Tiger economy loses its roar as Thailand's exports slump

Bangkok

THAILAND is heading for a second straight year of slumping exports, something the one-time tiger economy hasn't experienced in at least two decades and a loss that magnifies challenges for the military-run government.

Shipments abroad, which make up the equivalent of about 70 per cent of the economy, have shrunk in six out of nine months this year and will probably contract in 2014, according to the central bank. That's in comparison to an annual average pace of growth of about 13 per cent in the period 2002 to 2012.

While Thailand has grappled with political instability and record flooding in recent years, rivals including Vietnam and the Philippines have seen exports climb.

Investment proposals for infrastructure have been delayed for months by violent unrest that ended when Prayuth Chan-ocha, the former military chief, seized power in …