September Inflation Picked Up On Higher Energy Costs

Economic Research	04 October 2016
Thailand
Economic Highlights
September Inflation Picked Up On Higher Energy Costs Thailand’s consumer price index (CPI) rose 0.4% y-o-y in September, from 0.3% the month before. The pick-up in growth was driven by softer declines in the cost of transportation and utilities in tandem with rising crude oil prices. Meanwhile, price of fresh food eased, capping some of the upside. Core CPI grew 0.7% y-o-y in September, decelerating slightly from its 0.8% reading for the five successive months prior. In light of significantly weaker crude oil prices in 4Q last year, we now see a stronger pick-up in 4Q CPI and revise our CPI forecast higher to +0.5% this year, from -0.9% in 2015. For 2017, we expect inflation to increase 1.0% on the back of stronger GDP growth. Economist:  Ng Kee Chou  | +603 9280 2179
To access our recent reports please click on the links below: 04 October: Broad Money Growth Stable Despite Easing Public Disbursements 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