The central bank kept the key interest rate unchanged at a record low at its March 25 meeting to preserve policy room amid heightened uncertainties from the coronavirus outbreak, minutes from the meeting showed on Wednesday.
The Bank of Thailand's monetary policy committee (MPC) voted 4-2 at that meeting to keep the one-day repurchase rate at a record low of 0.75%, with the two dissenters favouring a quarter-point cut.
That decision followed a 25 basis point rate cut at a special meeting on March 20 as policymakers sought to cushion the economy from the widening fallout of the pandemic.
Thai financial market conditions improved after the rate cut at the special meeting and steps announced later to stabilise the markets, the minutes of the March 25 meeting said.
"Most members deemed it appropriate to preserve policy space to cushion against high uncertainties in the future," they said.
The two members who voted for a cut felt extra accommodative monetary policy would be commensurate with a significant economic contraction.
At the meeting, the central bank slashed its economic projections for 2020 to a 5.3% contraction, the weakest since the 1998 Asian financial crisis, from 2.8% growth projected earlier.
The MPC next reviews policy on May 20. Most economists expect further easing later this year.
According to the minutes, the MPC felt targeted measures designed to address liquidity strains of those who were affected would be "crucial".
On Tuesday, Thailand approved a package of measures worth 1.9 trillion baht (US$57.89 billion) to mitigate the impact of the outbreak on Southeast Asia's second-largest economy.
That followed previously announced stimulus and central bank steps to support financial markets.
Thailand has confirmed 2,258 cases and 27 deaths since the outbreak began in January.
The country is in a state of emergency and on Friday imposed a nationwide night curfew having closed malls to limit the spread of the virus.
Minutes of March 25 meeting: https://bit.ly/3aTtt86