Thai inflation throughout 2023 rose only 1.23 percent as a result of reduced energy and electricity.

Bangkok: Office of Trade Policy and Strategy. The Ministry of Commerce revealed that Thai inflation throughout 2023 rose only 1.23 percent, considered higher than expected. Pointed to government measures to take care of the cost of living, reduce the cost of oil and electricity, as well as reduce the price of oil on the world market. It is expected that inflation in 2024 will average at 0.3-1-7 percent, still within a not very high range. Mr. Poonphong Naiyanaphakorn, Director of the Office of Trade Policy and Strategy, revealed that Thailand's Consumer Price Index for December 2023 was 106.96, compared to December 2022, which was 107.86, resulting in general inflation decreasing by 0.83 percent. It has continued to decline for the 3rd month and is the lowest in 24 months since March 2021. Even though inflation has decreased for 3 consecutive months, it is not considered deflationary. This is because most products have decreased following the government's policy to reduce the cost of living. The main factor is the decrease in the price of products in the energy group, including fuel. and electric current According to the government's policy to reduce the cost of living in energy. Including meat and cooking ingredients, prices have continued to drop. In addition, prices of fresh vegetables have dropped quite a lot. For other goods and services, prices move in a normal direction. Basic inflation When fresh food and energy are deducted increased by 0.58 percent In this regard, Thailand's inflation rate is compared to other countries. It ranks fifth lowest out of 135 economic zones that have announced figures. and is still the lowest in ASEAN out of the 7 countries that announced figures (Lao PDR, Philippines, Singapore, Vietnam, Indonesia, Malaysia), consistent with many countries around the world where inflation tends to slow down, with categories other than food and beverages decreasing. Down 1.00 percent in line with the decrease in prices of products in the housing category, including electricity costs. and it ems related to cleaning (detergent, dishwashing liquid, fabric softener), transportation vehicles category and communication from the decrease in the price of diesel, gasohol 91, and electric train fares. In addition, electrical appliances (television receiver washing machines, refrigerators) and some personal expenses have decreased in price (sanitary napkins, body soap, skin protection and care products). For products with slightly higher prices, such as body powder and deodorant. pet food offerings to monks, cigarettes, liquor and beer, and clothing and shoes categories The average price index remains unchanged, etc. However, this causes the average inflation rate for the whole year 2023 to be slightly higher, only 1.23 percent, and is a rate close to the Ministry of Commerce's forecast that it will expand in the range of 1.0 - 1.7 percent . The trend is low. The general inflation rate in January is likely to be negative for the 4th consecutive month, with important supporting factors including 1) measur es to freeze the price of diesel fuel; and fix electricity costs for households that use less than 300 units of electricity. 2) Oil prices in the world market tend to decrease. This will be a supporting factor for the retail price of gasoline in the country to decrease according to 3) the impact from the El Niño phenomenon. has a decreasing trend and 4) measures to promote sales of entrepreneurs To support public spending that is expected to increase according to the Easy E-Receipt measure. However, there are still factors that may cause inflation to increase, such as tourism that causes related goods and services to increase. Including the need to monitor conflict situations in various regions of the world, such as attacks on shipping ships in the Red Sea. That causes sea transportation to increase fees and freight rates. This is expected to be a temporary impact and the event is unlikely to last for a long time, etc. Therefore, the Ministry of Commerce forecasts general inflation in 2024 to be between (-0. 3) - 1.7 percent (median value of 0.7 percent), which is a rate that is consistent with the economic situation. At present Source: Thai News Agency