The annual headline inflation rate in Thailand increased less than expected in July, the Ministry of Commerce reported on Monday, thanks to reduced energy prices from a high base a year earlier.
July’s consumer price index (CPI) rose 0.38%, compared to a Reuters poll expectation of 0.64% and June’s 0.23% rise.
For the third month in a row, headline CPI fell short of the 1% to 3% range set by the Bank of Thailand.
The core CPI increased by 0.86% in July from the same period last year, which is lower than the 0.90% increase predicted by the survey and the 1.32% increase seen in June.
The commerce ministry maintained its forecast of 1% to 2% annual average headline inflation, adding that it is expected to revise its projection for this year’s price increase in September.
Poonpong Naiyanapakorn, a ministry official, told a press conference that the country’s inflation is likely to rise marginally in August due to a rise in food prices caused by drought and an increase in energy prices.
