Market Roundup 27 September 2023

1) Thai stock market overview

Thailand’s SET Index closed at 1,497.15 points, increased 3.13 points or 0.21% with a trading value of 46 billion baht. The analyst stated that the Thai stock market moved in the same direction as regional and European markets. The market widely expected that a rate hike by the Bank of Thailand marked the end of the cycle and also a better outlook for Thailand’s economy next year. The analyst expected SET Index to extend its gain tomorrow.


2) Thailand’s monetary policy makers unanimously vote to raise rates by 25bps to 2.50%

Thailand’s Monetary Policy Committee (MPC) voted unanimously to raise the policy rate by 0.25 percentage point from 2.25 to 2.50 percent, effective immediately.

The Bank of Thailand noted that the Thai economy overall continued to recover in 2023, albeit at a slower pace due to soft external demand. Growth should pick up in 2024, supported by both domestic and global demand. Inflation is projected to increase next year in line with the recovery and El Niño-related supply pressure. The Committee is monitoring additional impetus to growth and inflation from government economic policies. In the context of continuing expansion and narrowing slack, monetary policy should aim to keep inflation sustainably within the target range, foster long-term macro-financial stability, and ensure sufficient policy space given uncertain outlook.


3) JKN’s debenture holders approve to extend maturity date for higher interest rates

The debenture shareholders approved a resolution for JKN to extend the maturity date of JKN239A Debentures to February 23, 2024.

JKN will make partial repayment of the principal amount of JKN239A Debentures plus interest amount (at a higher rates, which will be proposed at the meeting) in the amount of THB 19.5 million on December 15, 2023 while the balance of unpaid principal being amounted to THB 432.45 million will be paid by the company on the extended maturity date of JKN239A Debentures on February 23, 2024.

Debenture holders also approved the resolution to increase the interest rate of JKN239A Debentures from 6.60 percent per annum to 7.00 percent per annum.