Academics: raising interest rate should be done slowlyJuly 15th, 2008 - 9:13 am ICT by Amrit Rashmisrisethi
The Deputy Rector of the University of Thai Chamber of Commerce, Mrs. Saowanee Thairungrote (เสาวนีย์ ไทยรุ่งโรจน์), says the Monetary Policy Committee’s recent decision to push up the interest rate may hurt investors and consumers.
Mrs. Saowanee says interest rate is one of the important proportions of production cost, and a much higher interest rate during this period can cause a more sluggish economy. She advises the government to gradually increase it.
At the same time, the Director of the Center for Economic and Business Forecasting (CEBF), Mr. Thanavath Phonvichai (ธนวรรธน์ พลวิชัย), views that the current economy remains fragile. He says the government need to take many issues into account. He says increasing the interest rate is the right action, but it should be done slowly to secure and stabilize the economy.
Source : National News Bureau, Public Relations Department of Thailand