Thai economy in recovery, bolstered by tourists, minister says

THAILAND’S economy is still on the recovery path and should grow 3.4 per cent this year and 3.8 per cent next year, supported by a rebound in its vital tourism sector, the finance minister said on Wednesday (Dec 14).

South-east Asia’s second-largest economy can weather global uncertainties, while average inflation should come in at 6 per cent this year, Arkhom Termpittayapaisith said at a World Bank event.

Last year’s economic growth of 1.5 per cent was among the slowest in the region and Thailand’s tourism sector only started to show signs of new growth this year.

From January to Dec 12, Thailand recorded 10.3 million foreign tourist arrivals, breaking through a government full-year target of 10 million, Yuthasak Supasorn, governor of the Tourism Authority of Thailand, told a separate business seminar.

As the country is now seeing 60,000 to 70,000 foreign tourists per day, it should end the year with 11.5 million foreign visitors, he said.

For 2023, the tourism authority earlier said Thailand could see about 25 million foreign tourists if Chinese tourists returned.

Thailand saw only 428,000 foreign tourists last year, compared with nearly 40 million in pre-pandemic 2019. REUTERS