Around the end of 2006, we saw rapid appreciation of the baht, declining consumer confidence, and weakened consumption and investment. In addition, the implementation of the reserve requirement, the amended Foreign Business Act, and the compulsory licensing of certain medicines proved to be unpleasant surprises to the investor community, local and international. Notwithstanding the less than favorable political and economic environment and despite both external and internal shocks, the Thai economy has shown remarkable resilience. Recent figures show GDP expanding by 4.3 percent in the first quarter of the year. Net exports and government expenditures expanded well. However, household consumption slowed while investment contracted. Much of the slowdown has been due to the rise in political uncertainty. Softened business sentiments led firms to delay their investment plans. Decreased consumer confidence led households to delay purchases of durables, such as automobiles and motorcycles. In light of the diminished pressure on prices, the Bank of Thailand responded by shifting to an accommodative monetary policy stance. Since the beginning of the year, the policy interest rate was lowered from 5 per cent to the present rate of 3.5 per cent. At this juncture, the Monetary Policy Committee deems the current level of policy interest rate to be supportive of economic expansion while maintaining stable inflation. At this point, allow me to elaborate on Thailand’s economic prospects going forward. Our outlook for the Thai economy remains positive. Present data and our forecasts point to a satisfactory growth outlook for this year and next year.

Three, in 2019 the Bank will prepare its first Social and Environmental Sustainability Report, examining how it complies with obligations of every entity forming part of a broader community. This Report will also give an account of the CBC’s progress and challenges in terms of gender equality. Lastly, notwithstanding the aforementioned initiatives, the Board of the CBC will hire an independent assessment of its performance in compliance with the two mandates of its Organic Act, that is, price stability and financial stability. For this purpose, a panel composed of four world-renowned experts in central banking will be convened. This panel will accumulate the relevant background in the course of the next few months and will issue a report with its assessments and recommendations in time to be presented in this same instance next year. This will be a concrete form of accountability for the way the CBC and its Board have complied with its legally-mandated obligations and responsibilities to society, which will acquire special connotation at the end of 30 years of autonomy of our institution. This recount that I have presented before the Honorable Senate of the Republic, without being exhaustive, gives us a broad and general approach to the steps we are taking. It also expresses our ability to adapt to more uncertain and challenging scenarios, as well as the commitment we have to relieve the meaning and purpose of the CBC. In short, it is about fully assuming the responsibility with which we honor our constitutional mandate in the eyes of our country.