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Thai economy returns to growth in Q4, but recovery in 2022 seen slow

by 198 Vietnam News
February 22, 2022
in VIETNAM THAILAND NEWS
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Fiscal, tourism help

From a 12 months earlier, GDP grew 1.9 p.c in October-December, beating a forecast 0.7 p.c rise, and towards a revised 0.2 p.c contraction within the earlier three months.

For 2021, nevertheless, Thailand’s GDP progress of 1.6% was one of many slowest in Southeast Asia, after a revised 6.2 p.c contraction in 2020.

Fourth-quarter progress was helped by sturdy exports and a restoration in home exercise following an easing of coronavirus curbs and as borders reopened to overseas guests.

The financial system is prone to carry out properly within the first quarter of this 12 months, however there may be some inflationary stress, NESDC chief Danucha Pichayanan informed a information convention.

“The primary driver can be exports and monetary disbursement, with tourism and home consumption including to the help,” he stated.

The company maintained its forecast export progress at 4.9 p.c this 12 months.

The federal government has launched billions of {dollars} of aid measures to revive the financial system whereas the central financial institution has left its key price unchanged at a report low of 0.50 p.c since Might 2020.

Given the weaker progress trajectory, “we predict the central financial institution will need to hold financial coverage supportive,” analysts at Capital Economists stated.



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