December inflation hit 76-month low

The Ministry of Commerce said on Monday that low oil prices had prevented the inflation rate in December 2008 from rising steeply.

The inflation rate last month hit a 76-month low, rising only 0.4 per cent when compared to December 2007. The inflation rate throughout last year increased 5.5 per cent.

The ministry reported that the consumer price index (CPI) in the previous month stood at 119.5 points, up 0.4 per cent from December 2007 but down 1.6 per cent from November 2008. The CPI for 2007 expanded 5.5 per cent.

As for last month's core CPI, excluding fresh food and energy products, it stood at 108.2 points, up 1.8 per cent from Decmeber 2007 but down 0.1 per cent from November 2008. The core CPI for the whole year grew 2.4 per cent.

Inflation in Thailand, however, was lower than its neighbouring countries last year, the ministry said.

In November 2007, inflation in Malaysia rose 5.7 per cent, Philippines 9.9 per cent, Indonesia 11.7 per cent, Singapore 5.5 per cent, and Vietnam 24.2 percent.

There were no signs of less liquidity in the country, according to the ministry.