Thai headline CPI below forecast in Nov, seen slowing further

A woman walks at the Maeklong market next to the train tracks, on the outskirts of Bangkok, Thailand. REUTERS/Jorge Silva/File photo

BANGKOK  – Thailand’s headline consumer price index (CPI) rose by a less-than-expected 5.55 percent in November from a year earlier, the slowest pace in seven months, helped by lower food prices, government data showed on Wednesday.

The index, which slowed for a third straight month, compared with a forecast for a 5.86 percent rise in November in a Reuters poll and followed October’s 5.98 percent increase.

The pace, however, is still far above the central bank’s target range of 1 percent to 3 percent, reinforcing expectations that the central bank will continue to gradually raise interest rates to bring prices back within target.

The headline CPI in December is expected to rise at a similar pace to the November reading, senior commerce ministry official Poonpong Naiyanapakorn told a briefing.

Average headline inflation is still expected at 5.5 percent to 6.5 percent for the whole of 2022 and should fall to 2 percent to 3 percent in 2023 due to a base effect and a global recession risk, he said.

The core CPI index in November was up 3.22 percent from a year ago, versus a forecast rise of 3.20 percent, and following October’s 3.17 percent, the ministry said.