The International Monetary Fund (IMF) projects Thailand’s GDP to grow by 4.4% in 2024, up from 2.5% in 2023.
- The IMF projects Thailand’s GDP to grow by 4.4% in 2024, showing a significant increase from the previous year’s 2.5% growth.
- Thailand’s economic recovery is expected to gain momentum in 2024, driven by improvements in external demand and robust growth in private consumption supported by government fiscal stimulus.
- The IMF encourages Thailand to continue gradual policy normalization, implement structural reforms, and maintain a neutral fiscal stance with targeted support for vulnerable groups to address poverty and inequality.
The economic recovery is expected to accelerate due to improvements in external demand and robust growth in private consumption. However, the IMF notes that Thailand’s economic recovery is slower than regional peers and faces uncertainty, with risks tilted to the downside.
The IMF encourages gradual policy normalization and structural reforms to boost productivity, address poverty and inequality, and promote investment and competitiveness.
The Bank of Thailand’s current neutral monetary policy stance is seen as appropriate, but authorities should be prepared to tighten monetary policy if inflationary risks materialize.
But in a separate news, the Thai Ministry of Finance has downgraded its projection for this year country’s economic growth to 2.8% from the previous estimate of 3.2%, an estimate well below the IMF forecast.
Last year’s GDP growth is expected to be 1.8%, down from 2.6% in 2022 and well below the Bank of Thailand’s projection of 3.6%. The official GDP data is set to be published by the National Economic and Social Development Council on Feb. 19.
