Thailand raises GDP growth expectations to 2.7% in 2024
THAILAND’S economy is expected to grow 2.7 per cent in 2024, the Finance Ministry said on Friday, up from a previous forecast of 2.4 per cent due to higher foreign tourist arrivals and exports.
“We see positive signs from exports due to improving economic growth from trading partners,” Deputy Finance Minister Paopoom Rojanasakul said, adding the growth could hit 3 per cent this year on due to policies still to be implemented.
“It’s a good number, but we have to do better.”
The growth forecast did not factor in the 450 billion baht (S$16.8 billion) cash handout scheme to be rolled out in the fourth quarter, Paopoom said, adding that would contribute 1.2 to 1.8 percentage points to growth.
Exports were seen rising 2.7 per cent in 2024, stronger than an earlier forecast of 2.4 per cent.
Tourism is a key driver of South-east Asia’s second-largest economy and the ministry now expects 36 million foreign arrivals, who are expected to stay longer and spend an estimated 1.69 trillion baht more due to relaxed visa requirements, said Paopoom.
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The previous forecast expected 35.7 million foreign arrivals with projected spending of 1.59 trillion baht.
The Thai economy expanded 1.9 per cent last year, slower than expected and less than 2.5 per cent growth in 2022.
The ministry saw the baht trading at an average of 36.2 baht per dollar, slightly weaker than the 36 baht seen in April, due to capital outflows in the first half of the year. REUTERS
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