The Bank of Thailand retained its key interest rate as expected on Wednesday. The Monetary Policy Committee of the central bank decided to maintain the policy interest rate at 1.25% per annum. The central bank said it will consider adjusting the policy interest rate to more normal levels in the periods ahead.

The MPC holds the view that the lower downside risk to growth significantly reduced the need for an exceptionally accommodative monetary policy stance. However, given uncertainties surrounding the sustainability of global economic recovery as well as domestic risk factors that could adversely impact consumer and investor confidence, the MPC decided to retain the key rate.