The Office of Trade Policy and Strategy (TPP) under Thailand’s Ministry of Commerce has reported that the headline consumer price index (CPI) in February 2023 stood at 108.05, leading to headline inflation rising by 3.79% from the same period last year. This marks the third consecutive month of a slowdown and the lowest rate in 13 months. The decline can be attributed to the fall in energy and fresh food prices.
The average headline inflation rate for the first two months of the year, January and February, increased by 4.40%. Meanwhile, the Core Consumer Price Index (Core CPI) for February 2023 stood at 104.17, leading to core inflation rising by 1.93% from the same month last year. The average core inflation rate for the first two months of the year increased by 2.48%.
As inflation trends downward, it is expected that inflation in the first quarter of 2023 will increase no more than 4%. The Ministry of Commerce will issue a revised inflation forecast for 2023 in the coming month, taking into account changes in key assumptions such as economic growth, exchange rates, and oil prices in the world market. Currently, the inflation framework is maintained at 2.0-3.0%.
Thailand’s inflation slowdown in February has come as a relief for consumers, particularly amid rising concerns over the impact of the COVID-19 pandemic on the economy. The country’s central bank has been monitoring the situation closely and has implemented measures to support the economy, including cutting interest rates and implementing fiscal stimulus measures.
The Thai government remains committed to stabilizing the economy and ensuring that inflation remains within manageable levels, providing support for businesses and consumers alike. The latest figures are a positive indication that efforts are yielding results, and the country is on a path to economic recovery.