Steady as she goes growth and economic stability driven by a growth in US exports is all good news

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Prime Minister Srettha Thavisin appeared visibly more relaxed and cabinet after Tuesday’s cabinet meeting, which approved budgets for 2024 and 2025. There is good news on the export front, with a 4.9% rise in exports in November driven by a 17.5% surge in US output, while the country is on target to reach 28 million visitors in 2023.

Thailand’s economic outlook for 2024 and 2025 focuses on stability. Cabinet-approved budgets reflect prudent fiscal measures, projecting a deficit of ฿693 billion for 2023-2024. Despite global economic headwinds, exports are proving resilient with November’s 4.9% surge fueled by a 17.5% rise in US sales. The baht has gained significantly against the dollar since October.

As the cabinet finalised its budget plans for 2024 and 2025 this week there was encouraging news from the foreign tourism and export front. Thailand is poised to reach 28 million visitors in 2023. At the same time, the contraction in exports for the year may well be at or below the 1% level. Figures were boosted by late export gains in November and December.

 

The good economic news is being driven partly by an export surge to the United States up by 17.5%. Simultaneously, the US Federal Reserve continues to hold off on further interest rate hikes. The Thai baht has risen with the dollar losing 7.2% against the Thai currency since early October. It shows the Thai economy, while still beset by low growth, suffering from chronic problems and ravaged by the pandemic, settling in for a period of stability.

 

The Cabinet meeting on Tuesday approved increasing expenditure not only for the 2024 budget which is only expected to come into force in May 2024 because of this year’s General Election but also for the spending plans for 2025.

 

by Joseph O' Connor

 

Full story: Thai Examiner.com 2023-12-28

 

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[hotchilli]

Steady as she goes is not a term I would band about at the moment.

Considering how many inept Captains have proved their worth this month.

[expat_4_life]

Reads like a headline out of almost any country, full of self praise for a job well done by the ruling party!

What happened to the stories about industrial decline and lamenting the lack of tourists?  We all saw them in just the last few days?

 

Edited December 28, 2023 by expat_4_life