Bangkok, The Prime Minister pressures the MPC to speed up the meeting to reduce interest rates to stimulate the economy. Ask for a reduction of at least one salung. Analysts estimate that if the Thai economy has not recovered yet The Fed has not cut interest rates yet. The baht will weaken to 37 baht/US dollar. Since the beginning of the year, it has depreciated at the top level in Asia. Mr. Settha Thavisin, Prime Minister, posted a message via X (Twitter) on the night of February 19, calling on the Monetary Policy Committee (MPC) to convene an urgent meeting. to consider reducing interest without having to wait for the scheduled meeting After the economic numbers that came out from the report of the National Economic and Social Development Council (NESDB) or NESDB indicate the status of the Thai economy is in the critical stage, which the Secretary-General of the NESDB himself I agree that interest rates should be reduced. 'I want to pray for you. The MPC calls a meeting of the committee. It's urgent. to consider reducing interest without having to wait for a scheduled meeting,' the Prime Minister stated. The Bank of Thailand (BoT) has announced that the next official meeting of the Monetary Policy Committee (MPC) will be held. It will take place on April 10, 2024, while yesterday (February 19) the NESDB announced that GDP for the 4th quarter of 2023 grew only 1.7% and for the whole year 2023 grew 1.9%. Mr. Settha stated yesterday that from the numbers provided by NESDB it is clear that The Thai economy expanded lower than expected. It must be acknowledged that there is still no new money entering the system. Since this government came in, we still haven't been able to use the budget. Make every ministry use the policies of each ministry to help drive the economy. In order to stimulate the lives of the people to be better, the government has tried to take every possible measure. These are measures that will help stimulate the economy and alleviate the suffering of the people. Without spending any money from the budget, that is, reducing interest rates. But it hasn't been reduced yet. Currently the policy interest rate is at 2.5%, if it is reduced to 2.25% or just one dime. It will help relieve the burden of every citizen. This is consistent with the Secretary-General of the National Council of Thailand stating that he had talked with the Governor of the Bank of Thailand. that it is time to reduce interest rates The Prime Minister stated that many policies that the government has made It may take time Including the digital wallet project. If everyone agrees and proves that there will be no corruption. I will try my best to come out as quickly as possible. I want it to happen by May. As for other policies, efforts are being made. The baht this morning adjusted to a level of approximately 36.10-36.12 baht per dollar. This morning (8.50 a.m.) compared to yesterday's market closing level of 36.02 baht per dollar. Miss Kanchana Chokpaisansin Research executive Kasikorn Research Center said that sentiment for the ba ht still tends towards depreciation in line with other currencies in the region, while selling pressure for the dollar slow down some Because the market is back waiting to follow the minutes of the meeting. The Federal Reserve or the Fed will be revealed in the middle of this week. The Fed is expected to cut interest rates in the first round this June. Delayed than expected The US dollar has strengthened by 3%, causing the baht to depreciate by 5.5 from the beginning of the year to the present. Top % depreciation After Japan, where the yen depreciated 6%. For the framework of the movement of the baht today Preliminary assessment is at the level of 36.00-36.20 baht per dollar. Meanwhile, important factors that need to be monitored include the direction of foreign investment. The movement of the yuan comes after the People's Bank of China (PBOC) announced the reduction of the 5-year Prime Lending Rate (LPR) for the first time since June. 2023, with the PBOC deciding to reduce the 5-year prime loan interest rat e (LPR) by 0.25% to 3.95%. This will help reduce the burden on households and will help stimulate home purchases in China to increase as well. Similarly, the PBOC has maintained the 1-year LPR interest rate at 3.45%. 'From the Thai economic momentum that is not strong and the Fed has slowed down the interest rate cut, the first round may be cut in June. Therefore, for the rest of this year The baht is likely to depreciate if the economy cannot be revived. If the Fed does not reduce interest rates, we may see the baht weaken to 37 baht/dollar, which importers must be careful,' Ms. Kanchana stated. Source: Thai News Agency