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Thailand Finance Minister Insists Government Won't Meddle in Interest Policy.
Byline: Nuntawun Polkuamdee
May 1--The government will not interfere in interest-rate policies set by local banks, according to Finance Minister Somkid Jatusripitak.
"The Finance Ministry will allow rates to move based on market mechanisms," he said yesterday.
Dr Somkid acknowledged that Prime Minister Thaksin Shinawatra had said that any reduction in deposit rates by local banks should be accompanied by similar cuts in lending rates.
"In any case, the authorities will not intervene. ... Each bank is free to set its own rates," Dr Somkid said.
Earlier, senior ministers had threatened unspecified "measures" against local banks ...
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Source: HighBeam Research, Thailand Finance Minister Insists Government Won't Meddle in Interest...