surge On Vehicle Shipments 15 September: BOT Opted To Preserve Policy Space As External Uncertainties Pile Up 02 September: August Inflation Crawls Higher On Rising Energy Costs 02 September: Public Spending Slowed In July; Private Activities Remained Subdued 01 September: Sharp Decline In July MPI As Auto, Chemicals Production Contract 29 August: Exports Slumped  In July, Dragged By Weak Auto, E&E Orders