Thailand: Inflation jumps in March but remains below Central Bank's target range
April 2, 2018
Consumer prices in Thailand dropped 0.09% over the previous month in March, a softer contraction compared to the 0.23% month-on-month decrease in February. The fall in consumer prices came chiefly on the back of lower prices for food and non-alcoholic beverages, and raw food and energy, which offset a slight increase in housing and furnishing prices.
Inflation jumped in March, rising 0.8% and doubling the result seen in the prior month. Inflation is still below the target range of 1.0%-4.0% set by the Bank of Thailand. The result was also slightly below market expectations of 0.9%. Core inflation, meanwhile, was steady for the fourth consecutive month at 0.6%.
Thailand Inflation Forecast
The Bank of Thailand now foresees inflation of 1.1% in 2018. FocusEconomics Consensus Forecast panelists expect inflation of 1.4% on average in 2018, which is unchanged from last month’s forecast. For 2019, panelists predict average inflation of 1.6%.
Author: Jan Lammersen, Economist