Thailand posts current account deficit in Nov, exports fall

THAILAND recorded a current account deficit US$0.4 billion in November after a revised surplus of US$0.6 billion the previous month, the central bank said on Thursday (Dec 29).

Exports, a key driver of growth, dropped 5.5 per cent year-on-year in November, and imports rose 8.2 per cent year on year, resulting in a trade surplus of US$0.5 billion in the month, the Bank of Thailand (BOT) said in a statement.

South-east Asia’s second-largest economy was still on the recovery path in November, helped by a rebound in the vital tourism sector. Economic activity was likely to recover further in December, the BOT said.

The central bank said it would monitor slowing global demand, China’s border reopening, and rising prices.

The baht strengthened in December due to China’s reopening plans, turning investors positive about a recovery in Asian economies, including Thailand, BOT Assistant governor Chayawadee Chai-Anant told a news conference.

The central bank has forecast the economy will expand 3.2 per cent this year and 3.7 per cent in 2023, boosted by recovery in private consumption and tourism.

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Thai economy got a boost from tourism in Nov: finance ministry

Earlier this month, Finance Minister Arkhom Termpittayapaisith said economic growth might hit 3.8 per cent next year on optimism over China’s reopening plans. REUTERS