Thailand’s Q4 economy slows as exports decline

Thailand’s Q4 economy grew by 1.4% within the last quarter of 2022 with hopes high for a tourism-led recovery.
Southeast Asia’s second-largest economy grew slower than expected within the fourth quarter of 2022 as exports and manufacturing declined. The much-anticipated rebound in tourism will continue to spice up the recovery this yr as global demand for manufactured goods declines.
On a quarterly basis, GDP contracted by a seasonally-adjusted 1.5% in Q4, ending starry-eyed expectations of a zero.5% rise, knowledge from the National Economic and Social Development Council (NESDC) confirmed on Friday.
On the expenditure side, Thailand’s Q4 economic system was mainly pushed by the export of services, expansion of personal consumption, and public investment. Nonetheless, the export of products and government expenditure contracted.
In international trade, export value was US$66 billion (2.2 trillion baht), a 7.5% contraction in comparability with a 6.7% progress within the previous quarter. Export quantity dropped by 10.3%.
In Professional , the tourism-dependent aspect of Thailand’s Q4 financial system expanded by 2.6%, after growing by 1.5% within the earlier 12 months, which was among the many slowest development in Southeast Asia.
Despite the slower fourth quarter, Al Jazeera expects the economic recovery to gain some traction, with China’s earlier-than-expected reopening proving an extra enhance to the tourism sector, helping offset a variety of the impacts of weakening exports.

On Friday, the NESDC predicted the financial system would grow 2.7% to 3.7% this year, down from a earlier forecast of 3% to 4%.
With the return of China’s guests, the company now expects Thailand to obtain 28 million international vacationer arrivals this year, up from the 23.5 million projected earlier..

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