Thailand’s GDP this year is forecast to grow by 2.5%, down from 3% as earlier projected, as growth in the third quarter of the year was just 1.5%, due to export contraction, averaging 3% for three months in a row, according to the National Economic and Social Development Council (NESDC).
NESDC Secretary-General Danucha Pichayanan said exports of industrial products in the third quarter reduced by 4%,while government sector consumption shrank by 4.9% during the same period.
Growth for the first nine months this year was recorded at 1.9%, said Danucha, adding that the 2.5% projected for this year is almost equivalent to last year’s growth of 2.6%.
Public sector investments this year are projected to fall by 1.8%, due mainly to delays in the disbursement of the 2024 fiscal budget.
He said, however, Thailand’s growth next year may range between 1.7% and 3.7%, without factoring in the effects of the digital wallet scheme, which is pending a ruling from the Council of State on the constitutionality of a loan bill to fund it.
To achieve a 5% growth next year, as expected by the government, he said that they must boost exports and investments, the two major engines of growth.
