BANGKOK, Dec 3 : Thailand’s annual headline inflation price was unfavourable for an eighth month in November, pushed by falling vitality costs and authorities help measures, however the commerce ministry mentioned on Wednesday it anticipated shopper costs to rise barely subsequent yr.
The headline shopper value index fell 0.49 per cent in November from a yr earlier, following a drop of 0.76 per cent in October. The ministry mentioned it anticipated headline inflation for 2025 would are available between unfavourable 0.15 per cent and unfavourable 0.2 per cent, the primary full-year unfavourable studying in 5 years.
The core CPI studying rose an annual 0.66 per cent in November. The ministry has mentioned beforehand that unfavourable CPI readings weren’t a sign of deflation given the core CPI was nonetheless optimistic.Â
Prices might start rising subsequent yr, when the inflation price was anticipated to be in a spread of 0 per cent to 1 per cent, Nantapong Chiralerspong, head of the Trade Policy and Strategy Office, informed a press convention.
“Agricultural product prices are still rising, which may result in positive inflation in the first quarter of next year,” he mentioned.
Over the primary 11 months of 2025, the common annual headline price was unfavourable 0.12 per cent, whereas the core CPI was up 0.86 per cent, the ministry mentioned, including headline CPI was anticipated to fall once more in December.
FLOODS TO HIT GROWTH
Separately, a number one enterprise group mentioned whereas it anticipated the financial system to develop 2 per cent this yr, pushed by an anticipated 10 per cent surge in exports, it noticed challenges dealing with trade together with a powerful baht , U.S. tariffs, and competitors from imports.
“Our export competitiveness is facing problems, and it (the baht) is severely impacting tourism. A significant number of tourists have disappeared,” Kriengkrai Thiennukul, chairman of the Federation of Thai Industries, informed reporters.
The baht has gained 7.6 per cent towards the dollar thus far this yr to be Asia’s second-best-performing foreign money, and Kriengkrai mentioned that was affecting exports and tourism.
The ministry’s Nantapong mentioned there could be little impression on inflation from extreme flooding in elements of the nation’s south, whereas the FTI mentioned the catastrophe would trim financial progress this yr and subsequent.
The trade group estimated earnings losses of 20 billion to 30 billion baht ($630 million to $940 million) this month, equal to 0.1 per cent to 0.2 per cent of GDP, with additional losses of round 90 billion baht seen in 2026. The flood injury would require intensive repairs and rehabilitation which can be estimated within the a whole lot of billions of baht, it mentioned.
Economists anticipate the central financial institution to chop rates of interest at a coverage evaluation on December 17, after the Bank of Thailand held its key price regular at 1.50 per cent in October. November was the ninth consecutive month that inflation has are available beneath the central financial institution’s goal vary of 1 per cent to three per cent.
On Monday, Bank of Thailand Governor Vitai Ratanakorn mentioned he noticed room to decrease charges, however added such a transfer had solely a restricted impression on an financial system dealing with structural issues.
($1 = 31.8300 baht)