IMF calls for growth through stimulus
The International Monetary Fund has recommended that Thai policymakers implement both fiscal and monetary stimuli in order to boost economic growth and steer inflation back to target. The recommendation was made during a visit to Bangkok for Article IV consultations. “The team recommends monetary policy easing together with enhanced communication to improve the balance of risks and steer inflation back on target. Monetary easing, as part of a broader expansionary policy mix, would counteract risks of low inflation becoming entrenched and prevent a further rise in real interest rates and the real debt burden,” the IMF team said in its report.
