Thai economy continued recovery in December, central bank says

THAILAND’S economy continued to recover in December 2022, boosted by increased tourism and domestic consumption, even as exports were affected by the slowing economies of trading partners, said its central bank on Tuesday (Jan 31).

The Bank of Thailand (BOT) said that economic activity in the country was likely to improve steadily as tourism gained momentum. It added that it would monitor the global economy, costs and China’s reopening. The last of those is expected to further boost Thailand’s tourism.

Last week, the BOT raised its projections for foreign tourist arrivals to 25.5 million in 2023 and 34 million in 2024, from previous estimates of 22 million and 31.5 million, respectively. In 2019, before the Covid-19 pandemic, Thailand had received a record of nearly 40 million visitors, of which about a quarter were from China.

The government predicted that, this year, at least five million Chinese visitors would arrive in the country, or about half the number in 2019.

Thailand recorded a current account surplus of US$1.1 billion in December 2022. Exports, a key driver of growth, fell 12.9 per cent year on year. The country had recorded a deficit of US$0.4 billion a month earlier. REUTERS