BANGKOK (NNT) – Despite a new and wider wave of COVID-19 infections in the country, the Bank of Thailand (BoT) has assessed that the economic impact of the situation will not be as severe as the first wave as the effects of the virus are not as pronounced, and public health preparations, including plans for vaccination, are in place.

Senior Director of Macroeconomics for the BoT Chayawadee Chai-anant explained this week that the central bank does not see the new wave of COVID-19 infections as having as much of an impact on the economy as the first wave, as fewer businesses have had to be suspended and the general public is better prepared.

She added that state measures this time around are also less strict, and should allow the export sector to continue on its growth trajectory. If controls during the first half of the year prove effective, tourism is expected to recover in the latter half.

The BoT foresees however, that recovery will differ depending on the area, as 28 provinces are under strict controls. The 28 being tightly maintained account for half of the nation’s economic activity.

Businesses expected to grow more fragile due to a loss of revenue are those in the service sector as well as the tourism industry, which is already financially weak. An estimated 4.7 million laborers, mostly independents, in red zones are expected to be hard hit by the situation.

The bank believes urgent help is needed for workers and fragile businesses and has been issuing measures alongside the state.

Information and Source
Reporter : Praphorn Praphornkul
Rewriter : Rodney McNeil
National News Bureau & Public Relations : http://thainews.prd.go.th

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Thailand’s GDP rebounds in Q4 but recovery still lagging its peers

Oxford Economic expects economic momentum to improve further in 2022, with GDP rising by an above-consensus 5.1%. However, Oxford Economics expects the policy rate to remain at 0.5% until Q1 2023 as Thailand’s stunted recovery and a partial recovery in tourism still warrants an accommodative stance.

Asia’s Economies Face Weakening Growth amid Rising Inflation Pressures

Economic growth in Asia and the Pacific is projected to decelerate to 4.2 percent this year, 0.7 percentage points less than forecasted in April and slower than the 6.5 percent growth in 2021.