BANGKOK, Feb 24 (Reuters) – Thailand’s central bank chief said on Tuesday that fiscal and monetary policy should be deployed in tandem to lift economic growth toward 2.7% this year, up from about 1.9% currently seen.
Thailand’s overall economic stability remained solid but growth was still too low, underscoring the need for a broader policy mix and additional investment to strengthen expansion, Governor Vitai Ratanakorn told a business seminar.
He said government agencies were working to address structural issues that were holding back growth, adding short-term stimulus measures would be necessary while longer-running reforms take effect.
The central bank had earlier forecast 2026 growth of 1.5% but Vitai said current expectations were an expansion of about 1.9%.
Vitai also said the Bank of Thailand plans steps to improve financing conditions for smaller firms, including measures to help small businesses access credit.
It would introduce measures related to fees charged by financial institutions and would roll out rules on cash withdrawals and deposits next month, he added.
The central bank will review policy rates on Wednesday, where it is expected to keep rates unchanged at 1.25% according to a Reuters poll.
(Reporting by Kitiphong Thaichareon, Orathai Sriring and Chayut Setboonsarng; Editing by Martin Petty)
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