The World Bank has upgraded Thailand’s income categorization from a lower-middle income economy to an upper-middle income economy this year. The World Bank annually revises its classification of the world’s economies based on gross national income GNI per capita estimates using the Atlas method.
As of July 1, 2011, upper-middle-income economies are those with average incomes of US$3,976 to US$12,275. Using the Atlas method, Thailand’s GNI per capita is currently at US$4,210.World Bank Senior Economist Kirida Bhaopichitr says: “The upgrade is in recognition of Thailand’s economic achievements in the past decade in which GNI per capita has almost doubled, while poverty has been significantly reduced. The country has been prudent in macroeconomic management with a strong fiscal stance and low public debts and inflation.
Thailand has a friendly business environment and has been successful in attracting foreign direct investments and achieving greater diversification in manufacturing production, both in terms of higher value-added production and expansion into new emerging export markets.
“These achievements were reflected in the resiliency of the Thai economy to the recent global financial crisis, which now place Thailand in a position of opportunity to pursue stronger ties to both ASEAN and the world,”
“For Thailand to sustain its growth and avoid the middle income trap, it needs to pay attention to raising the productivity of not only the manufacturing, but also the agriculture and services sectors. Higher levels of education and skills as well as creativity, innovation, and competition will be necessary. These would not only promote higher growth but also inclusive growth which will help reduce the persistent high income inequality in Thailand”.
The World Bank uses GNI per capita estimates for its operational classification of economies which, in turn, determines their lending eligibility. The new listing of all economies included in the World Bank’s databases, their regional and income classifications, and the explanation of the Atlas methodology can be found here.
Upper-middle-income economies ($3,976 to $12,275)
|Antigua and Barbuda||Iran, Islamic Rep.||Peru|
|Bosnia and Herzegovina||Latvia||Seychelles|
|Brazil||Libya||St. Kitts and Nevis|
|Chile||Macedonia, FYR||St. Vincent and the Grenadines|
|Dominican Republic||Montenegro||Venezuela, RB|
Thailand relaxes COVID-19 measures to help revive economy
During the past couple weeks, new infection cases have been down from roughly 20,000 daily cases to 17,000 -19,000. Moreover, the number of daily discharges is exceeding infections, which has led to the conclusion that the situation is improving.
Thailand relaxed more virus related social curbs on September 1st, in dozens of cities including Bangkok, in a move that may indicate that the country’s economy, hit hard by COVID-19 will soon revive, lead by the export sector and sound financial fundamentals.(more…)
Southeast Asia to relinquish its lead over Latin America says Moody’s
While the emerging economies of Southeast Asia have outperformed their counterparts in Latin America for most of the past two decades, their lead will slide in the next few quarters as Southeast Asian governments clamp down to fight the pandemic’s lingering second and third waves.
The Delta surge is casting larger clouds over the global recovery and emerging markets are in the thick of it. Despite the ebbing of the coronavirus variant in India, where it first emerged, its spread in Southeast Asia, Africa, and the Middle East has steepened the road to recovery in these regions.(more…)
Thailand Raises Public Debt Ceiling from 60% to 70% of GDP
Thailand’s State Monetary and Fiscal Policy Committee has decided to raise the ceiling of the public debt-to-GDP ratio from 60%...
Thailand Approves Package to Attract Wealthy Foreigners and Professionals
Thailand’s Cabinet has approved an economic stimulus and investment promotion package aimed at attracting wealthy foreigners and highly skilled professionals...
The Role of Telemedicine Today: During and Beyond the COVID-19
Lockdowns, quarantine periods, and hospitals fast filling to the brink needed the medical community to come up with solutions fast....
Malaysia, Thailand banks to join the ASEAN Banking Integration Framework
Banking institutions from Thailand and Malaysia are invited to join the ASEAN Banking Integration Framework and indicate their interest to...
Climate Change Could Force 49 Million People to Migrate in East Asia and the Pacific
Out-migration hotspots in agricultural areas of central Thailand and Myanmar coincide with areas expected to see declines in both water...