Connect with us

Economics

Thai Economy shrinks 1.8% in first quarter

The state planning agency also cut its forecast for 2020 GDP to a contraction of 5.0 to 6.0 per cent, possibly close to the worst decline since 1998 during the Asian financial crisis.

Olivier Languepin

Published

on

The Thai economy shrank by 1.8 per cent year on year in the first quarter, according to the National Economic and Social Development Council (NESDC). 

Loading...

The state planning agency also cut its forecast for 2020 gross domestic product (GDP) to a contraction of 5.0 to 6.0 per cent, possibly close to the worst decline since 1998 during the Asian “Yom Yam Gung” financial crisis. 

The agency also lowered the country’s export forecast to a contraction of up to 8%.

The economy will be hit hardest in the second quarter by lockdowns, Thosaporn Sirisumphand, head of the National Economic and Social Development Council (NESDC), told a news briefing.

Meanwhile, the government began disbursing cash handouts in April handing out financial aid to millions of Thais affected by the COVID-19 crisis, and businesses were gradually allowed to reopen as Thailand moved to a new phase of relaxation.

But Krungthai Compass Research Centre said Thailand’s economy could contract by as much as 8.8% due to supply shock, weak domestic consumption, shrinking private investment and lower exports, with the highest contraction rate likely in the second quarter.

GDP fell a seasonally adjusted 2.2% in the first quarter compared with the previous three months, better than the median estimate of a 4.2% contraction in a Bloomberg survey of economists. 

2020 Tourist Arrivals Forecast cut to 14 million

The number of foreign tourists may plunge by almost two-thirds or 65% this year, the lowest level since 2006, as the coronavirus pandemic hits global travel.

The Tourism Authority of Thailand (TAT) now predicts only 14 million to 16 million foreign visitors this year, down from 33.8 million projected in March.

Last year’s foreign arrivals were a record 39.8 million and spending from foreign tourists amounted to 1.93 trillion baht, or 11% of gross domestic product.

Comments

Economics

Thai fruit exports to FTA markets up 107 percent

China, Malaysia, Singapore, Indonesia, the Philippines, Hong Kong, Australia and Chile are top importers of Thai fruits, especially fresh durian, mangosteen, longan and mango. Thai exporters are able to benefit from FTA privileges.

National News Bureau of Thailand

Published

on

BANGKOK (NNT) – Thailand’s fruit exports continue to increase, despite the sluggish global economy caused by the COVID-19 pandemic, with key trade partners being countries that have free trade agreements (FTAs) with the kingdom.

Loading...
(more…)

Continue Reading

Economics

The Future of Asia: greener but with a public and private debt hangover

The COVID-19 pandemic has been a perfect storm, destroying jobs, worsening poverty and inequality, and creating a public and private debt problem—especially for countries and firms already in fragile financial health beforehand

Avatar

Published

on

The Sydney Opera resumed live performances and the city of Melbourne recently hosted the Australian Open tennis tournament with fans (mostly) in attendance.

Loading...
(more…)

Continue Reading

Economics

50:50 campaign may not get immediate extension

National News Bureau of Thailand

Published

on

logomain

Loading...

BANGKOK (NNT) – The government’s 50:50 co-pay campaign expiring on 31st March may not be getting an immediate campaign extension. The Minister of Finance says campaign evaluation is needed to improve future campaigns.

The Minister of Finance Arkhom Termpittayapaisith today announced the government may not be able to reach a conclusion on the extension of the 50:50 co-pay campaign in time for the current 31st March campaign end date, as evaluations are needed to better improve the campaign.

Originally introduced last year, the 50:50 campaign is a financial aid campaign for people impacted by the COVID-19 pandemic, in which the government subsidizes up to half the price of purchases at participating stores, with a daily cap on the subsidy amount of 150 baht, and a 3,500 baht per person subsidy limit over the entire campaign.

The campaign has already been extended once, with the current end date set for 31st March.

The Finance Minister said that payout campaigns for the general public are still valid in this period, allowing time for the 50:50 campaign to be assessed, and to address reports of fraud at some participating stores.

The Fiscal Police Office Director General and the Ministry of Finance Spokesperson Kulaya Tantitemit, said today that a bigger quota could be offered in Phase 3 of the 50:50 campaign beyond the 15 million people enrolled in the first two phases, while existing participants will need to confirm their identity if they want to participate in Phase 3, without the need to fill out the registration form.

Mrs Kulaya said the campaign will still be funded by emergency loan credit allocated for pandemic compensation, which still has about 200 billion baht available as of today.

Source link

Continue Reading

Most Viewed

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 13,973 other subscribers

Latest

Trending