Economics
Thai economy is expected to return to 4-4.5% growth in 2021
The Minister of Finance is expecting the economy will grow 4-4.5% next year, however it may take up to 4 years for visitor numbers to recover.
BANGKOK (NNT) – The Thai economy has been showing signs of recovery, thanks to the government’s many stimulus measures.
The Minister of Finance is expecting the economy will grow 4-4.5% next year, however it may take up to 4 years for visitor numbers to recover.
The Minister of Finance Arkhom Termpittayapaisith predicts that Thailand’s tourism sector will start to recover after the successful development and distribution of COVID-19 vaccines globally, with the number of visitors next year expected to be at least 8 million.
He said, however, that by how much the country will reopen to tourists will depend on the public health conditions, adding that it may take until 2024 for tourist numbers to return to 40 million per year.
With this prospect, the Finance Minister said the government still finds it necessary to continue stimulating domestic purchasing via co-pay campaigns, tourism subsidy campaigns and living allowances for holders of welfare cards.
The government is now considering the extension of these campaigns, however there are still no definite timeframes set for by how long these campaigns will be extended.
The Minister of Finance said the government also needs to provide capital support for SMEs, so they have the liquidity they need to continue their businesses.
On public sector investments, Minister Arkhom said the government will be accelerating digital infrastructure investment and promoting investments in its s-curve industries, particularly the technology and digital industries, eco-friendly, healthcare and medical services industries.
The government is also to consider imposing tariffs on online purchases of goods and services, especially for orders from foreign merchants.
The Minister of Finance said the Thai economy in 2021 is expected to return to 4-4.5% growth.
Economics
Recovering global trade supports APAC economies but Tourism exposure will temper Thailand’s rebound
The direct contribution of travel and tourism to Thailand’s economy was around 10% of GDP before the pandemic, but the economic repercussions of a significant slowdown are more widespread given a large informal tourism sector.
Moody’s Investors Service says in a new report that a resurgence in coronavirus cases along with low vaccination rates in Asia Pacific (APAC) pose renewed risks to domestic demand, although recovering global trade will support the region’s more export-oriented economies.
(more…)
Economics
Thai Government Plans to Increase 2022 Investment Budget by 90 Billion baht ($2.84 bln)
According to the 2022 fiscal budget bill, which has public spending set at 3.1 trillion baht, accounting for 17.9% of GDP, the government would need to borrow 700 billion baht to offset the deficit.
BANGKOK (NNT) – The Budget Bureau notes that the Thai government plans to increase its investment budget by 90 billion baht in the fiscal year 2022, in compliance with a law related to state financial and fiscal discipline.
(more…)
Recovering global trade supports APAC economies but Tourism exposure will temper Thailand’s rebound
The direct contribution of travel and tourism to Thailand's economy was around 10% of GDP before the pandemic, but the...
Thailand Expects 600,000 Tourists from Phuket Sandbox reopening
From 1 July, Phuket will waive quarantine requirements for foreign tourists who have been fully vaccinated against COVID-19 under the...
Thai Government Plans to Increase 2022 Investment Budget by 90 Billion baht ($2.84 bln)
According to the 2022 fiscal budget bill, which has public spending set at 3.1 trillion baht, accounting for 17.9% of...
Fitch Affirms Thailand’s rating at ‘BBB+’ with a Stable Outlook
Fitch forecasts Thailand's tourism-dependent economy will recover only modestly, by 1.8% in 2021 after a sharp 6.1% contraction in 2020.
One-stop SME information portal connecting ASEAN businesses and beyond
The ASEAN Access is a flagship initiative of the ACCMSME, spearheaded by the OSMEP, Thailand and supported by the Federal...