Thailand’s inflation lower than expected

BANGKOK, September 2 (TNA) - Thailand’s inflation during the first eight months of this year stood at 2.47 per cent year-on-year on average, lower than the Ministry of Commerce's earlier projection. Vatchari Vimooktayon, Permanent Secretary for Commerce, told reporters on Monday that in August alone, Thailand's inflation stood at 105.41, a 1.59 per cent year-on-year increase but a slower growth from 2 per cent year-on-year a month earlier. Vatchari attributed the increased inflation to higher prices of consumer products, especially food and non-alcoholic beverages which rose 0.16 per cent in August. On rises of cooking gas, electricity bills and expressway tolls, effective from September 1, Vatchari acknowledged her ministry has estimated that they should affect Thailand's inflation by only 0.1 per cent. The Thai government has given the green light for the retail price of liquefied petroleum gas (LPG), or cooking gas, to increase by 0.50 baht per kilogram monthly, from September 2013-August 2014, expressway tolls by 5-10 baht, depending on the size of vehicles, and electricity bills by 0.07 baht per unit. According to the senior official, Thailand's consumer price index (CPI), the gauge of inflation, should not rise above her ministry's target this year. For the Thai baht, the Ministry of Commerce has assessed it should stay around 32.50 baht a US dollar on average this year. (TNA)