Photo credit: Stock Photo
Thailand’s annual headline inflation remained negative for the eighth consecutive month in November, according to data released on Wednesday. The decline was attributed to falling energy prices and government measures aimed at easing the cost of living, the Commerce Ministry stated.
The consumer price index (CPI) decreased by 0.49% in November compared to the same month last year, following a 0.76% decline in October. This marks the ninth month in a row that inflation has been below the central bank’s target range of 1% to 3%. Despite severe flooding in parts of southern Thailand, Nantapong Chiralerspong, director-general of the Trade Policy and Strategy Office, noted that it had little effect on inflation levels.
The core CPI increased by 0.66% year-on-year. For the first 11 months of 2025, overall inflation was down by 0.12% compared to the same period last year. Economists anticipate that inflation in 2026 will remain between 0.0% and 1.0%.
The Bank of Thailand is expected to consider a rate cut at its policy review scheduled for December 17, after maintaining its key rate at 1.50% in October. BoT Governor Vitai Ratanakorn recently stated there was room to lower interest rates but cautioned that such a move would have limited impact on an economy facing deeper structural challenges.