BANGKOK, April 4 (Xinhua) -- Thailand's Monetary Policy Committee (MPC) decided to maintain the policy interest rate at 2. 75 percent given concern with the fragile global economy, The Nation newspaper reported on Thursday.
Paiboon Kittisrikangwan, Bank of Thailand assistant governor, said the MPC agreed that it is appropriate to continue an accommodative monetary policy stance with caution on risks to a volatile exchange rate, capital flow and financial stability, especially the possibility of a bubble in the highly-dynamic property sector.
Household and personal debts have escalated while the MPC is concerned that a low interest rate may boost household borrowing, he said.
Paiboon said Thailand's export landscape will gradually improved in accord with the global economy and economic expansion of trading countries.
Thailand's Q1 economic expansion will become less active while domestic demand and the government's investment in water management and infrastructure projects will be the major driving forces later this year, he said.
Paiboon added that the MPC has raised its 2013 economic-growth outlook, but he said it would not be much different from the current forecast of 4.9 percent.
The central bank is set to announce an adjustment of Thailand's growth forecast this year which is slightly higher from the previous forecast of 4.9 percent. The new forecast will be announced on April 12.
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