Thai consumer spending may fall $3.2 billion on new COVID-19 outbreak

[snoop1130]

 

BANGKOK (Reuters) - Thailand's consumer spending may drop up to 100 billion baht ($3.2 billion) if a new coronavirus outbreak lasts for two months, possibly sinking the economy in the current quarter, a commerce university said on Thursday.

 

Consumer confidence fell back to 48.5 in March after a rise to 49.4 in the previous month, according to a survey by the consumer index of the University of the Thai Chamber of Commerce.

 

Thailand reported 405 new COVID-19 infections on Thursday, as it deals with a new wave of infections and the presence of a highly transmissible variant first identified in Britain.

 

"Sentiment is expected to drop for at least three months before picking up if the COVID situation eases quickly," university president Thanavath Phonvichai told a briefing.

 

He said he expected the outbreak to be controlled within two months and for consumer spending to be cut by 60 billion baht to 100 billion baht, or 0.3-0.5% of gross domestic product (GDP), he said.

 

There is a risk that the economy will shrink in the second quarter, rather than grow 1-2% as earlier forecast, he said.

 

While predicting GDP growth of 2.8% this year, Thanavath said growth could be only 2.0-2.5% if the outbreak cannot be contained within two months.

 

Southeast Asia's second-largest economy contracted 6.1% last year, its deepest decline in over two decades with tourism devastated by the coronavirus pandemic.

 

The spike in infections came in ahead of Thai New Year holidays next week and as Thailand is preparing to slowly reopen to foreign vacationers to help its struggling tourism sector.

 

-- © Copyright Reuters 2021-04-08

 

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[ThailandRyan]

16 minutes ago, snoop1130 said:

Thailand's consumer spending may drop

How about this for starters.  The consumer spending will shrink and drop as places such as bars, entertainment venues, massage parlors, and other locations will be closed for the next 14 days and possibly more, and of course this is during the Songkran week where people would normally go to entertainment venues and bars with friends.  So Yep it will drop not May drop.

Edited April 8, 2021 by ThailandRyan

[ozz1]

someone better tell tat to revise there tourist numbers too  after this but they still expect millions to come there dreaming 

[hotchilli]

14 hours ago, snoop1130 said:

Thailand's consumer spending may drop up to 100 billion baht ($3.2 billion) if a new coronavirus outbreak lasts for two months, possibly sinking the economy in the current quarter, a commerce university said on Thursday.

Looks like this outbreak in the Capital city cannot be confined as they did in Samut Sakhon... with today Friday and many people starting their migration courtesy of Prayuts wish to extend the holidays for much needed revenue it's going to go pear-shaped very quickly.

[hotchilli]

17 hours ago, snoop1130 said:

Thailand's consumer spending may drop up to 100 billion baht ($3.2 billion) if a new coronavirus outbreak lasts for two months, possibly sinking the economy in the current quarter, a commerce university said on Thursday.

Oh dear never mind... I'm sure the bars only had good intentions.

[ThailandRyan]

15 minutes ago, hotchilli said:

Oh dear never mind... I'm sure the bars only had good intentions.

 course they needed to kick funds upward to fill the Junta's pockets I do believe.  Maybe the two unnamed ministers who were at the party club were there collecting, well maybe collecting a little more than they or their wives wanted.

[hotchilli]

15 minutes ago, ThailandRyan said:

 course they needed to kick funds upward to fill the Junta's pockets I do believe.  Maybe the two unnamed ministers who were at the party club were there collecting, well maybe collecting a little more than they or their wives wanted.

Maybe collecting something the wife didn't know about... but why stay un-named...

embarrassing for the government and at home?

[RichardColeman]

19 hours ago, snoop1130 said:

While predicting GDP growth of 2.8% this year, Thanavath said growth could be only 2.0-2.5% if the outbreak cannot be contained within two months.

New government GDP prediction ringtone released :