Thailand’s economic growth for the second quarter was 2.8%, taking growth for the first half of this year to 3%, thanks to increased exports to the US market ahead of the enforcement of new tariffs imposed by the US administration, according to secretary-general of the National Economic and Social Development Council (NESDC), Danucha Pichayanan.
He noted, however, that the 2.8% growth in GDP for the second quarter was lower than the 3.2% in the first, mainly due to a production slowdown in the non-farm sector, especially in tourism, while the farming sector continues to expand.
Consumption spending by the private and government sectors continues to contract, while exports and services continue to expand, contributing to the 3% growth in the first half of the year, he said.
Exports grew for the fifth consecutive quarter, to US$ 84.1 billion, in tandem with increased exports to the US market ahead of the enforcement of the new tariffs, registering an increase of 14.5%.
Unemployment in the second quarter was 0.91%, compared to 0.89% in the first, but lower than the 1.07% for the same period last year. Headline inflation, meanwhile, was negative 0.3%, which was the first time in five quarters.
Average inflation was 1%, while the current account surplus was 17.1 billion baht. International reserves at the end of June amounted to US$262.4 billion and public debt stood at 12.07 trillion baht, accounting to 64.2% of GDP.
The NESDC has adjusted the growth forecast for the whole year, from 1.3-2.3% to 1.8-2.3%, compared to 2.5% last year. The inflation rate is projected at 0.0-0.5% and current account at 2.1% of GDP.
