Thai IMF loan

THE THAI government is set to approve its fifth quarterly agreement with the International Monetary Fund.

The government's letter of intent will be presented to the cabinet today before it goes to IMF headquarters in Washington for final ratification. The letter outlines the progress of the country's reforms under its $17.2bn (pounds 10.5bn) rescue package approved last year. Analysts predicted the economy would contract by 7 per cent in the year to September, compared with previous forecasts of a 4 to 5.5 per cent contraction.