- World News
Asia-Pacific markets to gain from US-Europe supply chain diversification
Asia-Pacific emerging markets are predicted to gain from the ongoing supply chain decoupling, as analysts highlight the US and Europe’s efforts to diversify risks in security-related sectors. Steven Cochrane, Moody’s Analytics chief Asia-Pacific economist, recently discussed the decoupling between the US and China within intermediate goods production during an online event. He explained that incentives, rather than government policies, are…
- Business News
Thailand’s MPI growth faces stagnation amid export slowdown and high costs
The Manufacturing Production Index (MPI) in Thailand is predicted to experience subdued growth of 0-1% this year, owing to a combination of domestic and international business challenges. The April MPI reading was the lowest in 34 months, with an 8.14% year-on-year drop to 83.5 points, marking the seventh consecutive decline since October last year, according to the Office of Industrial…
- Business News
Saha Group urges Thai govt to prioritise agriculture over wage hikes
The Saha Group, a prominent consumer product conglomerate in Thailand, advised the new Thai government to prioritise the promotion of the agricultural sector instead of significantly raising the daily minimum wage. The group’s chairman, Boonsithi Chokwatana, believes this approach would contribute to sustainable economic growth. Boonsithi also suggested that the government should concentrate on enhancing the economy through educational initiatives…
- Business News
Singapore Airlines scraps paper food boxes after customer backlash
Singapore Airlines (SIA) CEO Goh Choon Phong acknowledged that the airline could have done better with its introduction of paper food boxes and the removal of appetisers. The paper boxes were launched in March for a trial run on some medium- and long-haul flights but received strong criticism from customers regarding food standards and presentation. As a result, SIA has…
- Business News
Sappe Plc invests 1 billion baht in warehouse automation amidst wage hike
Sappe Plc, a leading beverage manufacturer, unveiled plans to construct an automated warehouse, establish a new production line, and implement a cost reduction scheme in response to the government’s commitment to increase the daily minimum wage. Piyajit Ruckariyapong, the company’s CEO, disclosed that the project is expected to cost around 1 billion baht between 2023 and 2024. Out of the…
- Business News
Bank of Thailand raises key interest rate amid inflation risks
The Bank of Thailand announced a 25 basis point increase in its key interest rate, bringing it to 2%. This marks the sixth consecutive meeting where the central bank has raised the rate, with a total increase of 150 basis points since August last year. The decision was unanimous among the Monetary Policy Committee members and in line with the expectations…
- Business News
Central Pattana invests 1 billion baht in the Greatest Grand Sale 2023 campaign
Central Pattana Plc (CPN) joined forces with companies under the Central Group umbrella and leading business partners to invest over 1 billion baht in a mid-year sales campaign titled The Greatest Grand Sale 2023. The campaign will take place across shopping centres, department stores, and Central’s online platform, offering discounts of up to 80% at 9,500 stores, including over 16,500 brands,…
- Business News
Thai export growth target maintained despite 7-month shipment decline
Despite a decline in Thai exports for seven consecutive months, the Commerce Ministry maintains its export growth target of 1-2% for the year. Keerati Rushchano, the Permanent Commerce Secretary, predicts that the export outlook will remain negative due to the high inventory held by trading partners, causing delays in orders. However, he expects exports to improve in the second half of…
- Business News
Virtual twin tech tackles traffic congestion and pollution in smart cities
Virtual twin technology is emerging as a transformative tool for future mobility and smart cities, helping to address issues such as traffic congestion and air pollution, according to Dassault Systèmes, a France-based 3D design software company. This technology is an extension of digital twins, which are digital replicas of physical objects, systems, or processes that integrate advanced technologies and data…
- Business News
Thai e-marketplaces Shopee and Lazada shift to profitability
The e-commerce landscape in Thailand experienced a significant shift as major players Shopee and Lazada reported profits for the first time in almost a decade. This change has been attributed to careful spending, operational adjustments, and increased service fees. In 2022, Shopee recorded a profit of 2.4 billion baht, while Lazada posted a profit of 413 million baht. Shopee’s revenue reached…
- Business News
