The consumer price index (CPI) inched up 0.83 percent last month from a year earlier, accelerating from a 0.62-percent increase in June, according to the Ministry of Commerce.
The July inflation rate was below the Bank of Thailand's target range of 1-3 percent for the second straight month.
The core CPI, which excludes raw food and energy prices, increased 0.52 percent year on year in July, stepping up from a 0.36-percent gain in the previous month.
For the first seven months of 2024, the headline CPI rose 0.11 percent compared to the same period last year.
In August, headline inflation growth is expected to remain comparable to the previous month, thanks to government subsidies on electricity consumption, softening food prices and last year's higher base price of petroleum, said Poonpong Naiyanapakorn, director general of the ministry's Trade Policy and Strategy Office.
However, rising prices of goods and services related to tourism on the back of the recovery in the tourism sector coupled with ongoing demand for fruits, particularly durian and rambutan, are expected to contribute to higher inflation growth, Poonpong told a news conference.
He also noted that the ministry maintains its headline CPI projection for 2024 at 0-1 percent.
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