BoT: Impacts of trade disputes on Thailand will be seen late this year

BANGKOK, Aug 24 (TNA) -- The Governor of the Bank of Thailand (BoT) predicts that global trade disputes will have significant impacts on Thailand from late this year to early next year. BoT Governor Veerathai Santiprabhob said although economic growth was spreading regarding consumption, employment and lending growth, risk factors remained including trade barriers and disputes which would have noticeable impacts on Thai exports from late this year to early next year. He said that more trade barriers would be announced and the private sector might delay investment pending the announcement. Other risk factors were the fluctuations of major currencies and the larger-than-expected impacts of the tourist boat tragedy in Phuket. The Monetary Policy Committee paid special attention to the factors, Mr Veerathai said. Besides, the BoT was monitoring housing loans as commercial banks gave relatively high loans compared with the prices of residences and the limited repayment capabilities of borrowers. There were risk signals and non-performing loans in the property sector were rising, he said. The BoT told commercial banks to take precautions in the lending. Residential oversupply was high and there was speculation in the property sector. Investors might not have expected the situation, Mr Veerathai said. (TNA)