Thailand sees tourist tax refund surge since reopening in June
Following Thailand‘s full reopening in June last year, the number of tourist tax refunds has surged, as reported by Revenue Department director-general Lavaron Sangsnit. The increase in foreign visitors is evident in the substantial rise in value-added tax (VAT) refund totals. In 2022, over 423,000 tourists received VAT refunds, totalling 1.2 billion baht. Between January and May 2022, there were…
- Business News
Thailand urged to prioritise accessible tourism for disabled and elderly
Tourism operators in Thailand are calling for the development of a long-term action plan to make the country more accessible for elderly and disabled travellers. Jittasak Putjorn, an assistant professor at Silpakorn University researching the development of Thailand as a “Tourism For All” destination, said that the government and private operators should work together to close the gap in development…
- World News
SET and SGX launch cross-border trading for Thai depositary receipts
The Stock Exchange of Thailand (SET) and the Singapore Exchange (SGX) announced a joint venture that enables the trading of three depositary receipts (DRs) of Thai-listed companies on the SGX. This innovative collaboration, launched yesterday, is the first of its kind under the Thailand-Singapore DR Linkage project and aims to boost the appeal of Thai-listed companies in the regional market by…
- Business News
Economist warns of panic as new Thai government risks fiscal sustainability
Concerns about fiscal sustainability have been raised by Kiatnakin Phatra Securities (KKP), as the new government‘s potential “addiction to budget deficits” may cause panic in the stock market. KKP’s chief economist, Pipat Luengnaruemitchai, expressed his apprehensions regarding the country’s fiscal outlook if excessive expenditure is allocated by politicians and the government without a clear financing plan. As Thailand prepares for…
- Economy News
Thai exports decline for seventh month as global demand slows
The Thai Ministry of Commerce has reported a decline in the nation’s export value for the seventh consecutive month. In April, the value dropped by 7.6% compared to the previous year, a significantly larger decrease than the 2% fall anticipated by economists. April’s exports were valued at US$21.72 billion, a notable decrease from March’s 12-month high of US$27.65 billion. Despite…
- Business News
Bank of Japan to maintain ultra-loose policy, downplays change expectations
The Bank of Japan’s Governor, Kazuo Ueda, has stated that the central bank will continue to maintain its ultra-loose monetary policy, as there remains a significant gap to achieve the 2% inflation target sustainably. Ueda’s comments downplay the expectations of a policy change in the near future. He told parliament, “We expect inflation to quite clearly slow below 2% toward…
- Business News
Asia-Pacific consumers to boost health and wellness spending post-pandemic
A recent survey reveals that approximately 70% of consumers in the Asia-Pacific region are prepared to increase their expenditure on health and wellness products, as the pandemic has heightened health consciousness. The study called the Asia-Pacific Health Priority Survey, was carried out by US supplement distributor Herbalife and highlighted a particularly strong interest in health improvement in Southeast Asia, specifically…
- Economy News
Thai parties pledge to tackle economic inequality, business groups sceptical
Business organisations have expressed support for the Move Forward Party’s campaign pledges to address economic inequality in Thailand, but they question the party’s ability to overcome long-standing issues. On May 22, eight political parties signed a memorandum of understanding, outlining 23 focal points for governing Thailand. These included a joint commitment to reducing inequality and promoting equitable economic growth. The…
- Politics News
Thai election uncertainty raises concerns for small business owners
A record 39 million Thai citizens participated in the recent general election, with the Move Forward Party (MFP) emerging victorious. However, the recently amended constitution poses challenges for non-military political parties, and the MFP-led coalition still requires additional upper-house votes to secure the 376 seats needed for leadership. This has raised concerns about Thailand‘s political future and its economic prospects.…
- Business News
Thailand advances in clean energy and carbon credit trading
Thailand is making significant strides in clean energy development as the government and businesses collaborate on various projects aimed at reducing carbon dioxide emissions. Initiatives such as increasing the use of renewable energy sources for electricity generation and promoting electric vehicles (EVs) are helping create new environmentally friendly businesses. Companies that do not adhere to eco-friendly practices may face penalties,…
