9-8-2023 (BANGKOK) Thailand’s economic resurgence, propelled by a blend of revived tourism and robust consumption, remains an encouraging narrative. However, challenges on the export front have prompted contemplation of a potential downward revision in the growth projection for the year, disclosed Bank of Thailand Governor Sethaput Suthiwartnarueput on Wednesday.
Initial projections had positioned the growth forecast at 3.6 percent. Yet, due to prevailing headwinds, an adjustment downwards towards the mid-3 percent range for the current year appears to be under consideration, as conveyed by Governor Suthiwartnarueput during a central bank seminar.
As of May, the central bank had maintained a growth outlook of 3.6 percent for the ongoing year and 3.8 percent for the subsequent year. Last year, the Thai economy recorded a 2.6 percent expansion.
Governor Suthiwartnarueput cited global factors as contributors to a subdued export performance, remarking, “Exports have been soft due to global issues.” Despite this, he underscored the pivotal role of private consumption and the flourishing tourism sector in sustaining the trajectory of recovery. Anticipating a resurgence in foreign footfall, the nation is poised to welcome approximately 29 million international visitors throughout the year.
The dynamic of inflation has unveiled a surprising trend, descending at a swifter pace than initially projected. Governor Suthiwartnarueput emphasized that interest rate decisions will pivot on the broader economic outlook, prioritizing long-term perspectives over transient data points.
