Thailand’s central bank unexpectedly lowered the cost of credit on Wednesday as escalating protests to topple the government add to pressure on the economy.

The Bank of Thailand said it lowered its policy interest rate by a quarter percentage point to 2.25 percent, hoping to stimulate lending and investment.

Flag-waving protesters vowing to topple Prime Minister Yingluck Shinawatra took to the streets of Bangkok for a fourth straight day on Wednesday, threatening to occupy every government ministry after turning the Ministry of Finance into an ad hoc protest headquarters.

The central bank said in a statement that the “ongoing political situation” could compound existing weaknesses in Southeast Asia’s second-largest economy that include fragile business confidence and delays in government plans for $69.5 billion of spending on high speed rail and other transport infrastructure.

Thailand’s third quarter economic growth was weaker than expected and a recovery in exports has not gained traction, the bank said.

Known mainly for its southern resort islands and high quality rice, Thailand is also a manufacturing base for electronics manufacturers and several global automakers, including General Motors Co. and Toyota Motor Corp.

Protest leaders say they want to replace the government with a non-elected council to eliminate the political machine of Thaksin Shinawatra, who was ousted as premier in a 2006 coup following months of street protests against corruption and patronage politics.

Thailand’s current prime minister is Mr Shinawatra’s younger sister, who led her party to a landslide victory in 2011 elections.

In cutting interest rates, the central bank was taking out insurance to buffer the economy from possible greater fallout, said Sin Beng Ong, head of Southeast Asian economic research at J.P. Morgan.

More In: World | International