- Business News
Thai election fallout hits SET, investors dump big-cap stocks
Despite initial optimism that the General Election could reverse the “sell in May” phenomenon, the recent poll sent the Stock Exchange of Thailand (SET) index into a tailspin, dipping 3% the first week after the election. Political uncertainties have triggered an outflow of funds, worsening the situation for Asia’s worst-performing bourse this year. The market capitalisation of the SET has…
- Business News
Bangkok governor urges land tax review as city revenues plummet
Bangkok Governor Chadchart Sittipunt has urged the incoming government to reevaluate the recently implemented land and building tax rules, as the city’s revenues have seen a significant decline since the new rates were introduced earlier this year. Previously, the Bangkok Metropolitan Administration (BMA) set the land and building tax rate at 12.5% of the income generated by a plot of…
- Business News
Temasek cuts staff pay after failed FTX crypto investment
Singapore-based investment company Temasek has announced that its investment team and senior management experienced a reduction in compensation following the firm’s failed investment in cryptocurrency company FTX. Temasek Chairman Lim Boon Heng stated that despite no misconduct by the investment team, they took collective accountability for the outcome. In November, Temasek Holdings revealed that it would write down its US$275…
- Business News
Thailand sees 1 million Chinese tourists from January to May 18
Between January and May 18, Thailand welcomed 1 million Chinese tourists, following China’s border reopening, a government official reported. The Thai government is optimistic about achieving its target of five million Chinese visitors this year, with an expected spending of 446 billion baht. Government spokesperson Anucha Burapachaisri announced in a statement that the number of Chinese tourists visiting Thailand has…
- Business News
Thapanee Kiatphaibool approved as new TAT governor
The Tourism Authority of Thailand (TAT) announced the appointment of Thapanee Kiatphaibool as its new governor, effective from September 1. The 48 year old, who currently serves as the deputy governor for domestic marketing, was chosen by the TAT board yesterday, following a recruitment process that began on February 20. Out of the two finalists, the nomination subcommittee, chaired by…
- Business News
Neuralink’s mind-blowing milestone: FDA gives Elon Musk’s brain-implant venture green light
The US Food and Drug Administration (FDA) has approved Neuralink, Elon Musk’s brain-implant company, to start its first-in-human clinical trial. This marks a significant milestone for the company, which had previously faced challenges in obtaining approval. In a tweet, Neuralink stated that the FDA’s decision was an essential first step towards helping many people through their technology, though further details…
- Politics News
Biden assures no US default as debt ceiling deadline looms
US President Joe Biden has reassured the nation that there will be no default on the country’s debt, even as lawmakers went on a 10-day break without reaching an agreement on raising the borrowing limit. The government estimates it could run out of money to service its debts by June 1, and failure to repay loans could potentially lead to…
- Business News
Thailand Post to launch digital mailbox service Prompt Post in Q3
Thailand Post is set to launch Prompt Post, a digital mailbox service, by the third quarter of this year. The move is aimed at capitalising on the growing trend of electronic document handling and supporting the company’s Post Digital mission. Thailand Post‘s chief executive, Dhanant Subhadrabandhu, explained that the company has been actively developing its business to offer comprehensive postal…
- Politics News
Excise Department supports Move Forward Party’s Progressive Liquor Act
The deputy director-general of the Excise Department stated that the department’s liquor policy is in line with the Move Forward Party‘s Progressive Liquor Act. The proposed Act aims to liberalise liquor production, allowing both small and large producers to enter the market. Kriengkrai Pattanaporn explained that the proposal is consistent with the department’s policy, and there would be no objections if…
- Business News
Singapore maintains 2023 growth forecast amid global economic risks
Singapore‘s Ministry of Trade and Industry (MTI) has announced that it is maintaining its growth forecast for 2023 at 0.5% to 2.5%, with growth expected to be around the mid-point of this range. This comes as the economy experienced a 0.4% year-on-year growth between January and March, primarily due to the manufacturing, wholesale trade, and finance and insurance sectors. The…
