4-3-2024 (BANGKOK) The economic outlook for Thailand has reached a critical juncture, according to Prommin Lertsuridej, the Chief of Staff for Prime Minister Srettha Thavisin. Lertsuridej, addressing reporters on Monday, underscored the pressing need for decisive actions to tackle issues such as household debt, reinvigorate tourism, and inject stimulus into the economy.
“Figures show we are not in good shape,” stated Prommin Lertsuridej, highlighting the severity of the economic challenges faced by Thailand. The country’s struggle to recover from the pandemic, coupled with weak export performance, has placed it at a disadvantage compared to its regional counterparts.
The unexpected contraction of the economy in the fourth quarter of 2023 has further intensified concerns. Policymakers have revised down the growth outlook for the current year, increasing the pressure on the central bank to accede to the prime minister’s persistent calls for an interest rate cut.
“We are doing everything we can,” asserted Prommin, alluding to a range of stimulus measures implemented by the government. These measures include initiatives like visa-free tourism and policies aimed at addressing the alarming household debt, which currently stands at 91% of the gross domestic product.
In addition to these efforts, Prommin Lertsuridej emphasised the importance of approving and readying the government’s annual budget by the next month. The budget has been in limbo since October, primarily due to delays in forming a government last year.
