Thailand’s growth forecasts for the rest of 2019 slashed again

Following their most recent meeting, the Joint Standing Committee on Commerce, Industry and Banking has announced Thailand’s economic growth this year has been revised downward to between 2.7 – 3.0% from the previous projection of 2.9 – 3.3%.

It has also revised down its prediction of this year’s exports to between minus 2 – 0%.

The committee says the revised export outlook reflects uncertainties in the economies of major countries, the prolonged US-China trade war and the strong baht. They added that the economic indicators in July and August suggest possible softening of economic growth in the third quarter, due to the slowing global economy, US-China trade war and the strength of the baht.

The committee estimates that the floods in north-east and central Thailand will cost the economy between 20 – 25 billion baht.

It has estimated that the government’s economic stimulus “Eat, Shop, Spend” campaign, which has proved popular with Thais, will inject 20 – 30 billion baht into the economy. The committee says it hopes to see additional new monetary and fiscal measures from the government to boost the economy.

Earlier this week the Kasikorn Research Centre revised downward its economic growth forecasts for 2019 from 3.1 – 2.8%, while predicting that the economy may grow at less than 3% next year amid numerous negative factors.

SOURCE: The Nation

PHOTO: The Nation