30-6-2023 (BANGKOK) Thailand’s economy demonstrated positive signs in May compared to the previous month, fueled by a resurgence in tourism and higher private consumption, although exports continued to face challenges, according to a statement released by the Bank of Thailand (BOT) on Friday.
The central bank reported a steady rise in economic activity, citing an ongoing increase in tourist arrivals as a contributing factor. The BOT has projected economic growth of 3.6 percent for this year and 3.8 percent for the following year, with the tourism sector playing a pivotal role in driving the growth.
In May, Thailand registered a current account deficit of $2.8 billion, following a revised deficit of $0.6 billion in the previous month, as revealed by the BOT’s statement.
However, the country’s exports, a crucial driver of economic expansion, faced a setback with a 5.9 percent year-on-year decline in May. This followed a 4.9 percent year-on-year drop in the previous month.
Thailand, the second-largest economy in Southeast Asia, exceeded expectations by expanding 2.7 percent in the first quarter compared to the same period the previous year, largely due to the revival of the vital tourism sector.
Looking ahead, the BOT emphasized the importance of monitoring global financial market volatility and the impact of the newly formed government and its policies on the country’s economic outlook.
