BANGKOK (NNT) - Thailand’s Finance Ministry has slashed its 2021 economic growth forecast to 1.3%, from 2.3%, the third such revision this year, as Thailand fights its biggest COVID-19 outbreak to date.

 

Fiscal Policy Office Director-General Kulaya Tantitemit said the current outbreak is impacting economic activity and the expected number of foreign tourists this year, but improved exports and fiscal measures will lend some support.

 

She said, although Thailand is preparing to reopen, the ministry now expects only 300,000 foreign tourists this year, down from an earlier forecast of 2 million.

 

According to Ms. Kulaya, the government expects to use 200 billion baht, of a new 500-billion baht borrowing plan this year, to finance stimulus measures. The Finance Ministry is also ready to implement additional support measures, as appropriate, as the fiscal position remains strong and that the public debt to GDP ceiling of 60% can be raised if necessary.

 

-- © Copyright NNT 2021-07-30

 

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I suspect they forgot to add the minus sign in front of the percentage?

Edited July 30, 20214 yr by kotsak

Best to slash it in stages I guess......optics.

I am no expert, but 40 million people spending money are gone and positive growth can still be achieved?  Wow, good for Thailand.

Growth from borrowing and spending?

 

15 hours ago, snoop1130 said:

Thailand’s Finance Ministry has slashed its 2021 economic growth forecast to 1.3%, from 2.3%, the third such revision this year, as Thailand fights its biggest COVID-19 outbreak to date

Slash and burn... two things Thailand can manage.

14 hours ago, Scrotobike said:

Growth from borrowing and spending?

 

It's called creative accounting.

If tourism is shot, and factories have closed…how about bringing the Baht down another 5-10%?  It couldn’t hurt.

Soon the only positive growth will be the rate of births as people have nothing else to do. And now there is news of possibly more knee-jerk reaction for Phuket Samui plan.

No way will real growth be positive.  My bet is -5%.

21 hours ago, snoop1130 said:

According to Ms. Kulaya, the government expects to use 200 billion baht, of a new 500-billion baht borrowing plan this year, to finance stimulus measures

Can anyone guess where the other 300 Billion is going .

regards worgeordie

Edited July 31, 20214 yr by worgeordie

10 hours ago, hotchilli said:

It's called creative accounting.

they need to be careful - they can be prosecuted for spreading "fake news"

Not related specifically to Thailand. The big war was overdue, the world will be forced to fight it until middle class in richer countries becomes much smaller. Poorer countries really shoot themselves both feet off joining in this insanity.