The IMF Country Reports Series covers economic and financial developments and trends in member countries. Each report, prepared by a staff team after discussions with officials of the country, is published at the option of the member.
This Selected Issues paper and Statistical Appendix examines the channels of monetary policy transmission in Thailand. The main findings are that changes in monetary policy are associated with changes in real output, and that the main channel for transmission is not bank lending but asset prices. The paper takes stock of the performance of the Thai corporate sector emerging from the crisis and discusses remaining challenges and vulnerabilities. An assessment of Thailand's fiscal vulnerability is also presented.