Thai government’s 5% GDP growth aim deemed optimistic amidst challenges

[webfact]

 

The administration of Prime Minister Srettha Thavisin aims to boost annual GDP growth to 5%. This goal was unveiled during a policy statement delivered by the premier to the heads of government agencies last week during discussions about the fiscal 2024 budget.

 

However, the World Bank recently cut its growth forecast for Thailand to 3.4% this year and trimmed its outlook for 2024 to 3.5%. This, along with challenges like a delayed budget allocation, a stagnant export sector and a recent dent in tourism caused by the Siam Paragon Mall shooting, has led some industry leaders to view the 5% growth target as optimistic.

 

Aat Pisanwanich, director of the Center for International Trade Studies, stated that there is a slim chance of the economy expanding by 5% during the current administration, citing that over the past decade, the economy has grown by no more than 4%. He also mentioned that the Thai economy has expanded at an average of 3% per year for nearly a decade, while potential GDP growth was 5%. The ability to achieve this growth depends on the management of the government’s economic policies.

 

The government’s proposed stimulus measures include a 10,000-baht digital wallet scheme for those aged 16 and over, raising the daily minimum wage to 600 baht, and increasing the minimum salary for university graduates with bachelor’s degrees to 25,000 baht per month. 

 

by Alex Morgan 

Photo: Freepik

 

Full story: The Thaiger 2023-10-09

 

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[RichardColeman]

I think the world bank knows more about Thailands outlook and finances than Thailand !

[hotchilli]

6 hours ago, webfact said:

The administration of Prime Minister Srettha Thavisin aims to boost annual GDP growth to 5%. This goal was unveiled during a policy statement delivered by the premier to the heads of government agencies last week during discussions about the fiscal 2024 budget.

2% at best.

[Cake Monster]

With a predicted Global Recession in 2024, and Sretthas policy to seemingly press the self destruct button, 1 % seems but a dream

[Srikcir]

The World Bank just needs more "Thainess" to understand the Thai economy.

[Eric Loh]

3 hours ago, RichardColeman said:

I think the world bank knows more about Thailands outlook and finances than Thailand !

World Bank also has a waiver in their forecast that state that they don't quarantee the accuracy or assume responsibilities for any errors, ommission or discrepancies in the information. 

[spetersen]

7 hours ago, RichardColeman said:

I think the world bank knows more about Thailands outlook and finances than Thailand !

The new pm doesn’t seem to know anything thing about economics, 560bn in handouts to 56 million people next year, where is the money coming from? Taksin , Seretta , don’t think so , either from the Thai government or from overseas loans. This will kickstart a higher inflation with higher prices, and who is paying for it , the Thai people. The 10000 bath is just a loan and nothing else. This is political stunt from Pheu Thai to be able to keep the power in the country until the next election and they weren’t  even elected, I never seen so much financial incompetents wannabe Politician’s , Maybe Trump can help out if not in prison the one stop shop for a quick solution 

[Srikcir]

Considering 2018-2022 Vietnam's average Real GDP Growth was 5.68%, China 5.28% and Bangladesh 6.52%, Thailand shouldn't ban cannabis any time soon.