Inflation falls for first time in 25 months
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Inflation falls for first time in 25 months

Thailand's inflation rate fell for the first time in 25 months, thanks to falling energy prices due to government support measures and lower food prices, the commerce ministry said on Monday.

The consumer price index (CPI) fell 0.31% in October from a year earlier, versus a 0.3% year-on-year rise in the previous month, according to data. The figure compared with a forecast 0.0% for October in a Reuters poll.

The core CPI was up 0.66% year-on-year in October. Headline inflation has been below the central bank's target of 1% to 3% for the sixth consecutive month. In the January-October period, the headline CPI rose an average 1.60% from the same period a year earlier, with the core CPI up 1.41%.

The ministry still sees headline inflation at 1.0% to 1.7% this year. In September, the Bank of Thailand's monetary policy committee unexpectedly raised the key interest rate by a quarter point to 2.50%, the highest in a decade, saying growth and inflation should pick up next year.

It will next review policy on Nov 29.

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