Thai Economy Already In Recession, Says Finance Minister

[george]

Thai economy "already" in recession, says finance minister

BANGKOK: -- Finance Minister Korn Jatikavanich on Friday conceded that the Thai economy is already in recession because the country’ gross domestic product (GDP) had experienced a negative growth for two successive quarters.

However, Mr. Korn believed the economy will not remain in deep recession since the GDP is unlikely to shrink more than 10 per cent for this year. He also brushed aside concerns that the pandemic of H1N1 influenza in many countries worldwide, including Thailand, would affect the economy as the Ministry of Public Health is able to cope with the situation efficiently.

Regarding the private-sector call for the Bank of Thailand (BoT) to closely supervise the baht movement to ensure it does not strengthen too much, he said the new law authorises the central bank to work independently of the finance ministry.

So, it is a matter of the Bank of Thailand’s discretion to supervise the Thai currency, he said, adding that he personally believed that the baht value should be lower than the current level to help boost exports.

Previously, he said, the BoT had explained that the weakening of the baht could not help reinforce exports.

However, the central bank suggested that improved export products be developed in terms of quality to boost competitiveness in the world market in the long run.

-- TNA 2009-06-13

[MHM]

A weaker baht would be beneficial all round. For exports, tourism and not least for ex-pats

[Shazza]

Oh, yes please, lower the baht, lower the baht, lower the baht.... she says hopefully........

[jonclark]

Is this part of the governments policy of highlighting it's successes since claiming power six months ago, that we saw posted yesterday......or is that ......I'm confused

[mommysboy]

Thai economy "already" in recession, says finance minister

BANGKOK: -- Finance Minister Korn Jatikavanich on Friday conceded that the Thai economy is already in recession because the country' gross domestic product (GDP) had experienced a negative growth for two successive quarters.

However, Mr. Korn believed the economy will not remain in deep recession since the GDP is unlikely to shrink more than 10 per cent for this year. He also brushed aside concerns that the pandemic of H1N1 influenza in many countries worldwide, including Thailand, would affect the economy as the Ministry of Public Health is able to cope with the situation efficiently.

Regarding the private-sector call for the Bank of Thailand (BoT) to closely supervise the baht movement to ensure it does not strengthen too much, he said the new law authorises the central bank to work independently of the finance ministry.

So, it is a matter of the Bank of Thailand's discretion to supervise the Thai currency, he said, adding that he personally believed that the baht value should be lower than the current level to help boost exports.

Previously, he said, the BoT had explained that the weakening of the baht could not help reinforce exports.

However, the central bank suggested that improved export products be developed in terms of quality to boost competitiveness in the world market in the long run.

-- TNA 2009-06-13

Oh just 10% then, trifling really

[CMFarang]

I was always taught that you can never judge a persons intelligence , until they open their mouth.

Judging by the statements the of the BoT and Central Bank , I am confident that there are no Rocket Scientists in their ranks.

I have been doing export Business here for 15 years, and I have reduced staff by 85% in the last year, Sales have dropped dramaticaly.

High Exchange rates, Bank Service Charges, and Competition are Killing the Market here.

Are the Banks making $$ ??

I don't even want to touch the idea of Improving Product Quality.. That would mean an Improved Schooling system I would imagine , and that is something none of us want ( sure )

And I am not even a Rocket Scientist , but the issues and solutions are as obvious as the stink of Plaa Laa...

Edited June 14, 2009 by CMFarang

[remil]

lower baht = lower salary Good for tourists only. No thank you

[slapout]

hire this man and put him in charge of the Thai economy/export/import/BOT/central banking and all Thai problems are solved