New Covid-19 wave could cause the Thai economy to lose 100 billion baht per month

With more than 18,000 Covid-19 cases in 22 days, the new wave of infections may have a dramatic impact on the Thai economy… possibly a 100 billion baht loss per month, according to the University of the Thai Chamber of Commerce.

They say the outbreak is likely to primarily impact the service sector and the number of workers is expected to drop. With pay cuts and layoffs due to the outbreak, household debt could rise to 92% of GDP, according to the university president Thanavath Phonvichai. At the end of 2020, debt hit a record high of 89.3% of GDP.

Thanavath says gross domestic profit is expected to drop by 1.2% to 1.8%, but with economic stimulus measures, the economy could grow 1.2% to 1.6% this year.

“If there will be economic stimulus measures, the economy may grow 1.2% to 1.6% this year.”

The number of active cases making up a third of Thailand’s total reported cases since the start of the pandemic last year. The new wave of cases is expected to be under control within the next 2 to 3 months.

SOURCE: Reuters