Stronger baht, reduced exports to slow down Thailand's economic growth in 2013

BANGKOK, March 29 (TNA) - The Economic Intelligence Center of Siam Commercial Bank says that Thailand's economic growth may slow down this year due to the ongoing appreciation of the Thai baht and a drop in exports. The center assessed on Friday if the value of the Thai baht appreciated to 29 baht a US dollar, Thai exports should drop by 0.5 per cent and the country's economic growth rate should decline by 0.2 per cent this year, from 4.9 per cent to 4.7 per cent. The center estimated Thailand's inflation should run at 3 per cent, noting that it sees the country's limited inflation risks, as world crude oil prices have remained stable, despite the ongoing global economic slowdown, and the baht appreciation has curbed world energy prices. The center pointed out that any increase in liquefied petroleum gas (LPG) or cooking gas prices on the domestic market should not have any significant impact on Thailand's inflation. The center also predicted that the Bank of Thailand (BOT)'s policy interest rate should remain unchangeed, given the limited risks in the national economic growth and inflation. (TNA)