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The Bank of Thailand held its key interest rate steady at 2.5% in August 2024, extending its pause for a fifth straight meeting, despite some calls to start easing amid a sluggish economy and political uncertainty following the dismissal of the prime minister by the court. The majority of the Committee deems that the current interest rate is consistent with the economy converging to its potential, as well as conducive to safeguarding macro-financial stability. The Thai economy expanded 2.3% year-on-year in the June quarter, up from the 1.6% growth in the previous period. However, analysts noted that fiscal policy uncertainty clouded the outlook. Meanwhile, consumer prices in the country rose by 0.83% year-on-year in July, following a 0.62% increase in June. The central bank has previously indicated that annual headline inflation is expected to gradually return to its 1-3% target range by the end of the year.