Bangkok Bank foresees 4-5% econ expansion

BANGKOK, 11 March 2010 (NNT) – Bangkok Bank says the Thai economy is likely to expand by 4-5% due to recovery, asking the Bank of Thailand (BoT) to adjust the policy interest rate in line with the national economy.

Speaking about the direction of the Thai economy this year, Bangkok Bank President Chatsiri Sophonpanich forecast that the better global economy has helped the Thai export sector grow since the beginning of 2010.

Meanwhile, Bangkok Bank Board of Executive Directors Chairperson Kosit Panpiemras admitted that the bank was worried about the policy interest rate, which had been kept low for a long time. He said this would affect national savings.

The chairperson explained that the decision to peg the policy interest rate at 1.25% could not help boost the economy much. He said the national economy had returned to the normal level, especially in the tourism sector.