Thailand is likely to keep benchmark interest rates on hold this week, according to the consensus view of strategists contacted by CNBC.
The country's central bank, which meets Wednesday to decide on policy, is under pressure to raise the lending rate from a record low of 1.5 percent after the economy grew 4.6 percent in the second quarter from a year ago. That exceeded a forecast of 4.5 percent, though growth expanded at a slower pace quarter-on-quarter, and ING economists said investment remains a "missing link" in the economy.
The state planning agency kept its 2018 growth forecast at 4.2 to 4.7 percent and raised its projection for export gains despite escalating global trade tensions.
"Strong quarterly GDP growth above 4.5 percent year-on-year coupled with full employment is a recipe for the upcoming [Bank of Thailand] rate hike," Koon How Heng, head of Markets Strategy at UOB, said in an e-mail on Friday. "A rate hike on Wednesday may be a bit premature as we need to see a more pronounced pick up in Thailand's [consumer price index] towards the mid-point of the BoT's inflation target range from 1% to 4%. Currently, Thailand headline CPI is 1.6 percent as of August."