Overview

• Minutes published Wednesday confirm a unanimous 25-basis-point reduction on Aug. 13 to 1.50%, marking a fourth cut in ten months.
• The central bank highlights U.S. tariffs as a drag on demand and global trade with a prolonged impact that could deepen structural competitiveness challenges.
• The bank still expects growth close to its forecasts of 2.3% in 2025 and 1.7% next year, but it sees a second‑half slowdown tied to U.S. trade measures.
• Policymakers say further easing would not significantly increase financial stability risks while emphasizing the need to safeguard macro‑financial stability within limited policy space.
• Domestic risks include softer tourism, weakening investment and consumption, and tougher manufacturing competition, with the next policy review on Oct. 8 and a deputy finance minister saying there is room for more cuts and growth could exceed the ministry’s 2.2% forecast.