Thai inflation grows slowly in May


BANGKOK, June 1- Thailand’s Consumer Price Index (CPI) grew at a slower pace last month to stay at 115.23, up 0.39 per cent from April, thanks to the slow goods price rise, according to the Commerce Ministry.

Inflation in May rose by 2.53 per cent year-on-year while inflation in the first five months this year climbed by 3.03 per cent compared to the same period last year, Permanent Secretary for Commerce Yanyong Phuangrach told a news briefing on Friday.

Overall, inflation rose in a better direction in accord with the country’s improved economic condition as production and consumption remained healthy.

This year’s overall CPI target was set within a range of 3.30-3.80 per cent year-on-year, influenced by the key risk factors- the global and domestic political situations, the global economy, natural disasters, fluctuation of the currency exchange and interest rates, all of which will impact the cost of production and the cost of living, Mr Yanyong announced.

The permanent secretary explained that the slow increase in the inflation rate was because the price rate of consumer products was stable and reduced.

However, the price index of food and beverages climbed by 1.41 per cent as hot weather resulted in less produce.

Meanwhile, the consumer price index in the other groups decreased by 0.28 per cent owing to falling retail oil prices in the country and the government’s measures to assist consumers affected by the high oil prices in earlier period.