Thailand: Inflation rises in November
December 3, 2013
In November, consumer prices rose 0.09% over the previous month, which was down from the 0.17% increase recorded in October. According to the Ministry of Commerce, November's increase was the result of a rise in prices for food and non-alcoholic beverages, as well as for housing and furnishing, which almost completely offset the decrease in prices for raw food and energy.
Annual headline inflation rose from 1.5% in October to 1.9% in November. The result overshot the 1.8% the markets had expected.
The core inflation index, which excludes energy and fresh food prices, inched up from 0.1% in October to 0.2% in November. In addition, annual core inflation rose from 0.7% in October to 0.9% in November. Core inflation is still within the Central Bank's target range of 0.5%-3.0%.
The Bank of Thailand projects that inflation will average 2.3% in 2013 and 2.6% in 2014. FocusEconomics Consensus Forecast panelists expect inflation to average 2.8% in 2013, which is down 0.1 percentage points from last month's Consensus. For 2014, panelists see average inflation at 3.1%, which is also down 0.1 percentage points from last month's projection.
Author: Dirina Mançellari, Senior Economist