MPC Secretary reveals "Digital Wallet" supports 2024 GDP growth of 0.3-0.6 times, admitting that commercial banks may increase interest rates after the MPC raises interest rates by 0.25%.
Mr. Piti Disayathat, Secretary of the Monetary Policy Committee (MPC), discussed the digital wallet policy. that it was taken as one of the factors in adjusting the estimate The growth of the Thai economy in 2024 has been increased to 4.4% from the original 3.8%, but it remains to be seen for clarity on both the timing and the amount. It is expected that this will begin in February 2024. It is estimated that the said policy will cause an increase in spending in the system by 0.3- 0.6 times compared to if there were no such measures. and GDP may grow to 4.4 - 4.6%. However, even without digital wallet measures The Thai economy next year is likely to grow at least 4% from the tourism sector that continues to recover. and the export sector that has returned to expand As for the reduction of GDP in 2023 to 2.8% from the previous 3.6% due to merchandise exports and the tourism sector recovering more slowly than expected.
As for the case where the MPC raises the policy interest rate by 0.25 percent per year from 2.25 percent to 2.50 percent per year, it is accepted that it may result in commercial banks increasing interest rates. It depends on each bank's assets and liabilities. This will result in increased credit in the next period. However, the Bank of Thailand (BoT) will ensure that it remains at an appropriate level.
Source: Thai News Agency